Section 108 admissions retained evidentiary value, and the reduced customs penalty was left undisturbed.

Statements recorded under Section 108 of the Customs Act were treated as admissible evidence of the petitioner's participation in the import scheme, and the contradictions suggested in cross-examination were found insufficient to displace those admissions. The Tribunal's reduction of penalty was treated as already favourable to the petitioner, and the High Court found no basis to interfere with the sustained penalty order. The operative point is that recorded admissions retained evidentiary value despite attempted impeachment, and the reduced penalty was not disturbed.

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Issues: Whether the Court should interfere with the order sustaining penalty, reduced by the Tribunal, in view of the petitioner's admissions recorded under Section 108 of the Customs Act, 1962.

Analysis: The petitioner's statements under Section 108 of the Customs Act, 1962 were treated as admissible evidence of participation in the import scheme. The asserted contradictions elicited in cross-examination were held insufficient to displace the effect of those admissions. The Tribunal's reduction of penalty was treated as already favourable to the petitioner.

Conclusion: No interference was warranted with the impugned order.

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