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[Cites 12, Cited by 0]

Madras High Court

The Assistant Commissioner vs A.Dhanapal on 23 May, 2008

                                                                   Crl.A.(MD) Nos.58 and 59 of 2009

                             BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT

                           Date of Reserving Judgment      Date of pronouncing Judgment
                                   28.09.2019                        19.10.2019

                                                        CORAM

                                 THE HONOURABLE MR.JUSTICE P.VELMURUGAN

                                          Crl.A. (MD) Nos.58 and 59 of 2009

                      The Assistant Commissioner
                      Customs Department
                      Tuticorin.
                      (O.R.No.2/98)                     .. Appellant in both Appeals


                                                     Versus


                      1.     A.Dhanapal
                      2.     A.T.Mydeen
                      3.     Janarthanam
                      4.     N.Ramesh
                      5.     Rahman Sait @ Nathan
                                                         .. Respondents in Crl.A.58/2009


                      K.M.A.Alexander                    .. Respondent in Crl.A.59/2009


                             Appeals filed under Section 378 of Cr.P.C. against the
                      acquittal of respondents in both the appeals for the charges under

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                                                                   Crl.A.(MD) Nos.58 and 59 of 2009

                      Sections 132, 135(1)(A)(ii) r/w.135(A) of the Customs Act, by the
                      learned Additional Chief Judicial Magistrate, Madurai, in C.C.Nos.2
                      of 2003 and 4 of 2004 vide separate judgments dated 23.05.2008.


                             For Appellant in      :           Mr.C.Arulvadivel @ Sekar
                             both appeals                Special Public Prosecutor
                                                         for Customs & Central Excise

                             For Respondents in    :          Mr.N.Dilip Kumar
                              both appeals                   and
                                                         Mr.S.Jothimani
                                                            (Legal Aid Counsel)


                                                  Common Judgment

                             A1 to A5 in C.C.No.2 of 2013 on the file of the Additional Chief

                      Judicial Magistrate, Madurai, are the respondents in Crl.A.No.58 of

                      2009 and the sole accused in C.C.No.4 of 2014 on the file of the

                      Additional Chief Judicial Magistrate, Madurai, is the respondent in

                      Crl.A.No.59 of 2009.




                             2.   The appellant registered a case in O.R.No.2 /1998

                      against the respondents/accused for the offences under Sections

                      132, 135(1)(A)(ii) r/w.135(A) of the Customs Act and after


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                                                                Crl.A.(MD) Nos.58 and 59 of 2009

                      investigation, filed a complaint before the learned Additional Chief

                      Judicial Magistrate, Madurai. The learned Additional Chief Judicial

                      Magistrate taken cognizance of the complaint filed in C.C.No.2 of

                      2003 and after completing the formalities, framed charges against

                      the respondents for the offences under Sections 132, 135(1)(A)(ii)

                      r/w.135(A) of the Customs Act.




                             3.   During investigation, the respondent in Crl.A.No.59 of

                      2009 was absconded and therefore, his case was split up in C.C.No.4

                      of 2004.




                             4.   After completing the formalities, on the side of the

                      appellant, as many as 7 witnesses were examined as PW.1 to PW.7

                      and 13 documents were marked as Exs.P1 to P13, besides marking

                      two Material Objects as M.Os.1 and 2 and one Court document as

                      Ex.C1 and after completing the prosecution evidences, when

                      incriminating circumstances culled out from the prosecution

                      witnesses were put before the accused, they denied as false and no


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                      oral and documentary evidence was produced on the side of the

                      defence.




                             5.   After completing the trial and hearing the arguments on

                      either side, the learned Additional Chief Judicial Magistrate,

                      Madurai,    by   way   of   separate   judgments,      acquitted       the

                      accused/respondents in both the appeals on the ground that the

                      appellant/prosecution has not proved its case beyond reasonable

                      doubt against the accused/respondents.




