Retracted Customs statement may still sustain penalty when corroborated and tested on preponderance of probabilities

A retracted statement recorded under Section 108 of the Customs Act can still support a penalty where it is shown to be voluntary, detailed and materially corroborated by other evidence, including the statement of a co-accused and surrounding circumstances. Retraction alone does not erase evidentiary value, and customs adjudication is decided on a preponderance of probabilities rather than criminal trial standards. On that basis, the penalty was upheld and the appeal rejected.

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Issues: Whether a penalty under the Customs Act could be sustained on the basis of the appellant's retracted statement when the statement was supported by other evidence on record.

Analysis: The Tribunal noted that the appellant's statement was recorded under Section 108 of the Customs Act, 1962 and was not shown to have been obtained by coercion or duress. The retraction by itself did not destroy the evidentiary value of the confession where the statement was detailed, voluntary on the record, and materially corroborated by the statement of the co-accused and other surrounding circumstances. The Tribunal also held that customs adjudication proceeds on a preponderance of probabilities and does not require proof with criminal trial strictness.

Conclusion: The penalty was rightly imposed and the appeal was rejected.

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