ITO Vs. OM PRAKASH ARUN KUMAR

JUDGEMENT

(1.) THE grievance projected in this appeal by the revenue is that the learned Commissioner (Appeals) -VI was not justified in deleting the addition of Rs. 1,30,000 paid as redemption fine to the Customs department, which is in violation of law and also erred in deleting the addition of Rs. 13,000 paid as personal penalty imposed by the Customs department, which is in violation of law.

(2.) THE assessed is a partnership firm and carries on its business of dealing in dry fruits at Delhi as head office and Amritsar as branch office. The firm had furnished its return of income on 26 -2 -1993, declaring the total income of Rs. 3,91,030. In respect of this assessment year, the original assessment was completed under section 143(3) vide order dated 28 -2 -1994, on an income of Rs. 4,63,774. The case was reopened under section 148 on the basis of information received from the Customs department through the officer of ADI (Investigation), Unit III, vide letter No. 622 dated 24 -8 -1994, that the firm had paid redemption fine of Rs. 1,30,000 along with personal penalty of Rs. 13,000 to the Asstt. Collector of Customs, Group I, New Customs House, Bombay, in respect of dry dates it had imported from Pakistan.

(3.) THE Addl. Collector of Customs vide his order dated 23 -1 -1992, imposed a total redemption fine of Rs. 1,30,000 in respect of three Bills of Entry, i.e., No. 6938, dated 25 -11 -1991, 1118, dated 4 -12 -1991, and 6689, dated 25 -11 -1991. Apart from this, the Addl. Collector of Customs imposed a personal penalty of Rs. 13,000 on the firm in respect of these Bills of Entry.