2026 (1) TMI 960

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.... the Joint Commissioner of Customs confirming the imposition of penalty upon the appellant under sections 114 (iii) and 114AA of the Customs Act. 2. It transpires from the record that a show cause notice dated 20.08.2018 was not only issued to M/s Goyal Knitwear Private Limited, of which the appellant is the Director, but also to the appellant and Kamal Prakash Goyal and the relvant portion of the show cause notice is reproduced below: "16. In view of the facts discussed in the foregoing paras and material evidences available on record, it appears that Shri Kamal Praksh Goyal and Shri Surinder Kumar Goyal, directors of "GKPT" has allowed Shri Tushar Goyal to use IEC of their firm for export of goods, they have actively involved ....

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....ation no. 3019006262 dtd. 30.01.2015 under SFMS benefits by resorting to willful mis-statement and suppression of facts. The duty exemption SFMS authorisation, fraudulently availed was sold to M/s Shivalik Fastners Pvt. Ltd. for availing duty exemption for import of goods. I further find that the above facts of not exporting the goods to focus market viz. Kazakhstan, clearly establish that the documents, which were presented for exports were not according to the destination mentioned in the export documents. The country of destination was wrongly mentioned and the sole intention was to show the name of countries, for which export promotion schemes of Foreign Trade Policy like Focus Market Scheme were available. The role of mastermind was pl....

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.... section 114 (iii) and section 114AA of the Customs Act. "10. As the Scrips were not cancelled before the issuance of the order by the Joint Commissioner, it is not possible to sustain the demand of duty and the imposition of penalty under section 114(iii) of the Customs Act. 11. Insofar as the penalty under section 114AA of the Customs Act is concerned, it is seen that it can be imposed if a person knowingly or intentionally makes, signs or uses, or causes to be made, signed or used, any declaration, statement or document which is false or incorrect in any material particular, in the transaction of any business for the purposes of the Customs Act. 12. In the instant case, the finding that has been recorded by the....