DEPUTY COMMISSIONER OF CUSTOMS Vs. A.V.AYESHA

JUDGEMENT

(1.) BOTH the appeals are filed by the official respondents (Customs Preventive Division) against the common judgment passed in two writ petitions filed by the wife and children of a "defaulter" under the Customs Act, 1962 (hereinafter referred to as "the Act") and proceeded against under the Customs (Attachment of Property of Defaulters for Recovery of Government Dues) Rules, 1995 (hereinafter referred to as "the Rules"); the Rules having been framed in exercise of the powers conferred under Section 156 read with Section 142 of the Act.

(2.) THE issue, in a short compass, is whether, for dues of the "defaulter"; the appellants, viz., wife and children of the defaulter, are entitled to be proceeded against and the properties standing in their name, applied to the satisfaction of such dues of the defaulter; on the premise that the same were in fact purchased by the defaulter and that the purchase in favour of the defaulter's dependants and in one instance the conveyance made to his son are to defeat the recovery of dues to the appellant-Department. The transactions with respect to the properties thus not disclosing the true nature of ownership; in any event being in the control of the "defaulter", the same are liable to be proceeded against for dues of the defaulter, is the contention of the appellant.

(3.) THE Department has not detailed the various proceedings before the different forums, being the adjudicating authorities or the Courts; with respect to the levy as such and whether there were any interim orders staying the recovery. The appellants for their part assert ignorance of any of the proceedings since the 'defaulter' though alive, is living separated. From the records we discern that the show cause notice was issued on 13.02.2003 and after finalization of the proceedings before the Supreme Court, a notice was issued on 06.12.2010 produced as Exhibits P4 and P8 [respectively in the writ petition of the wife, W.P. (C).No.31429 of 2011, and the two sons, W.P.(C).No.28292 of 2011].