                             6.   Challenging the said judgments of the learned Additional

                      Chief Judicial Magistrate in C.C.No.2 of 2003 and C.C.No.4 of 2004

                      dated 23.05.2008, the appellant filed present appeals. Since both

                      the appeals are arising out of common O.R.No.2/98 and all the

                      respondents are allegedly involved in the same offences, both the

                      appeals have been taken together and common judgment is

                      pronounced.




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                             7.   The learned counsel for the appellant/Customs would

                      submit that the learned Additional Chief Judicial Magistrate failed

                      to note that during the seizure proceedings, the respondent in

                      Crl.A.No.59 of 2009 Alexander was not available and so, his name

                      was not mentioned in Ex.P12 and even, there is no contradictions

                      between the statements of Rahman Sait, 5th respondent in Crl.A.No.

                      58 of 2009 and Ex.P6 inventory Mahazar as observed by the learned

                      Additional Chief Judicial Magistrate and that the sanction of

                      prosecution against the respondents were duly obtained and mere

                      non-examination of the sanctioning authority will not vitiate the

                      case and the person, who is well acquainted with the prosecution

                      was examined as witness.     The learned Additional Chief Judicial

                      Magistrate failed to understand the case of the prosecution that the

                      accused attempted to export sandal woods stating that they are

                      exporting roofing tiles, which is amounting to offence under the

                      Customs Act and further, the learned Magistrate failed to consider

                      that the sandal woods are prohibited items under the EXIM policy

                      and the respondents fraudulently declared the commodity as


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                                                                 Crl.A.(MD) Nos.58 and 59 of 2009

                      roofing tiles. The learned trial Judge also failed to appreciate the

                      fact that the shipping bill was filed by the respondents in bogus

                      name to escape from the clutches of law.       Further, the learned

                      counsel for the appellant would submit that once the shipping bill is

                      filed, then the intention of the respondents/accused to export the

                      commodity is established and the seized sandal woods are the

                      prohibited items under the Foreign Trade Policy 1997-98. The trial

                      Judge also failed to appreciate the legal position that Section 2(33)

                      of the Customs Act defines the term “prohibited goods” as any

                      goods, the import or export of which is subject to any prohibition

                      under this Act or any other law for the time being in force. Since

                      the sandal woods are declared as prohibited goods under Foreign

                      Trade (Development and Regulation) Act, 1992, it should be also

                      considered as prohibited item under Section 11 of the Customs Act.

                      Further, he would submit that the learned Additional Chief Judicial

                      Magistrate himself visited the customs godown and examined the

                      sandal woods seized by the Department; since the commodity is

                      huge in quantity, it was not produced before the Court; hence the


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                      non-production of the seized goods before the Court is not a ground

                      for acquittal. The learned trial Judge also failed to appreciate that

                      the voluntary statements given by the respondents/accused before

                      the Customs Officers are admissible in evidence.



                             8.   He would further submit the learned trial Judge

                      acquitted the respondents mainly on the ground that the

                      sanctioning authority was not examined and the sanctioned order

                      was not proved before the Court and the seized sandal woods have

                      not been produced before the Court and the confession statements

                      given by the respondents/accused were subsequently retracted and

                      further, there is no proof to show that they have attempted to

                      export sandal woods in the name of roofing tiles and also the

                      prosecution failed to prove misdeclaration when the bills were not

                      produced.




                             9.   He would further submit that when the confiscation

                      proceedings was initiated against the respondents, the said order


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                                                                Crl.A.(MD) Nos.58 and 59 of 2009

                      was challenged by the appellant herein. The competent authority

                      has passed an order in favour of the appellant and initially the

                      Commissioner of Customs admitted the appeal and passed penalty;

                      and the respondents taken appeal before the Appellate Tribunal

                      and the Appellate Tribunal allowed the appeal filed by the

                      respondents herein and set aside the penalty imposed by the

                      Commissioner of Customs.       Challenging the said order, the

                      appellant herein preferred CMA.No. 93 of 2009 before this Court

                      and this Court set aside the order passed by the Appellate Tribunal

                      and restored the order passed by the Commissioner of Customs.

