Customs, Excise and Gold Tribunal - Mumbai
Aryan Overseas Ltd. And Atul Bhatia vs Commissioner Of Customs, Mumbai on 3 October, 2001
JUDGMENT
Gowri Shankar, Member (Technical)
1. Application by Aryan Overseas Ltd. is for waiver of deposit of penalty of Rs.7.50 lakhs imposed on it and application by Atul Bhatia, its director is for waiver of deposit of penalty of Rs. 5 lakhs. Penalties have been imposed on the ground that the company imported tin plate; but undervalued and declared it to be tin free sheet. The goods were ordered to be confiscated under clause (d) of Section 111 of the Act and counsel for the applicant stated that they have not yet been redeemed on payment of fine. The CIF value determined by the department is about Rs. 50 lakhs. Duty payable is Rs.30 lakh. The market value therefore would not be less than Rs.80 lakhs. Hence, the amount that the department would get by sale of the goods would prima facie be greater than the penalty. The applicant has already deposited Rs. 13.29 lakhs being the duty on the value declared by them and the differential duty payable is Rs.17 lakhs.
2. In theses circumstances, we waive deposit of the penalty imposed on the company and stay its recovery.
3. These considerations therefore will not apply however to the penalty imposed on Atul Bhatia, the director. The contention that he did not receive the documents relied upon in the notice is prima facie unacceptable in the light of an acknowledgement dated 27.7.99 for legible copies of relied upon documents. No arguments are raised on the merits. The contention of financial hardship is unsupported by evidence.
4. We therefore direct deposit of Rs.2 lakhs by him within a month from the receipt of this order, upon which we waive deposit of the remaining amount and stay its recovery.
5. Compliance on 15.11.2001(to be shown to Court 1).
6. In view of the fact that identical matters are being dealt with in Court 1, these appeals may be transferred to Court 1.