Tribunal denies tug clearance without duty, upholds demand, directs appeal for final disposal The Tribunal dismissed the applicant's request for clearance of the tug without duty appropriation, upheld the previous order confirming demand and ...
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Tribunal denies tug clearance without duty, upholds demand, directs appeal for final disposal
The Tribunal dismissed the applicant's request for clearance of the tug without duty appropriation, upheld the previous order confirming demand and confiscation, and directed the appeal to be listed for final disposal on 19.11.2018 due to the substantial amount involved and the earlier grant for early hearing.
Issues: 1. Appeal against Order-in-Original dated 20.1.2014 confirming demand and confiscation. 2. Redemption of tug and rig on payment of fines under Section 125 of the Customs Act, 1962. 3. Bank Guarantee execution and replenishment. 4. Request for clearance of tug and rig on payment of redemption fines.
Analysis: 1. The applicant filed an appeal against the Order-in-Original dated 20.1.2014, confirming a demand of Rs. 1,32,13,016 on tug 'M.V. Shunter' and Rs. 11,48,43,512 on rig 'Mercury Focus', with additional interest and penalties. The impugned order also included confiscation of the tug and rig, allowing redemption on payment of fines under Section 125 of the Customs Act, 1962.
2. The Tribunal, in Misc. Order No.21136-21139/2014, allowed the early hearing of the appeal and kept the Bank Guarantee of Rs. 3.5 crore alive during the appeal's pendency. Subsequently, a letter dated 11.06.2018 rejected the request to release the tug on payment of redemption fine. The Tribunal, in an order dated 10.7.2018, directed the release of the tug on payment of redemption fine and appropriation of duty liability from the Bank Guarantee, with a replenishment requirement.
3. The applicant sought to clear the tug on payment of redemption fine and a Bank Guarantee without duty appropriation. The learned counsel argued against rectification of the interim order, while the AR opposed the applicant's request for review, stating it was an interim order without scope for rectification.
4. After hearing both parties and reviewing the records, the Tribunal found no error in the Misc. Order dated 10.7.2018. The Tribunal dismissed the applicant's contention, upholding the previous order's validity. Given the substantial amount involved and the earlier grant for early hearing, the Tribunal directed the appeal to be listed for final disposal on 19.11.2018 due to non-availability of the Bench earlier.
5. In conclusion, the Tribunal dismissed the application seeking clearance without duty appropriation, upheld the previous order's validity, and directed the appeal to be heard for final disposal on 19.11.2018, considering the significant amount at stake and the earlier grant for early hearing.
(Order pronounced and dictated in Open Court on 27/08/2018.)
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.
TaxTMI 
of 
Join Channel
TaxTMI 
