Sections 28, 108, 112(a), 112(b), 113A, 129A and 138B of the Customs Act – Order for confiscation, recovery of duty for concealed goods, interest and personal penalty

On investigation of container of consignment “Damar Batu” of the petitioner covered by the Bill of Entry dated 5.10.1999 in presence of two panchas and proprietor of Shipping Agency, the concealment of foreign ball bearings (value of Rs.58,91,006/- was found.  Moreover, the address was incorrect.

In the statements of the petitioner, the petitioner admitted concealment.  Moreover, it was found that huge consignment of foreign original ball bearings were found in the godown at Alandi, Pune.

The show cause notice dated 29.2000 for Rs.2,45,83,219/- was, therefore, issued to the proprietor and the petitioner for concealment of foreign ball bearings in the declared consignment of Damar Batu.

The petitioner invoked the jurisdiction of Settlement Commission, which, in turn, held that it had no jurisdiction.   The matter went upto the Supreme Court till 21.7.2015.   It appears that the petitioner could not approach the Settlement Commission.

The earlier show cause notice was taken up for adjudication.

The petitioner was represented by the Advocate.

The order dated 28.6.2017 in 118 pages was passed for confiscation of consignment and custom duties with interest and personal penalty.

The  only grievance of the petitioner was that he was not given opportunity to cross-examine Godown keeper, person who had taken godown lease, dealer and proprietor interested in purchase of consignment at discounted price.

HELD that the order was passed not only on consideration of the statements but on other direct evidence.  Moreover, the notice was issued in 2000 and cross-examination was sought in 2017.  It shows lack of bona fides.  Similarly,  Section 138B does not per se provide for any cross-examination.

Judgment dated 5.12.2023 in W.P.No.12217 of 2017 of Shri Bipin Badani Vs. Union of India and another.