TaxTMI 
TaxTMI 
TaxTMI 
2025 (7) TMI 649
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....r computer case with power supply & mother board. The officers examined the goods and found them to bear dust and scratches. As per the opinion rendered by M/s. HP India Sales Pvt. Ltd., the goods were used or second-hand goods. As import of second-hand goods was restricted in terms of Notification No. 35 (RE-2012)/2009-2014 dated 28.02.2023 issued by DGFT read with para 2.31 of Foreign Trade Policy (page 21 of appeal memo), goods were placed under seizure. 1.2 M/s. Value Smart Trading Limited vide letter dated 26.03.2019 informed Customs that goods were meant for servicing global orders and not meant for home consumption in India. Further, they requested for permission to re- export. 1.3 The Adjudicating Authority ordered for confiscatio....
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.... imported and bonded on arrival in India for re-export to any country outside India, except Nepal and Bhutan. Moreover, it is duly admitted in para 5.2 of adjudication order (page 22 of appeal memo) that in one bill of entry, it was duly declared that goods were meant of re-export. Hence, it was purely technical error in not making similar declaration in other bills of entry. Hence, there was no cause for confiscation under Section 111 (d) of Customs Act, 1962. 2.2 Similarly, the bills of entry were filed by appellant who is a service provider and who had no prior knowledge about goods being old & used. Failure to make such a declaration cannot be held as fatal in the light of Instruction No. 06/2006 issued by Ministry of Commerce & Indust....
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....td. held that Redemption Fine and Penalty can be imposed. Relevant para of the order as under:- "20. As regards the judgments, the appellant has stated that as per the decision of the Hon'ble Supreme Court in Siemens Limited (supra) and Sankar Pandi (supra), in a case of re-export, redemption fine or duty cannot be imposed. We find that the Hon'ble Supreme Court has not laid down any such law in the said case. Its decision to order refund of the redemption fine were based on the peculiar facts of the case. So also in the case of the Hon'ble High Court in Sankar Pandi. The other judgments cited by the appellant are based on decisions of the Tribunal. In this regards I propose to examine the Larger Bench decision in the case of ....
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....ion 125 of the Act shall be applicable in a case where confiscation of any goods is authorized by the Customs Act. If it is found that there is breach of any of the provisions of the Customs Act and/or even the Export/Import Policy, and/or there is a breach of any of the terms and conditions on which goods were permitted to be imported without payment of duty and permitted to be deposited in the warehouse, confiscation of such goods can be said to be authorized thereafter, when it is found that the goods are not available for confiscation as the same were illicitly diverted to the open market, and the purpose for which the goods were permitted to be imported without payment of duty is frustrated, in lieu of such goods, redemption fine is im....
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....ugned by the Department to be incorrect while importing the goods. The basis of the Department's case was the computer parts were old & used and not declared as such, though they had certain scratches and marks on them. It is also Department's case, that not all bills of entry indicated that the goods were meant for re-export and therefore, being used and second-hand goods, import of same was restricted as per para 2.17 of the Foreign Trade Policy of the year 2009-2014. This Court finds that the goods were old and used and same was in knowledge of appellants is pre-requisite for imposing the penalty and for the same there no evidence is coming on record. Further, this Court finds that unit being an SEZ unit, which pre-dominantly exports the....