The Customs, Excise & Service Tax Appellate Tribunal, Allahabad, ruled that clearance of consignment attempted by a customs broker without physical verification was not enough to revoke license.
The bench observed that the order holding that Appellant has not contravened the provisions of Regulation 10 (a), (b), (d),(e),(f),(k) & (n) of the Customs Brokers Licensing Regulations, 2018 (CBLR, 2018) but dittoing of the findings recorded in the inquiry report without any application of judicial mind or thinking to regulation contravened and the facts in hand.
The bench found that the a bill of entry has been filed using the login id and password of the Appellant. Subsequently the consignment covered by the said bill of entry is found to be mis-declared and has been confiscated, allowed to be redeemed against payment of redemption fine, for re-export.
It was noted that no other evidence has been adduced in the entire proceedings to hold the Appellant guilty of contravention of various provisions of Regulations 10 (a), (b), (d),(e),(f),(k) & (n) of the CBLR, 2018.
The tribunal did not find even an iota of evidence as per which it can be concluded that Appellant was responsible for filing of the said bill of entry. Proprietor of importer Archit Sharma specifically states that he never had contacted or met the Appellant or was even under impression that bill of entry for clearance of his consignments were to filed by the Appellant. On the contrary he specifically states that the work for the clearance of the said consignment had been entrusted by him to M/s Goodwings Maritime Pvt Ltd.
The bench observed that the case of mis-declaration has been adjudicated without issuance of show cause notice on the basis of waiver of show cause notice by the importer implicating the Appellant and imposing penalty of Rs 1,00,000/- on him under Section 114AA of the Customs Act, 1962, and without holding him liable for penal action under Section 112 (a) or 112 (b) of the Customs Act,1962. Only importer has been held liable under Section 112 (a) of the Customs Act, 1962 for contravention making the goods liable for confiscation under Section 111 (d) and (o) of the Customs Act, 1962.
Facts
Appellant is holding a Customs Broker License issued by the Commissioner of Central Goods and Service Tax, Kanpur. The Customs broker is registered under Regulation 7(3) of Customs Broker Licensing Regulation, 2018 to work in Customs Commissionerate, New Delhi.
Investigations were taken against M/s JCS Botanicals, New Delhi- in respect of a bill of entry at ICD Jhattipur, Panipat through the Appellant for clearance of their goods as declared by them. On completion of investigations matter have been adjudicated as per Order.
Case Details
Case Name: M/s Prakhar Gupta V/S Commissioner, Central (Prev.) Lucknow
Citation: Customs Appeal No.70439 of 2022
Court: CESTAT Allahabad
Coram: Mr. P.K. Choudhary, Member (Judicial) and Mr. Sanjiv Srivastava, Member (Technical)
