AROKIARAJ Vs. COMMISSIONER OF CUS.

JUDGEMENT

(1.) For the purpose of hearing this appeal the appellant Shri Arokiaraj, is required to pre -deposit a penalty amount of Rs. 2.5 lakhs imposed in terms of Section 112{b) of the Customs Act. The allegation against him is that he being a licensed CHA is required to verify the bona fide of any person approaching him for Customs clearance work, which he has not done in respect of Shri Kasirajan in the illegal act of attempting to import auto parts valued at Rs. 26,59,908/ - (FOB) and Rs. 54,48,800/ - (MV). The goods were said to have exported under certain export promotion schemes and were re -imported. Ld. Counsel submits that there is no evidence to prove that the appellant having dealt with the imported goods. The Customs authorities have not apprehended the importer Shri Kasirajan and no statements have been recorded to implicate the appellants. The appellant is innocent and totally not involved in the matter and he is also not having sufficient funds to pre -deposit the penalty as it is a partnership concern.

(2.) Ld. DR submits that the appellants should have apprehended the alleged importer and his whereabouts have to be found out. Since Shri Durai Srinivasan was instrumental for this illegal act and actively abetted Shri Kasirajan and therefore, penalty is liable on him under Section 112(b) of the Customs Act, 1962.

(3.) On a careful consideration of the submissions made by both sides, we notice that no penalty has been imposed on Shri Kasirajan and he is yet to be apprehended. There is no statement implicating the appellant's involvement. No one has filed any documents to clear the goods. Prima facie the appellants have made out a strong case in the light of the Apex Court judgment rendered in the case of Shri Ram v. The State of U.P. reported in 1975 SC 175. Hence, the stay application is allowed and waiver is granted. The appeal to come up for Single Member Bench as it is a Single Member Bench matter.