Customs Superintendent penalty waiver denied for allowing overvalued exports, evidence implicates in scheme.

The Tribunal denied the waiver of a penalty of Rs. 25,000 imposed on a Customs Superintendent for allowing the export of overvalued consignments to obtain undue drawback. Despite the applicant's argument regarding the appeal deadline falling on a weekend and his limited involvement in the disputed consignments, the Revenue presented evidence implicating him in the scheme. The Tribunal found the applicant failed to establish grounds for waiver, directing the deposit of the penalty within eight weeks for further appeal proceedings.

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Issues: Waiver of pre-deposit of penalty under Section 114(iii) of the Customs Act, 1962

Analysis:
1. The applicant, a Superintendent of Customs, sought waiver of a penalty of Rs. 25,000 imposed for allowing the export of overvalued consignments to obtain undue drawback.
2. The applicant contended that the appeal was filed within the normal period of limitation on merits, as the appeal deadline fell on a weekend, and argued that penalties were not sustainable as he only gave let export order for two consignments, not all seven in dispute.
3. The Revenue, however, supported the penalty citing evidence that the applicant allowed overvalued consignments for monetary consideration, referencing a statement by a co-noticee implicating both parties in the scheme.
4. The Tribunal found the applicant failed to establish a case for waiver, directing the deposit of Rs. 25,000 within eight weeks, with compliance to be reported by a specified date for further appeal proceedings.

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