Case Law Details
Pawan Kumar Vs Commissioner of Customs (CESTAT Chandigarh)
The appellant is in appeal against the impugned order wherein the penalties have been imposed under section 112 (a) and section 114AA of Customs Act, 1962 for alleged preparation of fake TR-6 challans showing payment of customs duty which actually was not paid by the appellant.
Ld. Counsel for the appellant submits that the appellant was working under the guidance of Shri Varun Mahajan and is a very poor person and he has done this act on the direction of his master. Therefore, for the act of master, he cannot be penalized.
Considering the submissions made by both sides, I find that this is case of preparing fake TR-6 challans showing payment of customs duty which actually was not paid by the appellant. The appellant has admitted the guilty at the time of recording his statement.
As there is corroboration in the statement of the appellant that the appellant has shared money foregone for non-payment of customs duty with Sh. Varun Mahajan, in that circumstance, the appellant is not entitled to any leniency from this Tribunal as the appellant misappropriated the government money. In that circumstance, I do not find any infirmity in the impugned order for imposing penalties and the same is upheld.
FULL TEXT OF THE CESTAT CHANDIGARH ORDER
The appellant is in appeal against the impugned order wherein the penalties have been imposed under section 112 (a) and section 114AA of Customs Act, 1962 for alleged preparation of fake TR-6 challans showing payment of customs duty which actually was not paid by the appellant.
2. Ld. Counsel for the appellant submits that the appellant was working under the guidance of Shri Varun Mahajan and is a very poor person and he has done this act on the direction of his master. Therefore, for the act of master, he cannot be penalized.
3. On the other hand, ld.AR opposed the contention of ld. Counsel for the appellant, drew my attention to the statement recorded during the investigation wherein the appellant has admitted the guilt.
4. Heard both sides.
5. Considering the submissions made by both sides, I find that this is case of preparing fake TR-6 challans showing payment of customs duty which actually was not paid by the appellant. The appellant has admitted the guilty at the time of recording his statement, which is extracted below:-
U47. Pawan Kumar S/o Shri Harbans Lal R/o House No.200, Street No.6-D, Vikas Nagar, Khandwala, Chheharta, Amritsar (Noticee No.9), in his statements tendered under section 108 of the Act ibid, n 01.01.2015, 03.01.2015, 04.01.2015 and 05.01.2015 had inter alia stated as under:-
That he knew Varun Mahajan (Noticee No.5) and Saurabh Saini (Noticee No.4) as they were UH” card holders of M/s. Gupta Fast Forwarders Pvt. Ltd., but factually they had hired the CHA licence of M/s. Gupta Fast Forwarders Pvt. Ltd. and that they were working independently;
That he knew Varun Mahajan for the last 4-5 years and Saurabh Saini for the last 3-4 years;
That Saurabh Saini has not handed over any amount agant BE No.491 dated 15/04/2013 for a TR-6 Challan;
That his friend Varun Mahajan knew his financial problems and that in September 2011 he suggested making money by faking TR-6 Challans and presenting the same to Customs for taking release of the imported goods and the money thus generated will be equally shared between them;
That he required money for treatment of his mother, who was suffering from cancer;
That though he pocketed his share of Customs duty evaded by submitting fake Challans by his aide Varun Mahajan, he never prepared and submitted any fake TR-6 challan himself;
That during the period September 2011 to October, 2012, he shared money generated through submission of fake TR-6 Challans with Varun Mahajan and not thereafter, as Varun Mahajan was no longer working at Rail Cargo as none of the importer was ready to give any work to Varun Mahajan because of he being a hardcore drug addict;
That he had not maintained any account of money received from Varun Mahajan but by an estimate, it was about Rs.30-35 lakhs;
That he did not inform the Customs about this modus operandi because he was in need of money as his mother was being treated of cancer and also because this money was being made without putting any effort;
That he had spent the money received from Varun Mahajan on his mother’s treatment, to meet his personal expenses, on his sister’s marriage in July, 2013;
That he was not aware of any person except Varun Mahajan being involved in preparation and submission of fake TR-6 Challans;
That his elder sister Ms. Usha Ratanpal was working with M/s.Shiva Computers Amritsar under Shri Sanjeev Patni, Director of M/s.Shiva Computers Pvt.Ltd.
That he has told his family members and Sanjeev Patni that he is into the business of import and export and that he is importing cement from Pakistan in partnership with Varun Mahajan;
That he had told his family members that the money being earned by him is all from legal sources;
That the money he had received from Varun Mahajan on account of his share in the Customs duty evaded by preparing and submitting fake TR-6 challans by Varun Mahajan had been deposited in bank accounts.”
6. As there is corroboration in the statement of the appellant that the appellant has shared money foregone for non payment of customs duty with Sh. Varun Mahajan, in that circumstance, the appellant is not entitled to any leniency from this Tribunal as the appellant misappropriated the government money. In that circumstance, I do not find any infirmity in the impugned order for imposing penalties and the same is upheld.
7. In the result, the appeals filed by the appellant are dismissed. (dictated & pronounced in court)
