TaxTMI 
TaxTMI 
2007 (11) TMI 128
X X X X Extracts X X X X
X X X X Extracts X X X X
....iled investigation and it was revealed that the respondent was dealing in smuggled goods. He was actually receiving the various computer parts by courier from some parties in Calcutta and was supplying the same to various persons and the sale proceeds were not sent through the banking channels. Thus it was established that the respondent was dealing in smuggled goods. However, no smuggled goods were seized from the appellant. A Show cause notice was issued to the respondent and the others who are involved in the smuggling for imposition of penalties and also for the au demand of duty. In fact the show cause notice demanded duty of Rs. 92,23,740/- under Section 28 of the Customs Act along with interest under Section 28AB read with Section 12....
X X X X Extracts X X X X
X X X X Extracts X X X X
....(2) of the Customs Act, 1962. 3. Ms. Sudha Koka, learned departmental representative appeared for Section 28 the Revenue and Shri Lakshmi Narayan leramed counsel for the respondent. 4. We heard both sides. The investigations clearly revealed that the respondent was dealing in smuggled goods. The Adjudicating Authority has held the same in his order and has imposed penalty on him under Section 112 of the Customs Act. However, he has held that duty cannot be demanded from the respondent because there is no evidence that the respondent imported the goods. The Revenue has challenged the decision of the Commissioner. Let us examine the correct legal position. 5. I....
X X X X Extracts X X X X
X X X X Extracts X X X X
....cause duty has obviously not been made in view of the facts revealed in the investigation) the notice should be on the person chargeable with duty. In the case of imports we should ask the question as to who is the person chargeable with duty is the person chargeable with duty is the person who imports the goods. In other words the importer is liable to pay duty. Who is the importer? Customs Act, Section 2(26) defines importer, which is reproduced below: "Importer", in relation to any goods at any time between their importation and the time when they are cleared for home consumption, includes any owner or any person holding himself out to be the importer." 6. &....