                      The respondents have not challenged the order passed by this Court

                      in CMA.No.93 of 2009 and therefore, that order is final, and now,

                      the respondents cannot say that the appellant has not proved its

                      case beyond reasonable doubt and also they have retracted the

                      statements.   Therefore, the learned counsel for the appellant

                      would submit that the present appeals to be allowed and the

                      judgment of the learned Additional Chief Judicial Magistrate is

                      liable to be set aside and he would also place reliance on the


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                                                                  Crl.A.(MD) Nos.58 and 59 of 2009

                      judgment of this Court in CMA No.93 of 2009 (Commissioner of

                      Customs, Trichy           ..vs.. S.Janarthanan) dated 27.02.2015.

                      Further, he would place reliance on the common judgment of this

                      Court         made   in   W.P.Nos.29743     to   29745        of     2014

                      (M/s.A.S.Constructions and Lighting Co., represented by its

                      Partner        M.Nandakumar    and others    ..vs..   The Additional

                      Director of Revenue Intelligence, Chennai and others) dated

                      06.01.2015.




                              10.    The learned counsel for the respondents would submit

                      that in this case, the sanctioned proceedings is not established and

                      the person, who has sanctioned the prosecution has not been

                      examined to establish that he has applied his mind and accorded

                      sanction. However he would submit that the seized articles and the

                      sandal woods were not produced before the Court and the Material

                      Objects were not identified.      Further, he would submit that no

                      independent witnesses were examined to establish that the

                      godowns were searched and goods were seized. Further, he would


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                      submit that the statements made by the respondents were

                      subsequently retracted and therefore, the retracted statements of

                      the respondents/accused cannot be relied for convicting the

                      respondents/accused and in the confiscating proceedings, the

                      Customs Commissioner, though imposed penalty under Section 114

                      of the Customs Act, subsequently, the Appellate Authority set aside

                      the order of the Customs; though this Court has set aside the order

                      of the Appellate Tribunal, the order passed in the confiscating

                      proceedings under Section 114 of the Customs Act is nothing to do

                      with the criminal case; In the criminal case, the prosecution has to

                      prove its case beyond reasonable doubt and they cannot solely

                      relied on the decision passed by the quasi-judicial authority.

                      Therefore, the learned trial Judge rightly appreciated the entire

                      evidence of the prosecution and disbelieved the case of the

                      prosecution and found that the respondents/accused are not found

                      guilty and acquitted them and there is no merit in the appeals and

                      the appeals are liable to be dismissed and in the appeal against

                      acquittal, accused got double presumption of innocence, unless


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                      there is no compelled circumstances warrant, the Appellate Court

                      will not interfere with the judgment of acquittal passed by the trial

                      Court.     Unless there is perversity in appreciation of evidence,

                      merely because the other views are possible, normally the

                      Appellate Court will not take a different view and substitute its

                      unfair reason and reverse the judgment of acquittal. The learned

                      counsel for the respondents placed reliance on the following

                      judgments of this Court and the Hon'ble Apex Court:-

                                   (i)    2013 SCC Online Mad 771 : (2014) 300 ELT
                              342 (Commissioner of Customs (Imports) ..vs.. Sainul
                              Abideen Neelam and another);
                                   (ii)   (1996) 9 Supreme Court Cases 225 (Ramesh
                              Babulal Doshi ..vs.. State of Gujarat);
                                   (iii) 2006   (197)    ELT   44   (Tri.     -   Chennai)
                              (S.Janarthanan    ..vs..   Commissioner       of    Customs,
                              Chennai); and
                                   (iv) (2010) 13 Supreme Court Cases 657 (Sunil
                              Kumar Sambhudayal Gupta (DR.) and others ..vs..
                              State of Maharashtra).




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                                                                   Crl.A.(MD) Nos.58 and 59 of 2009

                              11.   Heard the rival submissions made on both sides and

                      perused the materials available records.

