2015 (5) TMI 1015

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....er logs and duty worked out thereon amounting to Rs. 6,30,362/-. 2. The original authority after giving opportunity to the appellant to present their case, came to the conclusion that the appellant had failed to account for short-landed 159 pieces of timber logs and also came to the conclusion that the appellant was not able to explain the lost to his satisfaction and proceeded to impose penalty under Section 116 of the Customs Act, 1962, amounting to Rs. 12,60,724/-. The appeal filed by the appellant was rejected by the Commissioner (Appeals) and this order is under challenge before the Tribunal. 3. Even though stay application has been listed, in view of the fact that 25% penalty has been deposited as per direction of the ....

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....at if the application for amendment to IGM had been submitted, all the circumstances would have been examined by the concerned authority and the amendment to IGM would have been permitted and there would not have any further proceedings against the appellant. It cannot be said that the steamer agent was not aware of such procedure since this is the main responsibility of the steamer agent. 6. I have considered the submissions made by both the sides. Apparently, even though 159 pieces of timber logs were lost because of accident, the appellant did not take steps for amendment to the IGM and for whatever reason, the importer paid the duty on the entire quantity of the timber logs loaded for shipment. As regards the question whether IG....

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....in respect of precautions, the steamer agents have taken to avoid short-landing all these factors should be taken into account." ....                 ....            .... "(ii) The failure to account for the same to the satisfaction of the adjudicating authority. It is however, irrelevant whether the importer has paid the duty on the consignment or not. The agent's explanation should be sought in all the cases of short-landed pkgs. with a view to give them opportunity of imposition of penalty under Section 116 of the Customs Act, 1962 and irrespective of the fact that duty th....

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....ntity. It has to be taken note of the fact that in case of short-landing because of the failure on the part of custodian, the custodian has to pay penalty and in case, it is happened before the goods are landed, the steamer agent has to pay the penalty. Prima facie, it appears in this case, there was no need to initiate action when we refer to Apprising Manual and also the scheme of action to be taken on the basis of OTR. Since the duty has been paid on the entire quantity, in my opinion, there was no need to initiate action against the steamer agent for short-landing at all. For failure to amendment to IGM, penalty under Section 117 could have been imposed. 9. I also take note of the fact that this is a case where IGM amendment als....