Appellant penalized for false export certificate, gets partial waiver due to financial hardship.

The Tribunal found that the appellant provided a false certificate regarding the export of goods, leading to fraudulent export benefit claims. While not granting a total waiver of the penalty, a partial waiver was allowed due to the appellant's financial hardship. The appellant was instructed to pay Rs.50,000 within eight weeks, with the remaining penalty waived upon compliance. Recovery of the penalty was suspended pending the appeal, with a compliance report due by 03.12.2012.

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Issues:
1. Waiver of penalty under Section 114(i) of the Customs Act for giving a false certificate regarding export goods.

Analysis:
The appellant, a retired Central Excise Superintendent, sought waiver of a penalty of Rs.25,00,000 imposed under Section 114(i) of the Customs Act. The Revenue alleged that the appellant certified that goods were stuffed in containers and exported, leading to a claim of export benefit of approximately Rs.4 Crores. However, investigations revealed discrepancies as the containers were not found at the certified location. It was disclosed that Central Excise documents were fabricated with the appellant's help, leading to the imposition of penalties. The appellant argued financial hardship due to retirement and pending departmental proceedings. The Revenue contended that the appellant gave false certificates, making him liable for penalties.

The Tribunal found that the appellant indeed gave a false certificate regarding the stuffing of goods in containers, which were not present at the certified location during export. This act enabled exporters to claim benefits worth Rs. 4 Crores. While the case did not warrant total waiver of penalty, considering the circumstances and financial hardship claimed by the appellant, a partial waiver was granted. The appellant was directed to deposit Rs.50,000 within eight weeks, with the remaining penalty amount being waived upon compliance. Recovery of the penalty was stayed during the appeal's pendency, with a compliance report due on 03.12.2012.

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