                              12.   The case of appellant/prosecution is that on 10.03.1998,

                      the officers of the Customs, Preventive Division, Tuticorin, searched

                      the godown at No.111, Ettayapuram Road, Tuticorin and found rows

                      of cartons stacked in the southern side of godown and three persons

                      were also seen there. On enquiry, one person identified himself as

                      Nathan of Trichy and stated that he had employed other two

                      persons, viz., Selvaraj and Kalkan for packing the goods.               The

                      officers found 476 cartons in the godown. Out of which, 419 of

                      them containing sandal wood and 57 containing roofing tiles,

                      intended for export to Singapore.        Sri.R.Kalkan stated that as

                      directed by Nathan, he along with one Selvaraj had come to the

                      godown for packing the tiles and that he did not know anything

                      about sandal woods. Sri.Selvaraj also stated to the same effect.

                      The sandal woods, the export of which was prohibited under the

                      Customs Act, the Foreign Trade (Development and Regulation) Act,

                      1992 and the EXIM Policy 1997-2002, were seized by the officials.


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                      The roofing tiles, which appear to have been used for concealing

                      the sandal woods were also seized by them.         The officers also

                      searched Room No.212 of Chitra Lodge, Tuticorin on the same day

                      and recovered documents including Visiting Card of one Sri.Rahman

                      Sait. Sri.Nathan, who in his statement dated 11.03.1998 admitted

                      that his real name was Rahman Sait and the above Visiting Card was

                      that of him.   He further stated that he had come to meet one

                      Sri.Dhanapal, who had illicit dealing in sandal woods and made

                      discussion with him for smuggling of sandal woods to foreign

                      countries and in one such meeting, Dhanapal told him that he was

                      going to discharge sandal woods illicitly through Tuticorin Port and

                      wanted suitable persons for doing that job. Accordingly, Rahman

                      Sait @ Nathan suggested the name of Alexander, who is the

                      respondent in Crl.A.No.59 of 2009, who was running M/s.Gilbert

                      Overseas Shipping Company at Tuticorin and in December 1997, he

                      met Dhanapal, who told him that 10 tons of sandal woods were to

                      be smuggled to Singapore and that he contacted the said Alexander,

                      who agreed to arrange it for illicit export and 200 bags of sandal


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                      woods were sent to Alexander, which were kept in godown. Since

                      the said Alexander did not pursue the export in the manner as

                      stated by him, the said Rahman Sait @ Nathan (R5), along with

                      Dhanapal (R1), met one Mydeen (R2) of Mannadi, who was an

                      exporter in Chennai and discussed the matter and it appears that

                      the second respondent Mydeen told that he would arrange illicit

                      export through one Janarthanam @ Janar (R3) in Crl.A.No.58 of

                      2009. Accordingly, he met R3- Janarthanam @ Janar on 02.03.1998

                      and requested for arranging a godown and the said Janarthanam @

                      Janar (R3) arranged a godown through his friend Hari Ganga Ram.




                              13.   During investigation, it came to the knowledge of the

                      appellant Department that Janarthanam @ Janar (R3) took export

                      business under the panel “Janar Exports” and his relative Sri.Mohan

                      introduced Mydeen (R2) of Chennai to him and the second

                      respondent Mydeen asked the third respondent Janarthanam @

                      Janar to help him in exporting the goods, such as sandal woods

                      through Tuticorin Port and on 02.03.1998, the second respondent


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                      Mydeen contacted him over phone and told him that he got one

