TaxTMI 
TaxTMI 
2016 (1) TMI 426
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....ulations, 2013 (CBLR, 2013) confirmed the suspension of the appellant's customs brokers licence No. 7/2004, which was suspended vide order dated 20-3-2015. 2. The facts of the case briefly stated are as under : - Directorate of Revenue Intelligence (DRI) undertook investigation relating to exports of floor coverings by 21 exporters under nearly 266 shipping bills. The investigation revealed that the goods were not only mis-declared but were also highly over-valued to avail of undue benefits of Duty Draw Back and Focus Product Schemes. Investigation further revealed that several exporters were non-existent and the Import Export (IE) codes were obtained using identity of persons who were not actually exporters. Investigation into t....
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....sh Sharma appeared as a co-ordinator of the group companies (HLPL and HLPL Global Logistics Pvt. Ltd.), held that prima facie Mr. Prakash Sharma was the mastermind in the case and therefore liable for action under Rule 19(2) of CBLR, 2013 for his misconduct. Accordingly, vide the impugned order, he confirmed suspension of customs broker licence of the appellant. 3. Ld. Advocate for the appellant contended that (i) M/s. HLPL (the appellant) and M/s. HLPL Global Logistics Pvt. Ltd. are two different legal persons and Mr. Prakash Sharma is not a director in HLPL Global Logistics Pvt. Ltd., (ii) Appellant did not file any shipping bill at all in respect of the impugned exports, (iii) It was not the customs broker in respect of any of th....
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....ted to only where immediate action is considered necessary. 4. Ld. Departmental Representative, on the other hand, stated that Shri Prakash Sharma was the master mind in this case and the payments from several of the exporters were received by the appellant and therefore the appellant was certainly guilty of misconduct as per CBLR, 2013. He also stated that the common directors of the appellant and M/s. HLPL Global Logistics Pvt. Ltd. live at the same address and operate from the same premises which shows they are in collusion with each other. 5. We have considered the contentions of both sides and perused the records. At the very outset it is pertinent to mention that the customs broker in respect of the impugned exports wa....
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....vation in the impugned order that the employees of the appellant attended to the clearance of the impugned goods and manipulated the market enquiry in respect of certain consignments suffers from grave infirmity inasmuch as when the appellant was not the customs broker for the impugned goods, its employees had no legal authority to handle the export of the impugned goods; and indeed the customs should not have allowed them to handle the impugned goods because that they were not employees of the customs broker in respect of the impugned goods. It comes out from the impugned order that Commissioner of Customs has blurred the distinction between Mr. Prakash Sharma and the appellant and disregarded the facts that these two are different legal p....
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....hin fifteen days of the receipt of the report of the investigating authority. A post-decisional hearing shall be granted to the party within fifteen days from the date of his suspension. The Commissioner of Customs concerned shall issue an Adjudication Order, where it is possible to do so, within fifteen days from the date of personal hearing so granted by him." It is seen that after the receipt of the report dated 5-3-2015 from DRI, the licence was suspended on 20-3-2015, hearing was granted on 1-4-2015 and the suspension was confirmed vide order dated 10-4-2015 and thus contrary to the contention of the appellant, the timelines indicated by Board have been adhered to by Commissioner in this case. The judgments in the cases of N.C. Sing....
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....Customs Broker with utmost speed and efficiency and without any delay; (n) verify antecedent, correctness of Importer Exporter Code (IEC) number, identity of his client and functioning of his client at the declared address by using reliable, independent, authentic documents, data or information; Perusal of the above quoted provisions makes it evident that these cast certain duties and responsibilities on a customs broker who has been engaged by an exporter or importer as a customs broker to deal with the import or export of goods. As has been stated earlier, the appellant was not engaged by any of the exporters to deal with the export of the impugned goods and therefore the question of violation of any of the above-quoted p....