COMMISSIONER OF CUSTOMS Vs. SADANAND CHAUDHARY

JUDGEMENT

(1.) The Revenue has filed the present appeal under Sec. 130(2A) of the Customs Act 1962, impugning an order dtd. 2/2/2018 passed by the Customs Excise and Service Tax Appellate Tribunal (hereafter 'the CESTAT'), whereby the punitive measures imposed on the respondent's Customs Broker License under the Customs Broker Licensing Regulations, 2013 was reduced to forfeiture of the security deposit. The allegation against the respondent is that he had failed to verify the antecedents and correctness of the Import-Export Code No., identity of his client and functioning of his client at the declared address. It appears that the allegation against the importer was that it had overvalued the consignment imported for making fraudulent drawback claims.

(2.) Mr. Harpreet Singh, learned counsel appearing for the appellant, submits that the regulations contemplate two penalties ' one, being revocation of license and forfeiture of security; and the second, being penalty. Any order by the learned CESTAT imposing a measure of forfeiture of security only is not permissible. He submits that the said question is also covered by the decision of the Coordinate Bench of this Court in Commissioner of Customs (General) v. KVS Cargo: CUSAA No. 122/2018 dtd. 9/10/2018. In the said case, the Court refused to entertain the appeal because the role ascribed to the custom broker was one of carelessness and negligence. The Court also noted that the Commissioner appeared to have imposed almost impossibly high standards on the Custom Broker and therefore, dismissed the appeal. However, the aforesaid question was decided in favour of the appellant. Mr. Harpreet Singh submits that a similar order may be passed in this appeal as well.

(3.) Before we proceed to examine the controversy in the present appeal, it would be necessary for this Court to decide whether the delay in filing the same is required to be condoned. The present appeal was filed on 30/7/2019, which was after the delay of 307 days. The only explanation for the delay reads as under: -