                      order for export of Mangalore Tiles to Singapore from one Nathan

                      (R5) and requested for arranging a godown. On 06.03.1998, Mydeen

                      (R2) sent documents by fax and asked Janarthanam @ Janar (R3) to

                      file the shipping bill as roofing tiles. On 07.03.1998, Janarthanam

                      @ Janar (R3) handed over the documents to Ramesh (R4) for filing

                      shipping bill, who also filed the same through C & F Agent

                      M/s.Ukkirapandian pillai & Sons.    On 09.03.1998, Rahman Sait @

                      Nathan (R5) came to the office of Janarthanam @ Janar (R3), to

                      ascertain whether the shipping bill was filed and also informed 2

                      tons of sandal woods were also part of roofing tiles. It appears that

                      there has been some altercation between R3 and R2 with regard to

                      the nature of sandal woods in the guise of roofing tiles, but,

                      however, the procedure of filing shipping bill proceeded through

                      Ramesh (R4), who corroborated the statement of Janarthanam @

                      Janar (R3).   Therefore, after investigation, they filed the case

                      before the learned Additional Chief Judicial Magistrate and the

                      learned Additional Chief Judicial Magistrate also taken cognizance


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                      of the complaint in C.C.Nos.2 of 2003 and 4 of 2004. After trial,

                      the learned Additional Chief Judicial Magistrate found that the

                      prosecution       has   failed   to   prove   its    case,    which      warrants

                      interference.



                              14.    In this case, the trial Court found that the sanctioned

                      authority has not been examined and therefore, the sanction of

                      prosecution was not established and the goods were not produced

                      before the Court and the statements given by all the accused have

                      subsequently been retracted and therefore, the trial Court found

                      that the prosecution has failed to establish its case beyond

                      reasonable doubt.        In this case, the prosecution has examined 7

                      witnesses and marked 13 documents and produced 2 M.Os. and one

                      Ex.C1.        Though the learned counsel for the respondents would

                      submit that the witnesses have turned hostile and they have not

                      supported the case of prosecution and the seized goods were also

                      not established, since they were not produced before the Court,

                      One Mr.Kalai Mani, who was examined as PW.2, has clearly stated


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                      about the sanction of prosecution.       Though the officer, who

                      sanctioned the prosecution was not examined in this case, the

                      person   who   acquainted   with   the   sanction    of    prosecution

                      proceedings in this case, was examined as PW.2 and he has clearly

                      spoken about the sanction of prosecution and also the sanctioned

                      authority has applied his mind and accorded the sanction and so,

                      mere non-examination of the officer, who has accorded the

                      sanction, is not fatal to the case of the prosecution, when it was

                      corroborated by other witnesses in this case. One Mr.Sriram, I.R.S.,

                      was examined as PW.3 and he has clearly deposed that on

                      10.03.1998, he received secret information about the smuggling of

                      sandal woods and they went to the spot, viz., Tuticorin,

                      Ettayapuram Road and searched the godown at Door No.111 at

                      about 11.30 hours and when he went to the place, the officers

                      enquired the persons, those who were in the godown and recorded

                      their statements and he has also seen the sandal woods and also the

                      Mangalore roofing tiles in the godown and they also recovered

                      Mangalore roofing tiles and also the sandal woods through Mahazars


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                      and he has also signed in the Mahazars. Therefore, searching of

                      godown at No.111, Ettayapuram Road, Tuticorin on 10.03.1998 was

                      established.




                              15.   One Sankaralingam was examined as PW.4, who had

                      clearly deposed that when he was working as Customs Inspector

                      during 1998 in Tuticorin, he received the information that in

                      Tuticorin, Ettayapuram Road, some of them hided the sandal woods

                      and he went to the place and one of the respondents Harigangaram

                      has given statement, which is marked as Ex.P8 and one Sundarrajan

                      was examined as PW.5. He has also stated that they searched the

                      company at Chennai and nothing was recovered during the search.

