Prohibited goods and name-lending in import transactions justified confiscation, penalty, and denial of redemption under customs law.

A used vehicle imported in breach of import conditions and foreign trade restrictions was treated as prohibited goods under the Customs Act because the appellant was found to be only a name lender and the real import was carried out by another person. On those facts, confiscation under Section 111(d) was held justified, and redemption under Section 125 was denied because the import violated the applicable trade regime. The precedents cited by the appellant were distinguished on facts and found inapplicable. The confiscation and penalty were upheld, and the challenge failed.

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Issues: Whether the import of the used vehicle in the name of the appellant was liable to absolute confiscation and whether the penalty and confiscation confirmed by the lower authorities were sustainable.

Analysis: The appellant was found to be only a name lender and the actual import activity was carried out by another person. The vehicle was a used car imported in breach of the import conditions applicable to second-hand vehicles and contrary to the Foreign Trade regime. On the facts found, the vehicle fell within the category of prohibited goods under the Customs Act, and the confiscation under Section 111(d) was justified. Since the import was in violation of the applicable trade restrictions, the plea for redemption under Section 125 did not succeed. The precedents relied upon were distinguished on facts and were held inapplicable.

Conclusion: The confiscation and the penalty were upheld; the appellant's challenge failed.

Final Conclusion: The appeal was dismissed and the order confirming absolute confiscation and penalty remained undisturbed.

Ratio Decidendi: A person who lends his name for an import that is effected in violation of the import policy and trade restrictions cannot avoid confiscation where the goods are held to be prohibited goods and the import is found to be fraudulent and contrary to law.

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