Burden of proof for foreign-marked seized goods cannot be shifted to revenue absent a statutory presumption.

In proceedings concerning seized goods bearing foreign markings, the court held that the Tribunal erred in placing the burden on the revenue to prove foreign origin where the goods were not notified under Section 123 of the Customs Act, 1962. Applying its earlier ruling on the same issue, the court found the Tribunal's interference with the adjudicating authority and first appellate authority unsustainable in law. The connected questions on confiscation, recovery, and the operation of statutory presumptions were resolved on the same basis, and the confiscation and consequential orders were restored.

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Issues: Whether the burden of proving that seized goods with foreign markings were of foreign origin lay on the revenue and whether the Tribunal was justified in setting aside the confiscation and consequential orders.

Analysis: The appeal turned on the correctness of the Tribunal's view that, in respect of goods not notified under Section 123 of the Customs Act, 1962, the burden rested on the revenue to establish foreign origin. The Court followed its earlier decision on the same question and held that the Tribunal's approach was erroneous in law. On that footing, the Tribunal's interference with the orders of the adjudicating authority and the first appellate authority could not stand. The connected questions relating to confiscation, recovery, and the effect of the statutory presumptions under the Customs Act, 1962 were answered on the same basis.

Conclusion: The issue was answered in favour of the revenue. The Tribunal's order was set aside and the orders of the original authority and the first appellate authority were restored.

Final Conclusion: The revenue succeeded in appeal, and the confiscation and consequential adjudicatory orders against the respondent stood revived.

Ratio Decidendi: In proceedings concerning seized goods with foreign markings, the Tribunal cannot place the burden on the revenue to prove foreign origin where the law does not warrant such a presumption against the revenue.

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