TaxTMI 
TaxTMI 
1997 (8) TMI 263
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.... Port meant for Nepal. CTD had been filed with all the particulars mentioned therein but the authorities below have, on investigation, found that the letter of credit mentioned in the invoice did not pertain to the goods imported i.e. Tetracycline Powder. It was, therefore, believed by the authorities below that the letter of credit declared in the invoice is not genuine. From this they have arrived to the conclusion that the goods were meant for diversion to India and not for taking to Nepal. In that view, the goods had been confiscated separately in an earlier proceeding because investigations were not complete and in subsequent proceeding, the applicants herein along with others have been penalised. Following penalties have been imposed ....
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....respect of these goods meant for Nepal. Section 111(d) relates to any goods which are imported and attempted to be imported or are brought within Indian Customs waters for the purpose of being imported contrary to any prohibition imposed by under this Act or any other law for the time being in force makes the goods liable to confiscation. He submits that the goods in the present case have been imported into India for transit to Nepal and CTD has been filed. Obviously, the provision of 111(d) did not apply. Similarly, he submits that Section 111(j) would apply if the dutiable or the prohibited goods are removed or attempted to be removed from a Customs area or warehouse without permission of the proper officer. He submits that the goods were....
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....did not relate to the goods namely, Tetracycline. It was a letter of credit for ready-made garments and in the name of some other party. He, therefore, submits that the declaration made in the CTD was not correct. It is point out that the importer in the present case was neither registered with His Majesty's Government (HMG) of Nepal as an importer nor was he registered with the Drug Controller of Nepal. In these premises, it has been rightly inferred by the Collector of Customs, that the goods were not meant for Nepal but they were meant for diversion to India. He also submits that the importer did not come forward to claim the present goods. He, therefore, submits that all the persons concerned in dealing with the goods are liable to pena....
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....ing against the importer. He submits that handling of papers by a Custom House Agent without any proper authority from an importer amounts to contravention of CHA Regulations. The proceeding could be initiated by Customs under the said Regulation. There is no provision to impose the penalty in the said regulation. He submits that the suspension or revocation of CHA licence or appropriation of any money from the security deposit is provided for this mis-conduct. 5. We have carefully considered the pleas advanced from both sides. We observe that the goods in transit to Nepal are covered by Indo-Nepal Treaty of Trade and Transit. In terms of that treaty, the Customs Transit Declaration (CTD) is required to be filed by the importer or h....
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....e sealed except in certain circumstances. Clause 9 refers to an insurance policy to the satisfaction of the Collector of the Customs, Calcutta. Clause 10, stipulates that after the Customs House is satisfied as regards the checks contemplated in the preceding paragraphs, it shall endorse all the copies of the Customs Transit Declaration and give the permission for removal of the goods. Clause 11 is important. It stipulates that in case of any suspicion of pilferages, traffic-in-transit shall be subject to checks by the Indian Customs during the period that they are in transit as may be necessary, particularly at the point of railway transhipment from broad-gauge to meter-gauge. Thereafter, the formalities in regard to the goods at Land Cust....