https://www.taxtmi.com/caselaws?id=447858 CESTAT Chennai held that recovery proceedings for fraudulent MEIS scrips should be initiated against the actual beneficiary, not the customs broker (CB). The tribunal found that while DGFT grants MEIS benefits, Customs can take penal action for violations. The CB's failure to seek proper assessment under Section 18(a) when facing classification doubts was deemed blameworthy conduct. However, imposing penalties under both Section 114 and 114AA for the same misconduct was inappropriate. The tribunal modified the penalty to Rs 1,00,000 under Section 114AA only, setting aside the Section 114(iii) penalty, finding the original penalty disproportionate to the misconduct. en-us Wed, 03 Jan 2024 00:00:00 +0530 Sat, 06 Jan 2024 07:37:53 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=447858 CESTAT Chennai held that recovery proceedings for fraudulent MEIS scrips should be initiated against the actual beneficiary, not the customs broker (CB). The tribunal found that while DGFT grants MEIS benefits, Customs can take penal action for violations. The CB's failure to seek proper assessment under Section 18(a) when facing classification doubts was deemed blameworthy conduct. However, imposing penalties under both Section 114 and 114AA for the same misconduct was inappropriate. The tribunal modified the penalty to Rs 1,00,000 under Section 114AA only, setting aside the Section 114(iii) penalty, finding the original penalty disproportionate to the misconduct. Case-Laws Customs Wed, 03 Jan 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=447858