2018 (10) TMI 907

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....ifferent foreign currencies available with the passengers was seized. Thereafter, the SCNs were issued proposing confiscate and penalties. The same were adjudicated by the lower authorities who confirmed absolute confiscate while imposing penalties. Details as below: SI. No. SCN and Date Gold in gms Value in Rs. Name OIO No. and Date 1. VIII/10/22/2001 CUS. ADJ. dated 08.02.2002 33/3544.5 gms Rs.1691580/- Sh. C. Hamza 5/2004 dated 30.11.2004 2. VIII/10/25/2001 CUS. ADJ. dated 11.02.2002 31/3611 gms Rs.1628786/- Sh. Kunhimohammed 1/2005 dated 03.01.2005 3. VIII/10/24/2001 CUS. ADJ. dated 11.02.2002 33/3844 gms Rs.1733644/- Sh. Usman 6/2005 dated 31.12.2004 2. On appeals filed by the passengers and Sh. V.K. Mohammad A....

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.... the adjudging officer is under a mandatory duty to give option to the person found guilty to pay (fine) in lieu of confiscation. Section 125 leaves option to the officer to grant the benefit or not so far as goods whose import is prohibited but no such option is available in respect of goods which can be imported, but because of the method of importation adopted, become liable for confiscation". The Hon'ble High Court of Bombay in the case of Shabir Ahmed Abdul Rehman Vs. UOI, 2009 (235) ELT 402 (Bom.) held that the appellant is entitled to seek the redemption of the confiscated gold. The Hon'ble High Court of Calcutta in the case of Suresh Bhosle Vs. CC Preventive, Calcutta, 2009 (246) ELT (Cal.) has also opined the same. 3.2. It....

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....ble Supreme Court has upheld the absolute confiscation of gold in the case of Mohammad Akhtar while dismissing the special leave to appeal Nos. C/21933-21934/2014 filed against the Patna High Court decision- 2015 (323) ELT 136. 5. Heard both sides and perused the records of the case. 6. The brief issue for consideration in the case is to decide whether the adjudicating authority as a discretion to release the gold confiscated or the seized gold requires allowing to be redeemed on payment of find in lieu of confiscation in terms of Section 125 of the Customs Act, 1962. Section 125 of the Customs Act reveals as under: "(1) Whenever confiscation of any goods is authorized by this Act, the officer adjudging it may, in the case of any goods, ....

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.... Secondly, whether the adjudging officer has a discretion so as to allow or not such goods to be redeemed on payment of fine in lieu of confiscation. 6.3. For an appreciation of the same, it is required to see what are prohibited goods is Section 2 (33) of the Customs Act, 1962 defines prohibited goods as follows: Prohibited goods means "any goods, the import or export on which is subject to any prohibition under this Act or any other law for the time being in force but does not include any such goods in respect of which the conditions subject to which the goods are permitted to be imported or exported have been complied with." In view of the above, for the goods to acquire a nature of being prohibited who either be prohibited under Cus....