1999 (7) TMI 311

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....and penalty as determined under the scheme. The appeal of the appellant alone is to be heard in terms of the impugned order. The appellant was carrying on the business of silver refining. During the course of his trade, he received from his customers silver for the purpose of refining. There is no legislation for the purpose of regulating the activity of silver refining except that they have to take licence under the Act. The appellant had received silver bars from the other accused Sri K.R. Ramesh for the purpose of melting. 100Kgs. of silver in three silver ingots were received by him along with baggage receipt. The appellant satisfied himself on the basis of baggage receipt produced to him about the licit import. He took all necessary ca....

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....the baggage receipt and received the silver for the work of refining. Therefore, in terms of the Customs Act also burden of smuggling has not been proved and the Department did not discharge its burden. He submits that the plea of innocence ought to have been accepted by the Commissioner. It is his further contention that mere possession of silver cannot lead to the conclusion of the appellant's connivance in the act of smuggling of silver for the purpose of imposition of penalty under the Customs Act. In this regard, he relied on the judgment of Pradeep Kumar Jain as reported in 1998 (104) E.L.T. 111. In the said judgment, the Tribunal noted that the appellant had purchased the goods from the open market which had foreign marking and the f....