                      PW.6, one Mayilerumperumal was examined and he has spoken

                      about the photographs taken on 17.11.2007 and the CD, which were

                      marked as M.Os.1 and 2 and one Balraj was examined as PW.7 and

                      he has spoken that on 17.11.2007 at about 10' O clock, he went to

                      the godown and where he recovered 2720 Mangalore roofing tiles

                      and also recovered 57 cartons containing 2280 roofing tiles and at


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                      that time, they also taken photographs in their presence. During

                      investigation, the statements were also recorded from the

                      respondents and the statements recorded from Rahman Sait (R5)

                      was marked as Ex.P3 and has clearly deposed about the overt act

                      attributed   in this case   and the statement      recorded       from

                      Janarthanam (R3) was marked as Ex.P4 and the statement recorded

                      from Ramesh (R4) was marked as Ex.P5 and the statement recorded

                      from Mydeen (R2) was marked as Ex.P6 and the Mahazar is marked

                      as Ex.P7 and the statement recorded from one Harigangaram was

                      marked as Ex.P8 and the identity card of Antony Rajan was marked

                      as Ex.P9 and the Mahazar dated 10.03.1998 was marked as Ex.P10

                      and the statement of one Aiyarappapillai was marked as Ex.P11.

                      Further, the show cause notices issued by the Commissioner of

                      Customs No.I, Williams Road, Contonment, Trichy was marked as

                      Ex.P12. From the evidences of PW.1, the sanction of prosecution

                      was established and from the statements given by the respondents

                      from Exs.P3 to Ex.P6, it is clear that all the respondents have

                      involved in the offence.


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                              16.   Though Ramesh (R4) in Crl.A.No.58 of 2009 is not

                      directly involved in this case, even though after knowing fully well

                      that the other respondents attempted to smuggle the sandal woods

                      under the guise of roofing tiles, he has not informed to the Customs

                      Authority and therefore, he is also abide the same to the other

                      accused.

                              17.   The prosecution has filed the case for the offence under

                      Section 135(A) of the Customs Act, which is with regard to the

                      offence for the preparation and also Section 135(1)(A)(ii) r/w.

                      135(A), which is relating to attempt to smuggle through Tuticorin

                      Port to Singapore under the guise of roofing tiles.         Though they

                      prepared the bills, but one or some reasons, they could not succeed

                      in this.      But the prosecution has filed this case against the

                      respondents for preparation and also attempt to smuggle.                 On

                      reading of the case of the prosecution and also a perusal of the

                      prosecution witnesses and the statements recorded from the

                      respondents, the prosecution has established the charges as


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                      levelled against the respondents.     As already stated, mere non-

                      examination of the sanctioning authority is not fatal to the case of

                      the prosecution.




                              18.   The cases cited by the learned counsel for the

                      respondents are not applicable to the present case on hand. There

                      is no quarrel with the propositions of law laid down by the Hon'ble

                      Supreme Court and also the legal propositions followed by this

                      Court, whereas in this case, it is a peculiar nature that the persons,

                      who wanted to export the sandal woods, are not ready to declare

                      the goods and pay the customs' duty and thereby, violated the EXIM

                      Policy and Foreign Trade (Development and Regulation) Act,1992

                      and they attempted to smuggle the goods under the guise of roofing

                      tiles and contacted the persons from Chennai, and also contacted

                      other persons in the way, but could not succeed, where all the

                      respondents are involved in this case and the statements recorded

                      from the respondents Exs.P3 to P6 have clearly established the

                      involvement of the respondents in this case.         Though the main


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                      defence taken by the respondents that the statements given by the

                      respondents were subsequently retracted, but in this case, though

                      they have retracted, but the fact remains that the prosecution has

                      proved its case beyond reasonable doubt that they have attempted

                      to smuggle the goods.



                              19.   Though the learned counsel for the respondents has

                      stated that the goods were not seized within the customs area, but

                      this case is not for the offences of misdeclaration and smuggled the

                      goods, but in this case, the offences are only preparation and

                      attempt, and in this case, the persons, who were not connected

                      with Tuticorin, had taken the sandal woods from Chennai to

                      Tuticorin and kept in godown. Though the learned counsel for the

                      respondents would submit that the owners of the goods have not

                      been established and the recovery of goods have not been

                      established, but the evidence of the prosecution and the

                      statements of the respondents clearly show that Dhanapal (R1)

                      plays main role in this case, who wanted to smuggle the sandal


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                      woods and when he searched the person, he contacted R5, and in

                      turn R5 contacted R2, but they could not do that job and therefore,

                      R3 also turned into the picture and R4 for filing the shipping bill.

