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of The CESTAT allowed the appeal against confiscation of goods (Rahar Dal and Urad valued at Rs.7,65,000/-) and penalty imposed by the Department. It observed that the goods were not notified goods u/s 123 of the Customs Act, 1962, and the Department failed to prove their smuggled nature. The appellant had submitted evidence of purchasing the goods from farmers within India's territory. As the goods were not liable for confiscation u/ss 111(b) & (d), the penalty u/s 112 was also set aside.
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