2018 (9) TMI 676

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.... Capricon on 31.1.2018 without cargo for ship breaking purpose. The ship arrived at Bhavnagar Port. The petitioner filed Bill of Entry on 14.2.2018. After necessary clearances the ship was cleared for home consumption. Shortly thereafter on 3.4.2018 when the ship was in the process of being broken, the respondent authorities seized the vessel on the ground that intelligence were received by DRI that the vessel Nadine was designated by Libya Sanction Committee of United Nation Security Council under Resolution No.2146 of 2014 and 2362 of 2017. Such ship had reached Alang despite it being prohibited from entering any port of Member State. The seizure memo dated 3.4.2018 further records that : "Based on said intelligence, an investigation wa....

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....itioner is that, (1) The petitioner imported the ship without any knowledge about the sanction. (2) The ship was already imported and was in the process of being dismantled when the seizure memos were issued. (3) At any rate the sanction imposed by the United Nation Council was lifted on 18.4.2018. (4) The sanction even while previously imposed was for a ship carrying cargo of fuel which is not the case in the present instance. 5. The respondents have appeared and resisted the petition contending, inter alia, that the name of the ship was changed. The Customs Department was therefore not aware about United Nation Security Council's sanction. Clearance was given under mistaken belief. Upon correct facts being brought to the noti....

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....s stage, we are concerned with the question of interim arrangement to be made pending initiation and completion of such adjudication. 9. Section 111 of the Customs Act 1962 pertains to confiscation of improperly imported goods and makes certain goods imported under certain circumstances liable to be confiscated. Section 112 of the Customs Act provides for penalty for improper importation of the goods. Section 110 pertains to seizure of goods, documents and things which also envisages provisional release thereof on appropriate terms. 10. As noted, the present case involves peculiar facts. The imported goods are ship for breaking and its parts. By the time the seizure memo was issued on 3.5.2018 by the respondents, the ship was partially br....