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1. After hearing both sides for some time on the applications for waiver of pre-deposit of penalties imposed upon the applicants by the Commissioner of Customs in the impugned order (as per details shown in the annexure to this order), we find it possible to hear and decide the appeals themselves, hence after waiving pre-deposits, we proceed to dispose of the appeals themselves with the consent of both sides.

2. By the impugned order, duty demand has been confirmed on M/s. Shree Venkateshwara Plastic Products and Shri P.V.B Chary on the grounds inter alia that watch modules imported by them were undervalued and further for the reason that they were not the actual users engaged in the manufacture of watches and did not possess any valid import licence for import of watch modules.

3. The Commissioner has ordered that customs duty to the extent not recovered from the above mentioned two persons should be recovered from National Transport Co., which is a customs house agent, treating it as the agent of the importer. Penalties have been imposed on other persons for acts of omission or commission, rendering the watch modules liable to confiscation.

4. It is the plea of Shri J.C. Patel, Counsel appearing for Suresh Sheth that while the show cause notice dated 25-4-97 was issued and was made answerable to the Commissioner of Customs, Air Cargo, Sahar, in respect of goods, which had been imported at Sahar, Air Cargo and allowed clearance on provisional assessment by Sahar Air Cargo Customs, the notice was adjudicated by the Commissioner of Customs (Adjudication), Mumbai who had no jurisdiction to do so, in the absence of a notification issued by the Central Government under Section 4 of the Customs Act, 1962 specifically authorising him to adjudicate the notice. In support of this submission he relied upon the Tribunal's order in the case of Consolidated Enterprises v. Commissioner of Customs (G), Mumbai, [2001 (137) E.L.T. 1223] which has been followed in the case of Auto Ignition Ltd. v. Commissioner of Customs, ACC, Mumbai [2002 (144) E.L.T. 631].