2026 (1) TMI 733

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ng a penalty of Rs. 50,000/- and forfeiting the entire amount of security deposit under Regulations 14 and 18 read with Regulations 17(7) of the Customs Broker Licencing Regulations, 2018 [CBLR] by the Commissioner of Customs (Airport & General), New Delhi. The appellant is Customs Broker licensed under CBLR by the Commissioner of Customs (Airport & General), New Delhi. It could file Bills of Entry and Shipping Bills through any port or airport in the country as per the CBLR. On 23.1.2023, the appellant filed three Bills of Entry at Mumbai port bearing no. 4324995 and 4325182 on behalf of M/s Dreams Inc., and Bill of Entry No. 4325118 on behalf of M/s Aahanna Associates. On the basis of intelligence, the Central Intelligence Unit at Mumbai ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....oner, by the impugned order, revoked the appellant's Customs Broker licence, imposed penalty and forfeited the security deposit. Aggrieved, this appeal is filed by the appellant. 3. We have heard learned counsel for the appellant and the learned authorized representative appearing for the department and perused the records. 4. The short questions to be answered are whether, based on the available evidence on record, it can be said that the appellant had violated Regulations 10(d), 10(e), 10(f), 10(m) and 13(12) of CBLR and if so, whether the penalty imposed on the appellant is proportionate to the violations. These regulations read as follows: "10. Obligations of Customs Broker.- A Customs Broker shall - (d) advise h....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....which it did not declare cannot be held against the appellant. This is for the reason that the Customs Broker has no authority to examine the goods and this authority is only with the Customs Officers. Before clearance, the goods will continue to be in the custody of the custodian, (Inland Container Depot or Container Freight Station). It is the custodian's responsibility to present the goods for examination by the customs officers. 6. However, in this case there was also violation of various legal requirements in the imports such as BIS certification, RE-44 Notification, Legal Metrology Provisions, etc. 7. Regulation 10(d) requires the Customs Broker to comply with the provisions of the Act, other Allied Acts and Rules and Regulation....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....tion 138B reads as follows: "138B. Relevancy of statements under certain circumstances. - (1) A statement made and signed by a person before any gazetted officer of customs during the course of any inquiry or proceeding under this Act shall be relevant, for the purpose of proving, in any prosecution for an offence under this Act, the truth of the facts which it contains,-- (a) when the person who made the statement is dead or cannot be found, or is incapable of giving evidence, or is kept out of the way by the adverse party, or whose presence cannot be obtained without an amount of delay or expense which, under the circumstances of the case, the court considers unreasonable; or (b) when the person who mad....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ns. As discussed above, these findings, based on the statements made before the Customs Officers under section 108 of the Act by the importers, cannot also be relied upon as the Commissioner did not follow the procedure prescribed under section 138B, admit the statements as evidence. Therefore, the finding that the appellant violated Regulation 10(f) cannot be sustained. 12. Regulation 10(m) requires the Customs Broker to discharge its duties as Customs Broker with utmost speed and efficiency and without any delay. The Commissioner recorded, that based on the statements made by the importers, that the Customs Broker failed to discharge his duties with utmost efficiency and caused a delay in customs clearances thereby violating regulation....