Customs Broker verification duties under Regulation 10(n) do not require physical inspection or continuous surveillance.

Regulation 10(n) of the Customs Brokers Licensing Regulations, 2018 requires a Customs Broker to verify the client's IEC, GSTIN, identity and declared address using reliable, independent and authentic documents or information. The broker is not required to conduct physical inspection of every client's premises, guarantee the correctness of government-issued registrations, or maintain continuous surveillance after initial verification. On the facts, there was no material showing that the documents relied on were fake or forged, so the alleged violation was not established and the revocation of licence, forfeiture of security deposit and penalty could not stand.

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Issues: Whether the Customs Broker violated Regulation 10(n) of the Customs Brokers Licensing Regulations, 2018 by not verifying the correctness of IEC and GSTIN, the identity of the client, and the functioning of the client at the declared address, so as to justify revocation of licence, forfeiture of security deposit, and penalty.

Analysis: Regulation 10(n) requires verification of IEC, GSTIN, identity of the client, and functioning at the declared address through reliable, independent, and authentic documents, data, or information. The obligation does not require the Customs Broker to conduct physical inspection of every client's premises or to guarantee the correctness of government-issued IEC and GSTIN particulars. Once the broker verifies such certificates and obtains independent, authentic documents reflecting the client's identity and address, the statutory obligation is met. There was no material showing that the documents relied upon were fake or forged, nor that the Customs Broker was bound to maintain continuous surveillance after initial verification. The adverse action was therefore unsupported.

Conclusion: The alleged violation of Regulation 10(n) was not established, and the orders revoking the licence, forfeiting the deposit, and imposing penalty could not stand.

Final Conclusion: The impugned action against the Customs Broker was set aside and the appeal succeeded with consequential relief.

Ratio Decidendi: A Customs Broker satisfies Regulation 10(n) by verifying IEC, GSTIN, identity, and declared address through reliable, independent, and authentic material; the regulation does not impose a duty of physical inspection or continuous surveillance, nor does it require the broker to overrule the validity of government-issued registrations absent evidence of fraud or forgery.

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