2019 (3) TMI 674 - AT - Customs

Tribunal Reduces Redemption Fine for Unlicensed Photocopier Import, Upholds Penalty

A.B. Impex Versus Commissioner of Customs & Central Excise HYDERABAD-II

The Tribunal reduced the redemption fine imposed on the appellant for importing second-hand photocopiers without a license to 10% of the enhanced value, ... Quantum of redemption fine and penalty - import of second hand photocopiers without license - Held that:- The redemption fine and penalty imposed should be in consonance with the law as has been laid down by this Bench. i.e. 10% of the enhanced value as redemption fine 5% as penalty. The redemption fine of 10% of the enhanced value should meet the ends of justice - in the present case, the redemption fine imposed on the appellant in this case is reduced to 10% of the enhanced value i.e. ₹ 16,13,570/- - penalty imposed is reasonable and within the range as has been applied by the Tribunal - appeal allowed in part. Issues Involved: Redemption fine and penalty imposed for import of second-hand photocopiers without license.Redemption Fine Analysis: The appeal challenged the redemption fine and penalty imposed by lower authorities for importing second-hand photocopiers without a license. The value of the photocopiers was initially declared but later enhanced to Rs. 16,13,570, leading to a duty liability determination. The goods were held liable for confiscation, but were released upon payment of a redemption fine in lieu of confiscation. The appellant argued that the redemption fine and penalty should align with established legal principles, citing the precedent set by the Tribunal in Marque Enterprises Vs CC (Preventive) Amritsar [2015(329) ELT 307 (Tri-Del)]. The Tribunal reviewed previous decisions and held that a redemption fine of 10% of the enhanced value would serve justice. Consequently, the redemption fine imposed on the appellant was reduced to 10% of the enhanced value, i.e., Rs. 16,13,570.Penalty Analysis: The Tribunal found the penalty imposed to be reasonable and within the range applied in previous Tribunal cases. The penalty amount of Rs. 1,00,000 was upheld without modification. The appeal was disposed of, and the order-in-appeal was modified accordingly. The judgment was pronounced and dictated in open court by the Tribunal.This comprehensive analysis of the legal judgment highlights the issues of redemption fine and penalty imposed for the import of second-hand photocopiers without a license. The Tribunal's decision regarding the reduction of the redemption fine and the upholding of the penalty amount is based on established legal principles and precedents set by previous Tribunal cases.