1984 (4) TMI 173 - AT - Customs

Tribunal overturns Customs Act penalty, finds passenger not liable for undeclared goods.

The Tribunal ruled in favor of the appellant, setting aside the confiscation of goods and penalty imposed under the Customs Act. The missing package, ... Unaccompanied baggage Issues:Violation of Customs Act - Declaration of goods, Confiscation of goods, Imposition of penalty.Analysis:The appellant arrived at Palam airport from Singapore with two packages but only one was found, leading to a missing package issue. A Landing Certificate was issued indicating clearance of goods worth Rs. 500, which the appellant availed. The missing package was later found with goods valued at Rs. 6,000. Lower authorities held the goods liable for confiscation under Section 111(d) of the Customs Act due to non-declaration. The Assistant Collector confiscated the goods and imposed a penalty, which was upheld by the Appellate Collector, albeit with a reduced penalty. The appellant challenged this order, arguing that the Landing Certificate did not require details of the missing package and that no statutory requirement mandated its issuance.The main question was whether the missing package, found among unclaimed packages and opened without the owner present, imposed any liability on the passenger for non-declaration. The appellant had not concealed the contents, and the goods were not in his possession after arrival. The appellant was willing to pay duty on the items but had not made a written declaration to Customs authorities. The Tribunal found no violation of the law and deemed the confiscation and penalty unjustified, stating that the goods should have been cleared upon payment of duty as per rules. The lower authorities' actions were criticized as unnecessary harassment, and the decision was made in favor of the appellant, setting aside the previous order and granting consequential relief, including duty-free allowance as per rules.