Immediate release ordered for watches in tax dispute, no bond required, penalty payment mandated The court directed the immediate release of watches upon the petitioner's compliance with the Commissioner (Appeals) order, emphasizing the Department's ...
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Immediate release ordered for watches in tax dispute, no bond required, penalty payment mandated
The court directed the immediate release of watches upon the petitioner's compliance with the Commissioner (Appeals) order, emphasizing the Department's delay in obtaining orders despite accepting the redemption fine. The court declined to require a bond for the full value, citing the Department's inaction. The judgment ordered the release of goods upon payment of a specified personal penalty, without imposing costs on either party.
Issues: 1. Direction sought for release of watches based on Commissioner (Appeals) order 2. Delay in disposal of revision petition by the Central Government 3. Requirement of furnishing a bond for the full value
Analysis: 1. The petitioner filed appeal petitions against the Order-in-Original by the Additional Commissioner of Customs, Chennai. The appeals were successful, setting aside the confiscation order with conditions of redemption fine and personal penalty. The petitioner paid the redemption fine but not the personal penalty. Despite the Department filing a revision petition with the Central Government, it remains pending, causing delay. The court noted that the revision petition's pendency does not imply a stay order, especially after three years, with no orders obtained by the Department.
2. The court considered the circumstances and directed the release of the watches upon the petitioner's compliance with the Commissioner (Appeals) order. It emphasized that the Department's failure to move the Revisional Authority and obtain orders for over three years, despite accepting the redemption fine, does not justify withholding compliance with the Order-in-Appeal. The court declined to issue a direction for furnishing a bond for the full value, citing the Department's inaction and the petitioner's fulfillment of the redemption fine.
3. The judgment disposed of the writ petition by ordering the immediate release of the goods upon payment of the personal penalty of Rs. 10,000, as specified by the Commissioner (Appeals). The release was to occur within two days of payment. The court concluded the judgment without imposing any costs on either party.
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