2009 (4) TMI 158

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....ucted a search on his person, whereupon his zipper handbag was found to contain traveller's cheques of various denominations totaling to £ 60,000/- and his waist-pouch was found to contain £ 8,000/- in various denominations. The foreign currency totaling to £ 68,000/-, equivalent to Indian rupees 51.68 lakhs, was seized under a panchnama by the officers who believed that the same had been smuggled into India and was liable to confiscation under Section 111 of the Customs Act. A statement of the appellant was also recorded on the same day under Section 108 of the Customs Act, wherein he stated that he had brought the currency for the purpose of buying some property and starting some business in Goa. He further stated that he was not aware....

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....ng authority did not accept these arguments. It ordered confiscation of the foreign currency under Section 111(d), (m) and (o) of the Customs Act, with option for redemption against payment of fine of Rs. 10,00,000/-. It also imposed personal penalty of Rs. 10,00,000/- on the appellant under Section 112(a) of the Act. The present appeal is directed against the Commissioner's order. 2. The learned counsel has reiterated the averments contained in the appellant's reply to the show-cause notice. He has argued that, as there is no prohibition against import of foreign currency into India, clause (d) of Section 111 of the Customs Act is not applicable. He has further argued that clauses (m) and (o) of the said section are also inapplicable in....

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.... the appellant declared his personal effects, he chose not to declare the foreign currency which was brought in such a large measure. The belated declaration made by him is no declaration for purposes of Section 77 and, therefore, the breach of Section 77 by the appellant has continued ever since the date of his arrival in India. The counsel has argued that Section 111(d) of the Customs Act is not applicable to the facts of this case. This plea has to be considered with reference to Regulation 6 of the Foreign Exchange Management (Export and Import of Currency) Regulations, 2000. According to this provision, a person may bring into India from any place outside India foreign currency without any limit, provided that it shall not be necessary....