Restricted imports without a licence justify confiscation and penalties under customs law, with fine and quantum maintained.

Restricted import of old and used worn clothing without the requisite specific licence supports confiscation under Section 111(d) of the Customs Act, 1962, where the goods are covered by the governing foreign trade restrictions. The Tribunal noted that the absence of licence was not disputed and applied its earlier view that confiscation is sustainable in such cases. It also held that redemption fine and penalty must be assessed with reference to the ascertained value and surrounding circumstances, and found no legal infirmity or factual basis to interfere with the quantum adopted by the adjudicating authority. The confiscation, penalties, and redemption fine were therefore maintained.

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Issues: Whether the confiscation of the imported old and used worn clothing and the penalties imposed for import without the requisite licence were sustainable, and whether any reduction in the penalties was warranted.

Analysis: The imported goods were treated as restricted for import under the Foreign Trade Policy and the relevant import classification, and the absence of the required specific licence was not in dispute. The Tribunal followed its earlier view that confiscation for import without licence is sustainable under Section 111(d) of the Customs Act, 1962, and that redemption fine and penalty must be assessed on the basis of the ascertained value and surrounding circumstances. On the facts, the Tribunal found no sufficient reason to interfere with the penalty structure adopted by the adjudicating authority.

Conclusion: The confiscation and the penalties were upheld; the challenge by the Revenue failed.

Final Conclusion: The impugned order was sustained in full and the Revenue's appeals were rejected.

Ratio Decidendi: Import of goods that are restricted under the governing trade policy without the requisite licence justifies confiscation under Section 111(d) of the Customs Act, 1962, and the corresponding penalty and redemption fine are to be maintained where no legal infirmity is shown in their quantification.

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