Re-export of goods and redemption fine: duty and penalty must be reconsidered on remand after cited precedents

Where goods are ordered to be re-exported, the cited decisions indicate that redemption fine and duty cannot be levied at the same time, and that aspect was not examined in the impugned order. The Tribunal granted waiver of pre-deposit, set aside the impugned order, and remanded the matter for fresh consideration after hearing the appellants. The applicability of penalty under Section 112(a) was also directed to be reconsidered along with the remand, so the issues of redemption fine, duty, and penalty were not finally decided on merits.

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Issues: Whether redemption fine and duty could be imposed when the goods were ordered to be re-exported, and whether the penalty under Section 112(a) required reconsideration in the light of the cited precedents.

Analysis: The order recorded that the cited decisions indicate that, where re-export of the goods is ordered, redemption fine and duty cannot be levied at the same time. That aspect had not been examined in the impugned order. The Tribunal therefore granted waiver of pre-deposit, set aside the impugned order, and remanded the matter for fresh consideration after hearing the appellants. The question of penalty was also directed to be reconsidered along with the remand.

Conclusion: The issue of redemption fine, duty, and penalty was not finally decided on merits and was sent back for reconsideration; the appellants obtained interim relief by way of waiver of pre-deposit.

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