Tribunal's Ruling: Confiscation Upheld, Redemption Allowed, Collector's Non-cooperation Probed

The Tribunal upheld the confiscation of seized goods but allowed redemption, which was complicated by the sale and theft of the goods. The Tribunal sought comments on allegations of non-cooperation by the Collector and considered modifying its order based on new facts presented. It reiterated its inability to grant compensation for losses caused by the Department's actions. The Tribunal confirmed its power to rectify mistakes in its order, including refunding sale proceeds of seized items and exempting the appellant from redemption fines for stolen goods.

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Issues Involved:
1. Confiscation and redemption of seized goods.
2. Allegations of non-cooperation by the Collector.
3. Modification of Tribunal's order based on new facts.
4. Tribunal's power to grant compensation.
5. Rectification of mistakes in Tribunal's order.

Detailed Analysis:

1. Confiscation and Redemption of Seized Goods:
The Tribunal had previously ordered the confiscation of a Hitachi VCR and a National Colour Video Camera, with an option for the appellant to redeem them upon payment of a fine of Rs. 8,000 each. Other items, such as video and audio cassettes, were ordered to be released to the appellant. However, two video cassettes were absolutely confiscated due to their obscene content.

2. Allegations of Non-Cooperation by the Collector:
Shri Leeladhar Kejriwal alleged that he was willing to pay the redemption fine of Rs. 16,000 but was being prevented by the Collector from doing so. This led to an interim order seeking comments from the Collector on these allegations.

3. Modification of Tribunal's Order Based on New Facts:
The Commissioner of Central Excise filed a Miscellaneous Application seeking modification of the Tribunal's order on the grounds that certain facts were not presented earlier. These facts included:
- The goods were seized in 1983 and included electronic items prone to deterioration.
- The Hitachi VCR had been sold for Rs. 12,000.
- Most of the video cassettes had been sold, except for two.
- The National Colour Video Camera and two video cassettes were stolen from the godown.

4. Tribunal's Power to Grant Compensation:
The learned Advocate for the appellant argued that the appellant should be compensated for the loss caused by the Department's actions. However, the Tribunal noted that it has no power to grant compensation, as held by the Hon'ble Orissa High Court in the case of Golden Hind Shipping (I), Pvt. Ltd. The Tribunal's orders could not be implemented due to the sale and theft of the goods.

5. Rectification of Mistakes in Tribunal's Order:
The Tribunal considered whether it has the power to modify its final order if certain facts, though already on record, were not made known at the time of the order. The Tribunal referred to its previous order in the case of Dilip Kumar Dey, which clarified that the Tribunal has the power to rectify mistakes apparent from the record under Section 129B(2) of the Customs Act, 1962. This includes modifying the order if necessary.

Conclusion:
1. Confiscation and Redemption of Seized Goods: The Tribunal upheld the confiscation and allowed for redemption, but the goods were either sold or stolen, complicating the implementation of the order.

2. Allegations of Non-Cooperation by the Collector: The Tribunal sought comments from the Collector regarding the allegations of non-cooperation.

3. Modification of Tribunal's Order Based on New Facts: The Tribunal acknowledged that new facts, such as the sale and theft of goods, were not presented earlier and considered modifying its order accordingly.

4. Tribunal's Power to Grant Compensation: The Tribunal reiterated that it does not have the power to grant compensation for losses caused by the Department's actions.

5. Rectification of Mistakes in Tribunal's Order: The Tribunal confirmed its power to rectify mistakes in its order if such mistakes are brought to its notice, even if they are based on facts that occurred after the order was passed.

Orders Passed:
1. VCR (Hitachi): The sale proceeds of Rs. 12,000 should be refunded to the appellant after deducting the redemption fine of Rs. 8,000 and any statutory expenses.
2. National Colour Video Camera: Since the camera was stolen, the appellant is not required to pay the redemption fine of Rs. 8,000.
3. Cassettes: The sale proceeds of the cassettes should be refunded to the appellant after deducting any statutory expenses.
4. Stolen Cassettes: No further action is required for the stolen cassettes.

This order is to be read as part of the Tribunal's previous orders dated 31-7-1992 and 24-9-1993.

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