TaxTMI 
TaxTMI 
2003 (1) TMI 449
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....he said goods released on payment of a redemption of Rs. 2,00,000/-; and (b) release of 1,16,800 metres of 100% polyester fabrics to the said Shri Jayant Patel on payment of the appropriate duties of customs leviable thereon. In the said order it was further ordered that appropriate storage charges shall be collected by the Department in respect of the said goods. 2. (a) In an appeal before the Hon'ble CEGAT, Madras, Shri Jayant Patel contested, inter alia, the proposed collection of the storage charges. The Tribunal vide their order No. 1516/96, dated 2-9-1996 [1997 (89) E.L.T. 164 (Tri.)], in so far as the matter relating to storage charges is concerned, held that "there was no point in the show cause notic....
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....scated goods at the time of release. It also authorizes him to collect "Charges" payable in respect of such goods. The expressions "liable to any duty" and "charges payable" cannot be construed as a charging provision. Moreover, the expression "Charges" has been left vague without specifying its ambit and scope. Since levy of "Charges" has not been authorized under the Customs Act, obviously its collection is unwarranted in the absence of any Regulation issued under Section 157 or 158 of the Customs Act, 1962.'            (underlining supplied) 3. Revenue has filed this appeal on the ground that - (1) The Hon'ble CEGAT, Madras has categorically directed vide para 13 ....
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....ace for storage of goods, where safety and security is guaranteed. Obviously, the said Public Notice had not defined the word "warehouse" or required it to fit into definition of Customs Act, 1962, as is being observed by learned Commissioner. The Public Notice appears to be based on Board's instructions to all field formations for the sake of uniformity, and the said Public Notice is applicable, though no formal orders are available, and by convention, it is being applied uniformly. Hence, the learned Commissioner appears to have erred by not applying the said Public Notice, as its binding nature is not only authoritative but also based on precedent. (3) Even the provisions of "Passengers Baggage'' (Levy of Fees) Regulations, ....
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....word "liable" always refer to absolute mandate of law, whereas the word "payable" depends relatively on amount ascertained as being due. Rightly the word "liable to duty" derives its mandate from Section 12 of the Customs Act, 1962, whereas the word "Payable" implies a legislative intendment from Section 125 of the Customs Act, 1962. Further, it is also not correct to hold that the word "other charges" have been left vague. In fact, its amplitude appears to be widest and scope unlimited, as variety of sundry expenses such as handling, transportation, freight, storage, upkeep, etc., cannot be described in detail in the Act for sake of brevity. Hence, the learned Commissioner appear to have erred by misinterpreting the provisions of Section 1....
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....ion 125(2) of the Customs Act, as all determinations of levies should be a Quasi Judicial Act and determined after following the principles of Natural Justice. No grave harm has emerged, in the Commissioner having resorted to a Quasi Judicial Act. We find no reason in the ground No. (1) to upset the order impugned. (b) Seized goods in this case were not kept in any 'warehouse' appointed or licensed as a public or private warehouse under Sections 57 and 58 of the Customs Act by the Department. Therefore charges for storage and upkeep, etc., as applicable to goods in a 'warehouse' were not leviable on persons who finally were allowed clearance of these goods, as held by the High Court of Orissa in the case of Biramoni Sahu v. Col....