Reduction of confiscation fine and penalties granted, while concealment-related fine was upheld as reasonable.

Fine in lieu of confiscation of prohibited goods was reduced after considering the value of the goods and the plea of heavy demurrage, while the fine imposed on goods used to conceal the prohibited goods was upheld as reasonable. The penalties imposed on the partnership firm and its two partners were also reduced on the totality of facts and circumstances. The challenge was confined to the quantum of fine and penalty, and the relief granted was partial reduction rather than full waiver.

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Issues: Whether the fine in lieu of confiscation of prohibited goods and the penalties imposed on the partnership firm and its partners required reduction.

Analysis: The challenge was confined to the quantum of fine and penalty. In view of the value of the prohibited goods and the plea of heavy demurrage, the fine in lieu of confiscation of the prohibited goods was reduced. The fine imposed for goods used to conceal the prohibited goods was maintained as reasonable. The penalties on the firm and the two individuals were reduced having regard to the totality of facts and circumstances.

Conclusion: The fine and penalties were reduced in part, while the fine of Rs. 1 lakh for concealment goods was sustained.

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