                      Therefore, reading of the entire evidence and also the order of this

                      Court in CMA No.93 of 2009 dated 27.02.2015 clearly goes to show

                      that all the respondents are involved in this case and also the

                      prosecution has established its case through oral and documentary

                      evidence and complicity of the respondents involved in the

                      offences, but the respondents have not established that the

                      statements given by them before the Customs Officers itself are

                      under force or coercion or undue influence or any threat.            But

                      reading of the entire evidence would clearly shows that the

                      statements were voluntary one.




                              20.   Even though it was argued that Janarthanam @ Janar

                      (R3) had retracted the statement and the same was not voluntary

                      one, but others in whose statements he was implicated, had also

                      retracted their statements.      Janarthanam @ Janar (R3) was


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                      contacted Mydeen (R2) through Sri.Mohan, for export of onions,

                      tiles, etc., After filing the shipping bill by Ramesh (R4), Rahman

                      Sait (R5) informed about sandal woods being part of the

                      consignment and he had immediately asked Ramesh (R4) to cancel

                      the shipping bill, but on intervention by Mydeen (R2) that if he did

                      so, he would involve him, he did not take any further action. But

                      he informed the facts to Ramesh (R4). As he had no knowledge, he

                      could not be charged under Customs Act. The sandal woods were in

                      the process of being packed and there was no attempt made to

                      export the same. On a perusal of the records, it is admitted fact

                      that the said R3 was informed by Rahman Sait about the sandal

                      woods being part of roofing tiles. Inspite of having knowledge, he

                      did not inform the same to the Customs and he rather informed

                      Sri.Mydeen (R2) for monitory consideration to do that. Therefore,

                      R3 was also involved in this case. This Court already found in CMA

                      that the Commissioner found that inspite of having knowledge of

                      the sandal woods being part of the consignment of roofing tiles,

                      they did not intimate the same to the Customs Authorities.


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                      Therefore, though the respondents have stated that no ownership is

                      established and the goods also not produced before the Court, but

                      the fact remains that all the respondents, in one way or other,

                      knowing fully well that the sandal woods were kept in the godown

                      and making attempt to smuggle the goods to Singapore in the name

                      of roofing tiles, but they have not informed the same to the

                      Customs officials at the moment when they came to know that the

                      sandal woods are being part of the roofing tiles.




                              21.   Therefore, in the absence of the statements given by the

                      respondents, obtained by the customs officials otherwise in the

                      manner known to law, it is well settled law that any statement

                      made before the Customs Officers is admissible in evidence and

                      when the order of the Assistant Commissioner as confirmed by this

                      Court in CMA No.93 of 2003 and the penalty imposed by the

                      Commissioner to the respondents were confirmed and none of the

                      respondents have filed any appeal challenging the order of the

                      Court, now, they cannot say that the statements given by them


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                      were subsequently retracted and the Court cannot rely on the

                      retracted statements. It is well settled proposition of law that the

                      customs officials are not the police officials and therefore, the

                      statements given before the customs officers are admissible in

                      evidence and therefore, from the evidences of prosecution, the

                      prosecution has proved its case beyond reasonable doubt as the

                      charges framed against the respondents are only preparation and

                      attempt to smuggle.         Though before the trial Judge, the

                      photographs of the sandal woods were also taken and produced, the

                      learned trial Judge also inspected the godown and also seen the

                      materials that due to the larger quantity, it could not be produced

                      before the Court trial during the trial and therefore, the non-

                      production of sandal woods or roofing tiles before the trial Court

                      during the trial cannot be fatal to the case of prosecution.




