Case Law Details
Commissioner of Customs (Preventive) Vs Bushrah Export House (CESTAT Delhi)
Seizure for overvaluation of exports-Valuation provisions to be considered at stage of confiscation and not seizure
The CESTAT New Delhi has held that provisions of Section 14 of the Customs Act, 1962 and Rule 3 of the Export Valuation Rules have to be applied only at the stage of considering liability to confiscation (in a case of alleged overvaluation), after providing an opportunity as contemplated in Section 124, and not at the stage of seizure. The Tribunal was of the view that it is only at the stage of confiscation it is determined whether the goods entered for exportation correspond in value or in any material particulars with the entry made in the shipping bill. Noting that for seizure of goods, the proper officer should only have reason to believe that the goods are liable to confiscation, the Tribunal set aside the Order of Commissioner (A) which in turn had set aside the seizure observing that transaction value can be challenged only in accordance with the Export Valuation Rules and that the procedure prescribed therein was not followed by the department.
FULL TEXT OF THE CESTAT JUDGEMENT
This Appeal has been filed by the Commissioner of Customs (Preventive), Lucknow1, to assail the order dated June 10, 2020 that was passed by the Commissioner (Appeals), Customs, GST & Central Excise, Lucknow2. The said order of the Commissioner (Appeals) sets aside the order dated June 03, 2020 passed by the Superintendent, Customs, ICD, Panki, Kanpur3, seizing the goods under section 110(1) of the Customs Act, 19624.
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