2018 (1) TMI 924

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....s relating to clearance of import and export customs house. 3] He is aggrieved and dissatisfied by an order passed on 11th December 2014 by the Customs, Excise & Service Tax Appellant Tribunal West Zonal Bench (CESTAT for short). That order is dated 3rd/11th December 2014, by which the appellant's appeal is dismissed. The Tribunal confirms the order dated 28th February 2013 of the Commissioner revoking the Customs House Agent License, i.e., CHA No.11/865 and forfeiting the entire security deposit. 4] From the record, it appears that the appellant was carrying on business for about 23 years. Needless to state that the grant, issuance and regulation of this license is governed by Customs House Agents Licensing Regulations, 1984 now amen....

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..... The allegation then was that the appellant, for monetary gains, allowed use of its licence by the said Rajesh. After recording the statements of several persons, including Rajesh, a suspension notice was issued on 21st December 2009. The appellant preferred an appeal against this order of suspension to the Tribunal and the Tribunal held that once the department desires to initiate inquiry under Regulation 22 of the 2004 Regulations, that should be within 90 days from the Tribunal's order dated 20th January 2012. 6] The argument is that the Tribunal's order was flouted by the Department, which took its own time to appoint an officer, allowed him to submit his report and thereafter imposed penalty. It is apparent that though the su....

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....is point and equally a view taken by the High Courts in India that the above duration or period is mandatory.   11] We have heard both sides on this limited point. 12] From the record, it is apparent that the license was suspended with effect from 21st December 2009, but restored on 5th March 2012. Thereafter the departmental inquiry commenced and the charge was that the appellant has allegedly allowed Mr.Rajesh to use their licence for monetary consideration which violates the provisions of Regulation 12 of the 2004 Regulations. The second charge is that there is no proper authorization obtained from the exporters. The third charge is that the business has not been transacted in the Customs Station personally or through an approved ....

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....rucial witnesses. The Commissioner purports to record his finding on one important contention with regard to the conclusion of inquiry within a period of 90 days and whether non-adherence thereto would vitiate it from inception. He rejects that contention and assigns certain reasons. On merits, he relies upon the statements which have been recorded during the course of investigation and holds that the said Rajesh, who is admittedly not an employee had prepared certain documents with the help of the appellant and also taken Shipping Bills so generated to Nhava Sheva for effecting clearance and he used to also do carting of goods. Thus, an authorised person was allowed to transact business. At the same time, the Commissioner holds that the s....