https://www.taxtmi.com/caselaws?id=782270 CESTAT Chennai set aside penalties imposed under s.112(b) of the Customs Act on the high sea sellers/job workers connected with imports of LCC paper rolls. The Tribunal held that penalty under s.112(b) requires proof of positive knowledge or mens rea that the goods were liable to confiscation under s.111. The department produced no evidence that the appellants knew of, or colluded in, the importer's fraudulent claim of exemption under the relevant Customs and Central Excise notifications. As the appellants acted only as sellers and job workers, the penalties were unsustainable. Appeals were allowed. en-us Tue, 25 Nov 2025 00:00:00 +0530 Thu, 27 Nov 2025 08:36:25 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=782270 CESTAT Chennai set aside penalties imposed under s.112(b) of the Customs Act on the high sea sellers/job workers connected with imports of LCC paper rolls. The Tribunal held that penalty under s.112(b) requires proof of positive knowledge or mens rea that the goods were liable to confiscation under s.111. The department produced no evidence that the appellants knew of, or colluded in, the importer's fraudulent claim of exemption under the relevant Customs and Central Excise notifications. As the appellants acted only as sellers and job workers, the penalties were unsustainable. Appeals were allowed. Case-Laws Customs Tue, 25 Nov 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=782270