TaxTMI 
TaxTMI 
2002 (7) TMI 714
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.... No. 7711 dt. 20-10-98 for import of 236.86 MT of dried Garlic of 5 cms size declaring the country of origin as Pakistan. The following documents were submitted with the Bill of Entry : (1) B/L No. UBMU-120800043824, dt. 2-10-98 issued by M/s. GAC Shipping Pakistan ( Pvt. ) Ltd. (2) Commercial Invoice No. EBF/CDL/98/251, dt. 3-10-98 issued by M/s. Eswaran Brothers Foods ( Pvt. ) Ltd. (3) A combined declaration and Certificate No. 12, dt. 3-10-98 of SAARC Professional Trade Agreement, issued by Export Promotion Bureau, Govt. of Pakistan, Karachi. (4) A Phytosanitary / Health Certificate No. 93, dt. 24-9-98. 2. An intelligence gathered b....
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....F Mumbai for assessment in terms of Rule 4 of the Customs Valuation Rules, 1988 and duty be charged accordingly. (c) The B.G. furnished by them should not be encashed and adjust the same towards duty, fines, and penalties to be levied. (d) Penalty should not be imposed u/s 112 (a) of Customs Act, 1962 and u/s 114A of Customs Act, 1962. 5. The applicant filed an application for settlement on 29-5-2001 and the case was heard on 14-8-2001. The applicant submitted that they have admitted the entire duty liability of Rs. 2,29,341/- and paid Rs. 2,17,187/- at the time of provisional release of goods. The Revenue submitted that this is a case of under valuation as well as ITC violation ....
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.... lacs. They produced copies of expense bills and delivery challans indicating receipted amount. (iii) The consignment was sold at net loss of Rs. 5.12 lacs. 10. The application was allowed to be proceeded with under sub-section (1) of Section 127C directing the applicant to pay the balance amount of Rs. 12,157/- and furnish B.G. of 10 lacs within 30 days to which the applicant complied within the stipulated period. 11. The applicant declared a price of US$ 340 PMT (CIF) in the B/E. However, SCN based on investigation and scrutiny of documents recovered revealed that the actual price of garlic imported by Karachi is US$ 489.50 PMT (CIF). The fax correspondence dt. 22-8-98 from D. Murugesan of M/s. Eshwaran Brot....
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....ted a bank guarantee for Rs. 10 lakh. He further submitted that the entire amount of the show cause notice has been admitted and the same has been paid. The sole proprietor of the Applicant is a lady who has incurred a loss in this consignment. The financial constrains and other difficulties of the Applicant have already been communicated to the Commission vide his letter dated 30-10-2001. In this view of the matter, it was submitted that Commission may take a lenient view of this case and the Applicant may be granted immunity from fine, penalty etc. 18. The Revenue was represented by Shri A. Nansi, Appraiser from Commissioner of Customs (Import) Mumbai. 19. The Revenue submitted that there is a profit margin of 155 per cent inv....