                              22.   On reading of the entire evidences of the prosecution

                      and the statements given by the respondents before the Customs


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                      officials and also the photographs which were produced before the

                      Court as Material Objects it is seen that the penal proceedings were

                      taken by the Department, which was confirmed by this Court and

                      admittedly the respondents have not challenged the order of this

                      Court regarding penalty     proceedings.      Therefore, in these

                      circumstances, this Court comes to the conclusion that the

                      prosecution has proved its case beyond reasonable doubt that the

                      respondents made a preparation and attempt to smuggle the sandal

                      woods in the name of roofing tiles and as per Foreign Trade

                      (Development and Regulation) Act, 1992, EXIM Policy and Foreign

                      Trade Policy 1997-98, the sandal woods are prohibited items for

                      exporting. The learned trial Judge failed to consider the legal as

                      well as factual position in this case and even though there is

                      sufficient materials available to convict the respondents for the

                      charged offences, he has not appreciated the evidence properly in

                      right perspective to give effect to the Specific provisions of the

                      Customs Act and this Court finds that the appellant has not proved

                      its case and the respondents are not found guilty for the offence


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                      under Section 132 of Customs Act and all the respondents are

                      acquitted for the said offence. The appellant/Customs Department

                      has proved its case beyond reasonable doubt for the offence

                      punishable under Sections, 135(1)(a)(ii) r/w.135(A) of the Customs

                      Act and therefore, they are convicted under Sections 135(1)(a)(ii)

                      r/w.135(a) of the Customs Act. Therefore, the judgment of the

                      learned trial Judge is liable to be set aside and accordingly, set

                      aside, in this regard.




                              23.   Since it is a reversal judgment, before awarding

                      sentence, the accused have to be given opportunity for being asking

                      the question of sentence.



                              24.   In the result, the Criminal Appeal stands allowed in part

                      and the acquittal of respondents in both the appeals for the charges

                      under Section 132 are confirmed and for the charges under

                      Sections, 135(1)(a)(ii) r/w.135(a) of the Customs Act, by the

                      learned Additional Chief Judicial Magistrate, Madurai, in C.C.Nos.2


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                      of 2003 and 4 of 2004 vide separate judgments dated 23.05.2008

                      are hereby set aside.      The respondents in both the appeals are

                      directed to appear before this Court on 23.11.2019 for being asking

                      the question of sentence.



                                                                                  19.10.2019.
                      Speaking / Non-speaking
                      Index      : Yes/No
                      mra

                      To

                      1.      The Additional Chief Judicial Magistrate,
                              Madurai.

                      2.      The Public Prosecutor,
                              High Court, Chennai.




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                                           P.VELMURUGAN, J.

mra Pre-delivery Judgment in Crl.A.(MD) Nos.58 and 59 of 2009 19.10.2019.

30/32 http://www.judis.nic.in Crl.A.(MD) Nos.58 and 59 of 2009 Crl.A.(MD)No.58 & 59 of 2009 P.VELMURUGAN, J.

When the matter is listed under the caption for 'Question of Sentence' today for the appearance of the parties, none appeared.

2. Learned counsel appearing for the Department submits that the accused have been absconded and they may be in North India.

3. Since the respondents have not availed the opportunity given by this Court and the matter is pending for more than 10 years, this Court, in the absence of availing the right of the parties, is inclined to pronounce the sentence.

4. Since the respondents / accused were acquitted for the offence under Section 132 of Customs Act and convicted for the offence under Section 135 (1)(a)(ii) r/w 135 (A), respondents / accused in Crl.A.(MD)No.58 of 2009 shall undergo imprisonment of one year and pay fine for a sum of Rs.50,000/- each, in default, to undergo six months rigorous imprisonment and respondent in Crl.A. (MD)No.59 of 2009 shall undergo one year imprisonment and to pay a fine of Rs.50,000/-, in default, to undergo six months rigorous imprisonment.

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sm/pm

5. Department is directed to secure the respondents / accused to undergo the sentence of imprisonment imposed by this Court.

6. Mr.S.Jothimani, Legal Aid Counsel for the respondents in both the appeals is entitled for fee as per the Rules.

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