TaxTMI 
TaxTMI 
2025 (5) TMI 1736
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....ioner of Customs (Export), Mumbai, that confirmed liability to duties of customs foregone at the time of import along with interest thereon besides fastening other detriments, on the limited ground that by acknowledging discharge of liability of Rs. 22,33,965 as duties of customs, along with Rs. 4,04,000 as interest thereon, jurisdictional competence precluded invoking of penal provisions for so doing. The jurisdictional Commissioner of Customs was directed by the competent committee of Chief Commissioners to appeal against the same order for not having determined fine goods that, admittedly, were not confiscated solely for want of availability and for not having enforced the bond executed by the importer at the time of import obligating it....
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....aving heard both sides at length and reserving orders for final decision, directed Registry to relist the matter before a Division Bench ostensibly for lack of jurisdiction. 4. In the circumstances as set out above, with action having been initiated as consequence of non-fulfilment of conditions of exemption notification and, consequently, concerned only with erasure of privilege of foregoing of duty already assessed at the time of import subject to fulfilment of export obligation, with no dispute over either rate of duty or value which vests jurisdiction exclusively with a division bench of the Tribunal, we are unable to fathom cause for the restoration. Be that as it may, we do not shirk from exercise of jurisdiction that, doubtlessly, i....
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....review by the competent committee has failed to exercise application of mind and, hence, not tenable for relief in appeal. As far as the impugned order is concerned, it is evident from '114A. Penalty for short-levy or non-levy of duty in certain cases. - Where the duty has not been levied or has been short-levied or the interest has not been charged or paid or has been part paid or the duty or interest has been erroneously refunded by reason of collusion or any wilful mis-statement or suppression of facts, the person who is liable to pay the duty or interest, as the case may be, as determined under sub-section (2) of section 28 shall also be liable to pay a penalty equal to the duty or interest so determined: xxxx' of Customs Act, 196....
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.... Engineers. Indeed, the plea in appeal of Commissioner of Customs for enforcement of the bond does not sit well with the contention of Learned Authorized Representative that equal penalty was in order. 7. Further, it is seen that the finding of '11.5.7 As regards liability of the importer company M/s. Hi-Tech Engineers to be penalized under the provisions of Section 114A of the Act, I find that as discussed above,; the importer knowing fully well that they do not have any export orders or plans for export of iron ore, applied and obtained an EPCG Licence and imported the impugned goods saving customs duty amounting to Rs.22.33,965/-(Twenty Two Lac Thirty Three Thousand Nine hundred and Sixty Five only) based on such mis-declaration of th....
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....quently, it may safely be said that the imposition of penalty under section 114A of Customs Act, 1962 is improper. 8. It only remains for us to examine the alleged impropriety in not quantifying fine under section 125 of Customs Act, 1962 as condition for redemption of goods. Goods are, admittedly, not available and not retainable, thereby, for transfer back to the title holder upon complying with payment of fine. Such is merely an option which does not present itself for exercise by importer in the absence of need for the goods. Non-exercise of option crystalizes the ownership in the hands of the Central Government and determination of fine for redemption of goods, that do not vest by confiscation and which cannot be made available by Cen....