TaxTMI 
TaxTMI 
2001 (1) TMI 694
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....ellants and has imposed personal penalty of Rs. 50,000/- on the first appellant and of Rs. 25,000/- on the second appellant. 2. Briefly stated the facts of the case are as follows :- 2.2 On an information, the officers of E & I Branch, Calcutta intercepted the appellants on 17-8-1995 at about 18 hrs. at the junction of Kalakar Street and Cotton Street, Calcutta. On search of belongings of the appellant nothing incriminating was recovered. However, on personal search, the first appellant Shri Girindra Bijoy Sahu ejected 13 pieces of gold biscuits from his rectum. 6 pieces of gold biscuits were recovered from the other appellant Shri Sansit Sahu, which were tied around his waist. The said gold biscuits were having markings of ....
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....toms House, Calcutta certified the same as of purity of 99.6%. 2.6 Based upon the above allegations show cause notices were issued to the appellants proposing confiscation of the gold biscuits and imposition of personal penalty upon them. During the course of adjudication, the appellants took a stand that the gold in question was purchased from one M/s. Narayan Jewellers, Bombay through Shri Sanjay Jain. They also produced cash memo dated 7-8-1995 of said M/s. Narayan Jewellers on record. However, on investigation the address of the said firm was found to be fictitious. 2.7 Thereafter the matter was adjudicated by the Commissioner vide his order dated 31-7-1998 confiscating the gold and imposing penalty of Rs. 50,000/- each ....
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....estion. Thereafter on adjudication, the appellants' stand was that the gold in question was purchased from M/s. Narayan Jewellers through Shri Sanjay Jain. However, on the face of denial of Shri Sanjay Jain, the above stand of the appellants cannot be accepted on the face of it. Secondly the cash memo of M/s. Narayan Jewellers is in the name of Shri Girindra Bijoy Sahu and does not show the involvement of Shri Sanjay Jain. This fact also belies the stand of the appellants. Further, the investigation conducted by the Revenue as regards the genuineness of the cash memo produced by the appellant at a belated stage has shown that the said firm is not in existence and the address given in the cash memo was fictitious. The appellants have not sho....
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....ence inasmuch as it is not understood that when the gold in question could come all the way from Mumbai to Calcutta, what was the difficulty for the covering document to accompany the same. As such we conclude that the said documents produced by the appellant has been rightly dismissed by the adjudicating authority. 5. We also find that the appellants have not retracted their statements recorded by the customs officers on the first available opportunity, when they were produced before the Judicial Magistrate. It was only subsequently that the appellants have come out with the purchase theory of gold biscuits from M/s. Narayan Jewellers. 6. Shri Das, ld. Advocate has also strongly argued that the appellants have produced on r....