https://www.taxtmi.com/caselaws?id=90292 Confiscation of foreign exchange requires proof that the currency was of smuggled origin; mere seizure from a shop or from persons present, or the person's status as an unlicensed foreign exchange dealer, is not enough. Liability of Indian currency as sale proceeds of smuggled goods also depends on first proving that the underlying goods were smuggled, so the statutory basis for confiscation fails if that foundation is absent. Penalties cannot survive where they rest entirely on the same unproven confiscation findings. The note reflects the principle that the department must discharge the burden of establishing the statutory ingredients before confiscation or derivative penalty can be sustained. en-us Thu, 11 Feb 1999 00:00:00 +0530 Tue, 04 Oct 2011 18:22:04 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=90292 Confiscation of foreign exchange requires proof that the currency was of smuggled origin; mere seizure from a shop or from persons present, or the person's status as an unlicensed foreign exchange dealer, is not enough. Liability of Indian currency as sale proceeds of smuggled goods also depends on first proving that the underlying goods were smuggled, so the statutory basis for confiscation fails if that foundation is absent. Penalties cannot survive where they rest entirely on the same unproven confiscation findings. The note reflects the principle that the department must discharge the burden of establishing the statutory ingredients before confiscation or derivative penalty can be sustained. Case-Laws Customs Thu, 11 Feb 1999 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=90292