TaxTMI 
TaxTMI 
TaxTMI 
2018 (10) TMI 670
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....pondent(s) Impugned Order Penalty contested 1. C/30256/2017 ICS Cargo CCE, C& ST, Visakhapatnam- I OIO No. VIZ-CUSTM- 000-COM- 05-16-17 dated 15.11.2016 Rs. 1,00,000-/ 2. C/30437/2017 Kosuri Somasekhar -do- Rs. 10,00,000/- 3. C/30438/2017 K. Pydi Raju -do- Rs. 15,00,000/- 4. C/30439/2017 Dattar Shipping and Logistics Pvt. Ltd., -do- Rs. 50,000/- 5. C/30440/2017 Pandiri Praveen Kumar -do- Rs. 25,00,000/- 2. The relevant facts that arise for consideration are, after filtering out of unnecessary details are acting of intelligence was received that a gang of smugglers had illegally exported two containers stuffed with red sander wood logs from Visakhapatnam Port and one more container is to be exported, intercepted ....
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....vt. Ltd., that the penalty is wrongly imposed as the company is engaged in booking of containers for export of goods for parties and penalties imposed on the ground that the appellant had booked the container without having any written orders from the clients and since banned goods were found in the container, penalties needs to be imposed on them is the correct finding. After taking the Bench through the provisions of Section 114, Learned Counsel submits that in these appellants case, there is no activity which has rendered the goods liable for confiscation even if it is export of red sanders and submits that the stuffing of the container was never done by the appellants and there is no evidence to conclude that appellant herein was engage....
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....re the Tribunal in Mumbai, it is noticed that this matter was argued by appellant and it was submitted that penalty imposed on appellants under provisions of Section 114 is not correct as appellant had acted on as customs broker for the goods export under various shipping bills and are charged with the allegation that they had filed the said shipping bill without verifying the IEC number is uncalled they were instructed by Shri Praveen Kumar as nominated person for them. 4. Learned Departmental Representative after repeating the facts as indicated herein above, took us through the entire Order-in- Original in respect of roles attributed to various appellants. It is his submission that Shri Praveen Kumar, Managing Director of M/s Dattar Shi....
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.... them. I find that the Adjudicating Authority has imposed a penalty under Provisions of Section 114(i) of the Customs Act on them for omissions and commissions which have rendering the subject goods liable for confiscation. In the entire findings on the role played by M/s ICS Cargo, I find that the Adjudicating Authority has recorded, M/s ICS Cargo being CHA/Customs Broker as employer of Shri Praveen Kumar and said Shri Praveen Kumar master minded illegal export of red sander wood logs, are liable for penalty. In my view, the findings recorded by the Adjudicating Authority are unacceptable as there was no omission on the part of the appellant M/s ICS Cargo, as per statements recorded of Shri Praveen Kumar, wherein he stated that M/s ICS Car....
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....d Dattar Shipping and Logistics Limited stands rejected. 8. As regards the role played by Shri Pydi Raju, I find that the Adjudicating Authority in paragraph No. 31 has brought out very clearly that he played vital role as a facilitator for smooth clearance of the red sanders wood consignments for export and he was involved in preparation of forged export documents and made necessary transport arrangements for illegal export of red sanders to a private godown for loading into containers. It is on record that Shri K. Pydi Raju had received monetary consideration from Shri Praveen Kumar for illegal exports of red sanders and it is also not disputed during the search operations in his residence, unaccounted cash of Rs. 24 lakhs were found whi....