ABDUL KAREEM POKU Vs. COMMISSIONER OF CUSTOMS, COCHIN

JUDGEMENT

(1.) APPEAL No. C/1340/2010 is by Shri Abdul Kareem Poku (hereinafter referred to as assessee) against the order of the Commissioner (Appeals) No. 37/2010, dated 19 -3 -2010. Appeal No. C/1274/2010 is by the department against the very same order of the Commissioner (Appeals).

(2.) HEARD both sides extensively.

(3.) THE relevant facts in brief are that the assessee imported a Toyota Land Cruiser car and filed Bill of Entry on 6 -11 -2007 seeking clearance of the same. The investigation by the department revealed that the material particulars given by the assessee in the Bill of Entry and in the documents submitted were found to be mis -declared. On examination, the chassis number and the engine number were found to be different from what were declared by the assessee in the documents submitted to the customs authorities. The value of the car declared was Rs. 4,37,780/ -. The investigation conducted by the department with the M/s. Toyota Kirloskar Motor, the manufacturer, revealed the discrepancies relating to chassis number, engine number, etc., and the actual date of manufacture was found to be 28 -1 -2004 as against the claim by the assessee as 9 -3 -2000 and date of first registration of the vehicle was found to be 15 -3 -2004 as against 17 -3 -2000 as claimed by the assessee. Accordingly, show -cause notice dated 20 -11 -2008 was issued proposing confiscation of the vehicle and also proposing rejection of the value declared by them and for enhancing the same to Rs. 10,19,174/ -. Original authority vide order dated 19 -3 -2009 absolutely confiscated the car in terms of Section 111(d) and (m) of the Customs Act read with Section 3(3) of the Foreign Trade (Development and Regulation) Act, 1962. He also imposed penalty of Rs. 1,50,000/ - on Shri Abdul Kareem Poku under Section 112(a) of the Customs Act, 1962. On appeal by the party, Commissioner (Appeals) upheld the value of the car which was arrived at as Rs. 10,19,174/ -. However, he allowed option to redeem the vehicle on payment of fine of Rs. 2 lakh and reduced the penalty from Rs. 1,50,000/ - to Rs. 75,000/ -. 3.2 The assessee is challenging the valuation of the vehicle at Rs. 10,19,174/ - and also seeks leniency in redemption fine and penalty. Department has come on appeal challenging the order of the Commissioner (Appeals) in allowing the vehicle to be allowed on redemption fine.