2009 (3) TMI 784 - AT - Customs

Appeal Granted on Financial Hardship, Truck Confiscation Upheld, Personal Penalty Set Aside

KRISHNA SAHA Versus COMMISSIONER OF CUSTOMS (PREV.), WEST BENGAL

The Appeal was disposed of with the waiver of predeposit of penalty granted due to the Appellant's financial hardship. The confiscation of the truck used ... Stay/Dispensation of pre-deposit - Penalty - Confiscation of conveyance - Smuggling Issues:1. Waiver of predeposit of penalty2. Confiscation of truck used for transportation of smuggled goods3. Imposition of penalty under Section 112 of the Customs Act, 1962Analysis:1. The Applicant/Appellant sought a waiver of predeposit of penalty of Rs. 10,000 due to financial hardship after redeeming and selling the confiscated truck. The Appeal was taken up for hearing without predeposit considering the Appellant's circumstances.2. The Appeal was filed against an Order confiscating the truck used for transporting smuggled goods, with a redemption fine of Rs. 40,000 and a personal penalty of Rs. 10,000 imposed on the Appellant. The Appellant claimed no knowledge of the goods loaded by the driver and relied on a Tribunal decision. The Revenue argued the onus was on the owner to prove lack of knowledge, citing a Supreme Court decision.3. The Tribunal found the truck was indeed used for smuggling, as the goods were loaded with the driver's consent, making the owner liable. Relying on the Supreme Court decision, the Tribunal upheld the confiscation and redemption fine. However, as the Appellant had no connection to the smuggled goods, the penalty under Section 112 of the Customs Act, 1962 was deemed unsustainable and set aside, resulting in the Appeal being disposed of accordingly.