Custom, Excise & Service Tax Tribunal
Global Enterprises vs Commissioner Of Customs Cochin-Cus on 25 September, 2017
CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL SOUTH ZONAL BENCH BANGALORE Appeal(s) Involved: C/20209/2015-SM [Arising out of Order-in-Appeal No. COC-CUS-000-APP-295-296-14-15 dated 20/10/2014 passed by Commissioner of CUSTOMS , COCHIN( Appeal) ] Global Enterprises D.no.9/144, Kizhakkan Kunnathe, Kott, Kallingal, Tirur, Malappuram COCHIN - 676101 KERALA Appellant(s) Versus Commissioner of Customs Cochin-cus CUSTOM HOUSE COCHIN - 682009 KERALA Respondent(s)
Appearance:
None (Written submission) Shri N Jagadish, AR For the Appellant For the Respondent Date of Hearing: 25/09/2017 Date of Decision: 25/09/2017 CORAM:
HON'BLE SHRI M.V.RAVINDRAN, JUDICIAL MEMBER Final Order No. 22265 / 2017 Per : M.V.RAVINDRAN This appeal is directed against Order No. COC-CUS-000-APP-295-296-14-15 dated 20/10/2014.
2. When this matter was called out, none appeared on behalf of the appellant. They have filed a written submission to be considered by the Bench before passing the order.
3. Heard the learned DR and perused the records.
4. The issue that falls for consideration in this case is regarding an appeal filed by the appellant firm against imposition of penalty under section 112(a) of Customs Act, 1962 and the penalty imposed on its Partner under section 1114AA of Customs Act, 1962 is legal and proper or otherwise.
5. It transpires from the records that the appellant Firm imported a container load of slippers; declared the said goods and the value thereof before the assessing authorities. Since there was an information with the authorities, the said containers were examined and it was noticed that behind the consignment of slippers, undeclared quantity of ladies under-garments were concealed at the rear end, in excess of the declared goods. After following the adjudicating proceedings, the adjudicating authority ordered confiscation of goods with an option to redeem the same on redemption fine of Rs. 3,00,000/- for the ladies under-garments and Rs. 2,00,000/- for the slippers and the original authority also imposed penalty of Rs. 2,00,000/- each on the Firm as well as the Partner. The said goods were cleared on payment of appropriate duty redemption fine and penalty and the matter was contested before the adjudicating authority.
6. On an appeal before the first appellate authority, it was pleaded to modify the impugned order to the extent of reduction of redemption fine and penalties imposed. The first appellate authority after following due process of law, has rejected the appeals and upheld the Order-in-Original.
7. On perusal of records, I find that the Partner of the Firm Shri Abdul Wahid has not filed any appeal before the Tribunal against the Order-in Appeal which upheld the penalties on him. Hence, the submissions in the written note as to both appeals should be considered as one appeal, is rejected as Shri Abdul Wahid had preferred an appeal before the first appellate authority independently and should have filed an appeal before the Tribunal also.
8. As regards the question of reduction of redemption fine on the ladies under-garments found concealed and undeclared, I find that the said redemption fine is proportionate to the modus operandi adopted by the appellant in concealing the under-garments and not declaring the same, the penalty imposed on the said ladies under-garments is also proportionate and requires no interference on this point.
9. As regards the liability for confiscating the pairs of slippers which were used to conceal the ladies under-garments, I find that the said goods are liable for confiscation is correct findings recorded and correctly held as confiscated. At the same time, I find that the redemption fine imposed is disproportionate to the value of the said slippers and as also the penalty imposed for this violation. In my view, the ends of justice would be met if the redemption fine imposed on confiscation in respect of 66,000 pairs of slippers is reduced to Rs. 75,000/- and the penalty is reduced to Rs. 50,000/-. Except for such modification as indicated herein above, the appeal filed by M/s. Global Enterprises, Kerala is disposed of.
(Operative portion of the Order was pronounced in Open Court on 25/09/2017) M.V.RAVINDRAN JUDICIAL MEMBER RB 1