Tribunal upholds gold confiscation under Customs Act 1962, overturns penalty.

The Tribunal upheld the confiscation of two gold biscuits under the Customs Act, 1962, due to non-declaration and the appellant's ineligibility to bring gold from abroad. The penalty of Rs. 10,000 imposed on the appellant was set aside, considering the circumstances and the appellant's proof of ownership.

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Issues:
- Confiscation of gold biscuits under Customs Act, 1962
- Imposition of penalty under Customs Act, 1962

Confiscation of gold biscuits under Customs Act, 1962:
The case involved the seizure of two gold biscuits weighing 120 grams valued at Rs. 3,55,680 from the appellant at the airport. The original authority confiscated the gold under Sections 111(d), (i), (l), and (m) of the Customs Act, 1962, and imposed a penalty of Rs. 10,000 under Section 112(a) and (b). The appellant appealed against this decision, arguing ignorance of the law regarding reporting gold brought from abroad and passing through the green channel instead of the red channel. The appellant claimed the gold was purchased for making ornaments for his family and not for sale. The Commissioner(Appeals) rejected the appeal, leading to the present appeal.

Upon hearing both sides and examining the evidence, the Tribunal found that the appellant concealed the gold, did not declare it, and passed through the green channel to avoid customs duty. It was noted that the appellant was not eligible to bring gold from abroad as his stay was only 35 days, violating Notification No.12/2012-Cus. The Commissioner(Appeals) mentioned the appellant's failure to prove ownership of the gold, but the appellant later provided the original invoice from the seller. Despite proving ownership, the gold was rightfully confiscated due to non-declaration and ineligibility under the notification. However, the Tribunal set aside the penalty of Rs. 10,000 considering the circumstances and the appellant's proof of ownership.

Imposition of penalty under Customs Act, 1962:
The Tribunal, after considering the arguments and evidence, upheld the confiscation of the gold biscuits under the Customs Act, 1962, based on non-declaration and ineligibility of the appellant to bring gold from abroad. However, the penalty of Rs. 10,000 imposed on the appellant under Section 112(a) and (b) was deemed unjustified. The Tribunal acknowledged the appellant's proof of ownership and set aside the penalty, partially allowing the appeal in favor of the appellant.

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