AI Drafter 
TaxTMI 
TaxTMI 
TaxTMI 
2022 (11) TMI 1098
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....of M/s Dev International through CHA - M/s Jai Impex. 4. That on weighment of Container No. JFSU 0228920, the gross weight was found to be 8890 KGs in excess of the declared weight and the goods were declared as disposable cups whereas on examination ladies readymade garments (96200 pcs. in 481 HDPE Bags) and disposable Glass/Cups (1,11,000 pcs. in 111 Cartons) were found. The second Container No. CRSU 9126043 was weighed and the gross weight of the goods was found 8810 Kgs. in excess of the declared weight and the goods were declared as disposable cups whereas on examination ladies readymade garments (100,800 pcs. in 504 HDPE Bags and disposable glass/cups - 1,13,000 pcs. in 113 Cartons were found. Hence goods found in both containers were put under seizure as per panchnama dated 14.12.2015. 5. That so far as other remaining 11 containers were concerned neither any Job Order nor any Bill of Entry was filed by anybody, however, in all those containers, goods were found to be other than what was mentioned in the bill of lading i.e. the goods were found to be readymade garments and also disposable glass/cups whereas the goods mentioned in the Bills of lading were only disposabl....
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....vinder Puri for clearance of the said consignment by using IEC available with Sh. Ravinder Puri. He further stated that he prepared the import documents in the name of M/s Dev International Ludhiana on the basis of PAN and IEC provided by Sh. Ravinder Puri. He further stated that he was not aware as to what goods were being imported by Sh. Ramesh Wadhera in these consignments. 8. That the statement of Sh. Ramesh Kumar @ Sh. Ramesh Wadhera was recorded on 19.03.2016 wherein on being shown the statement of Sh. Rajan Arora, he denied having given any work of customs clearance of import made by M/s Dev International. 9. That from the statements of Sh. Ravinder Puri, Sh. Srinath Ramanujam, Director of M/s Red Eagle shipping Agencies (P) Ltd., Shri Vipul Rajan, Director of M/s Winworld Container Lines Pvt. Ltd., Sh. Rajan Arora, Partner of M/s Sark Enterprises and Sh. Ramesh Wadhera and the fact that no other person has claimed the goods imported in the above said thirteen containers, it appeared that:- i. the seized ladies ready-made garments were being imported by misusing the IEC of M/s Dev International; ii. the seized ladies readymade garments were being impo....
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....s of the Customs Act. Therefore, he has rendered himself liable to penalty under Section 112 of the Customs Act, 1962. ix. As accepted in his statements dated 15.12.2015 and 09.11.2016, recorded under Section 108 of the Customs Act, 1962, Sh. Rajan Arora has actively connived with Sh. Ramesh Wadhera in import of ready-made garments in the guise of disposable glasses in the thirteen containers. He arranged lEC for this purpose, engaged person for clearance of the goods and also booked the containers to facilitate this illegal import with the knowledge that the goods so imported are liable to confiscation under the provisions of the Section 111 of the Customs Act, 1962. For this purpose he further connived with Sh. Ravinder Puri also to hatch the conspiracy. Therefore he has dealt with the goods contained in thirteen containers with the knowledge that the same were liable to 'confiscation and has therefore rendered himself liable to penalty under Section 112 of the Customs Act, 1962. Further, he caused Sh. Ravinder Puri to make false declaration before the Customs in respect of Bill of Entry No 3504520 dated 07.12.2015 and therefore has rendered himself liable to penalty....
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....ection 112 and Section 114AA of the Customs Act, 1962. 11. That the Proprietor Sh. Amit Nagi appeared for personal hearing and stated that he had in fact given his IEC to Sh. Ravinder Puri out of Friendly relations and he was not at all aware of the fact that his IEC would be mis-used. In fact he was informed that the IEC shall be used for importer of genuine crockery. 12. That the Ld. Adjudicating Authority vide impugned order held that Sh. Rajan Arora, Ravinder Puri & Amit Nagi are conduit for arranging the IEC, booking of containers and clearance of the mis-declared goods with the knowledge that readymade garments are being imported by mis-declaring the same as disposable glasses for monetary consideration. 13. Accordingly, the Adjudicating Authority vide Order-in-original dated 17.04.2018 ordered confiscation of readymade garments (2,24,000 pieces valued at Rs.1,47,83,999/- imported vide Bill of Entry No. 3504500 dated 07.12.2015 under Section 111(f), (i) and (m) with option to redeem on fine of Rs. 30 lakhs. Further confiscated readymade garments in the other eleven containers 1002600 pieces valued at Rs.6,61,71,601/- under Section 111(i) of the Act, also confiscated ....
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.... the alleged illegality involved in the seized consignment. vi. The impugned order wrongly held that penalty is imposable on the proprietor of M/s Dev International as he had provided his IEC which have been used to mis-declare the goods. In fact the proprietor has categorically stated that he was not at all aware with regard to mis-declaration as he has given his IEC to Sh. Ravinder Puri for genuine import of crockery. vii. Without having any evidence on record to show that the appellant was in fact aware of the mis-declaration at any stage, the impugned order has wrongly held that the appellant was aware of the mis-declaration. It is submitted that the show cause itself admits that it was Sh. Rajan Arora and Sh. Ramesh Wadhera who were the persons behind these imports. viii. The Ld. Appellate Authority has wrongly held that Sh. Amit Nagi allowed his IEC for illegal import referring to Sh. Ravinder Puri's statement. However, it is a wrong finding, as Sh. Amit Nagi permitted Sh. Ravinder Puri to import on his IEC for legal imports and Sh. Ravider Puri also permitted Sh. Rajan Arora to use the said IEC of Sh. Amit Nagi for legal imports of crockery only. H....
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....ffence under the Customs Act. RAVINDER PURI: 16. Learned Counsel for the appellant inter alia urges the following:- (i) This appellant was not aware at any stage with regard to the consignment covered under the Bill of Lading nor he had any role to play in the alleged illegality of mis-declaration. Admittedly, the Bill of Entry filed was with respect to one consignments of containers imported in the name of M/s Dev International. No bill of entry was filed for the rest eleven containers. Further admittedly nobody claimed the goods in the other eleven containers. Unless a person files bill of entry he cannot be treated as an importer. (ii) Admittedly, this appellant have not claimed to be owner of the seized goods at any stage. Even the two containers for which bill of entry was filed, the same admittedly were dealt with by Sh. Ramesh Wadhera jointly with Sh. Rajan Arora who has taken all steps for clearance of the said two containers. Thus, this appellant being neither the importer nor the owner of goods is not liable for the alleged mis-declaration. Thus, this appellant cannot be penalised under the provisions of Section 112(a) read with Section 114AA. ....