TaxTMI 
TaxTMI 
2000 (5) TMI 48
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.... reasoning that one Shri Debashis Mukherjee was actually handled the import who was erstwhile partner of the partnership firm. 5.Shri Milan Gupta, the petitioner no. 2 being partner of the petitioner no. 1 admitted that he had allowed one Shri A.K. Sinha to use the stamp of clearing house agent for the purpose of clearance of the imported consignments of M/s. Chandra Overseas to whom Shri Sinha was representing. Shri Milan Gupta categorically stated that he used to get a sum of Rs. 300/- per bill of entry in respect of goods cleared by Shri A.K. Sinha. 6.Mr. Debashis Mukherjee is a person who has directly handled the imported consignments of M/s. Chandra Overseas. Mr. Mukherjee had further stated in his statement that Mr. A.K. Sinha was his employer and Mr. Sinha was not the partner of M/s. Orient Clearing & Forwarding Agency. From the prima facie investigation it is clear that M/s. Orient Clearing & Forwarding Agency in connivance with Mr. A.K. Sinha, Mr. Debashis Mukherjee and Mr. Chandra Prakash Sharma took active part in manipulation of import consignment resulting in loss of huge Government revenue. Whereas Mr. Milan Gupta one of the partners of M/s. Orient Clearing & Fo....
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....ent to comply with any of the provisions of these regulations, whether within the jurisdiction of the said Commissioner or anywhere else; (c) any misconduct on his part whether within the jurisdiction of the said Commissioner or anywhere else which in the opinion of the Commissioner renders him unfit to transact any business in the customs station. Notwithstanding anything contained in(2) sub-regulation (1) the Commissioner may, in appropriate cases, where immediate action is necessary, suspend the licence of a Custom House Agent where an enquiry against such agent is pending or contemplated." 9.The regulations as aforesaid are sub-divided into two sub-regulations. From the first part it appears that the Commissioner may, subject to the provisions of Regulation 23, suspend or revoke the licence of a Custom House Agent for various failures which are indicated above. Second part speaks that notwithstanding anything contained in Sub-regulation (1), the Commissioner may, in appropriate cases, where "immediate action" is necessary suspend the licence of a Custom House Agent where an enquiry against such agent is pending or contemp....
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....nt of applicability of the Sub-regulation (2) of Regulation 21 of the Custom House Agents Licencing Regulations, 1984 but before going into such point let me deal with another judgment reported in 1999 (106) E.L.T. 9 (S.C.) (Collector of Customs, Cochin v. Trivandrum Rubber Works Ltd.) for passing comments wherein it was held that clearing agent's duties and functions under the Customs Act ordinarily come to an end with clearance of the imported goods and their delivery to the importer/owner. Therefore, service of the notice on the clearing agent thereafter not construable as a valid service on the importer/owner. Possibly the case was cited with a hope that since the petitioner no. 1 cleared the goods, no further responsibility lies on them for which they will be answerable and fare notice of suspension is served at the belated stage. However such submission is not acceptable in the present case since in that case question of demand of the authority about short levy was made upon the importer after the period of limitation wherein service was effected upon the clearing agent by saying agent has obligation about the same but the Supreme Court did not accept the same since the liabi....
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..... v. Commissioner of Customs (G) Mumbai, were cited. In all the three judgments it has categorically held that "immediate action" is needed for the purpose of application of the Regulation 21(2) (ibid). 21.Save and except the arrangement about technical approach of the words "immediate action" under Regulation 21(2) of the Custom House Agents Licencing Regulations, 1984 no further supportive value is forthcoming in this case. Therefore this is a very weak case, however, court has a bounden duty to analyse the position before coming into conclusion. 22Regulation 21(2) cannot be confined to the rigidity. of the words "immediate action" alone. It has to be considered in the proper prospective because other relevant words are important for the purpose of coming to an appropriate conclusion in this respect which are as follows : "Notwithstanding";I. "In appropriate cases";II. "Where an enquiry against such agent is pendingIII. or contemplated"; Therefore, the word "immediate action" cannot have any independent leg to stand unless it is fit in the circumstances in respect of all or either of the conditions as above. 23.If I analysis the fact situation, the word "notw....