Confiscation of unlicensed second-hand imports upheld, but penalties deleted absent mala fide conduct or misdeclaration.

Second-hand machinery and an old used pump imported without the required licence were treated as prohibited goods under the import policy then in force, so confiscation of both consignments was sustained. The redemption fines were upheld because they had already been fixed with the relevant factors in mind. Penalties, however, were set aside since there was no finding of mala fides, under-invoicing, or deliberate misdeclaration, and the importer's conduct was treated as bona fide. The result was limited relief confined to deletion of penalties, with confiscation and redemption fines remaining undisturbed.

---

---

Issues: Whether second-hand machinery and an old used pump imported without the requisite licence were liable to confiscation, and whether the redemption fine and penalties imposed on the importer were warranted.

Analysis: The import of second-hand equipment without an import licence was prohibited under the import policy then in force, and the machinery as well as the pump were found to be second-hand or old and used, respectively. Confiscation of both consignments was therefore sustained. The redemption fines were not interfered with, as they were already fixed after considering the relevant factors. However, as there was no finding of mala fides, under-invoicing, or deliberate misdeclaration, and the importer's conduct was treated as bona fide, the penalties imposed were found unnecessary.

Conclusion: Confiscation of both imports and the redemption fines were upheld, but the penalties were set aside.

Final Conclusion: The appeals succeeded only to the limited extent of deletion of penalties, while the confiscation orders and redemption fines remained undisturbed.

Ratio Decidendi: Where prohibited second-hand or used goods are imported without the required licence, confiscation may be sustained, but penalty is not justified in the absence of mala fide or deliberate wrongdoing.

---