2013 (10) TMI 337 - AT - Customs

Tribunal Grants Stay Petitions for Basmati Rice Exporters

The Tribunal granted the Stay Petitions, allowing waiver of pre-deposit of penalties for exporting basmati rice under specific DGFT notifications. The ... Benefit of Notification No. 55/2009-14 - Appellant had exported the prohibited basmati rice - appellant had claimed benefit of Notification No.55(RE-2008)/2004-2009, dt.05.11.2008 as amended by Notification No.57/2009-14, dt.17.08.2010 issued by DGFT authorities - Held that:- The issue involved in the case covered by the decision of the co-ordinate Bench of the Tribunal GLOBAL AGRO IMPEX Versus COMMISSIONER OF CUSTOMS, NOIDA [2013 (9) TMI 851 - CESTAT NEW DELHI] - Under Section 129E of Customs Act there was no requirement of pre-deposit of redemption fine - The detained goods were sufficient security for realising the dues from the order and therefore there was a considerable merit in the argument of the appellants. - Stay Granted. Issues Involved:Stay petitions for waiver of pre-deposit of penalties and setting aside confiscation.Analysis:The judgment pertains to two Stay Petitions seeking waiver of pre-deposit of penalties imposed by the adjudicating authority and setting aside confiscation. The appellant had exported basmati rice and claimed benefit under specific notifications issued by DGFT authorities. The impugned Order-in-Original found the appellant had exported prohibited basmati rice, but upon review, it was revealed that the goods fell within the restrictions clarified by DGFT notifications. The report of the Chief Chemist supported this finding. The issue at hand appears to be similar to a decision by a co-ordinate Bench of the Tribunal in the Global Agro Impex case.The Tribunal noted that the appellant had established a prima facie case for waiver of pre-deposit of penalties. Consequently, the applications for waiver of pre-deposit of penalty amounts were allowed, and the recovery thereof stayed until the appeals are disposed of. The judgment was pronounced in court by one of the judges.This analysis highlights the core issues of the Stay Petitions, the interpretation of DGFT notifications, the findings regarding the exported basmati rice, the relevance of the Chief Chemist's report, the comparison to a similar case, and the decision to grant a waiver of pre-deposit of penalty amounts.