AI Drafter 
TaxTMI 
TaxTMI 
2020 (9) TMI 268
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....regulation no. 16(2) of Customs Brokers Licensing Regulations, 2018. Based on report that the appellant was involved in the over-valuation of 'rough diamonds/precious stones' imported by M/s Lush Exim Pvt Ltd vide bill of entry no. 6973016/27.06.2018, the license was suspended vide order no. 49/2019-20 dated 27th August 2019 subject to 'post-decisional hearing' which, upon confirmation by the impugned order, is now under challenge. 2. Before proceeding with the facts and the rival submissions, it would be appropriate for us to take note of 'Regulation 16. Suspension of license. - (1) Notwithstanding anything contained in regulation 14, the Principal Commissioner or Commissioner of Customs may, in appropriate cases where immediat....
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....to be heard to be granted within fifteen days from the date of such suspension, passing order of revocation, or continuation, of suspension within fifteen days from the date of hearing and, in the event of the latter, to be followed by initiation of proceedings under regulation no. 17 with adherence to all the timelines therein. We may also observe that, unlike recovery and penal proceedings under the main provisions of the Customs Act, 1962, licensees of private bonded warehouses, custodians of cargo, courier agencies and customs brokers are, by such proceedings, are faced with long-term uncertainty in business as well as in the livelihood of their employees and others dependent on them. The business activities of an importer or exporter, ....
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....the license. Hence, even if the alleged misdemeanours leading to the suspension are sought to be disputed, we must, with deliberate intent, steer clear of rendering a finding thereto; those are to be established at the enquiry stage and for consideration by the licensing authority. 6. The filing of the said bill of entry by the appellant herein on behalf of M/s Lush Exim Pvt Ltd and that show cause notice proposing confiscation of the imported goods and imposition of various penalties on several persons, including the partner in the appellant-firm, has been issued on 8th July 2019 is common ground. It is on record that the initial order of suspension was issued within twenty days of the issue of this show cause notice and that the impugn....
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.... of the Hon'ble High Court of Bombay in Babaji Shivram Clearing & Carriers Pvt Ltd v. Union of India [2011 (269) ELT 222 (Bom)] in which, among other reasons, it was held that '9. Apart from the above suspension of a CHA license under Regulation 20 (2) of the 2004 Regulation can be ordered where immediate action is necessary. In the present case, the customs authorities in the middle of January, 2011 were aware of the fact that the documents submitted by the petitioners were fabricated, however the impugned order has been passed belatedly on 28th March 2011.' and on the observation that '2....... In other words, it cannot be said that this is a case where it falls within Regulation 20 (2). The order of suspension is to ....
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....uthority and that there is no evidence of non-dispatch of the initial suspension order within reasonable time. It is his contention that all the requirements prescribed in regulation no. 16 of Customs Broker Licensing Regulations, 2008 had been complied with. Moreover, according to him, the gravity of the attempt to smuggle goods and the conspiracy involving the appellant warranted immediate suspension; for us to consider this submission would be premature as, in addition to proceedings under these Regulations, the adjudication proceedings in the show cause notice for confiscation and imposition of penalty are, as yet, pending and any finding on our part may prejudice the decision therein. 11. For lapses in import and export in which bre....