MUNNA Vs. COMMISSIONER OF CUSTOMS

JUDGEMENT

(1.) THE issues involved in these three appeals, arising out of common order -in -original No. 35/2001, dated 23 -11 -01 are whether the goods were liable for confiscation and whether the penalties were imposable on the appellants.

(2.) BRIEFLY stated the facts are that on the basis of information, the Customs officers intercepted a truck No. WB 11/3811 which was parked outside the godown of M/s. Varanasi Indore Roadlines. Shri Munna, proprietor of the Road -lines, was supervising unloading of packets from the truck. The search of the godown and truck resulted in seizure of 17 packets containing foreign origin silk yarn. The officers seized the 17 packets and the truck. The goods were claimed by M/s. New Paradise Silk Cooperative Society Ltd. on 2 -8 -2000. Shri Mohd. Hanif Ansari, Chairman deposed in his statement dated 11 -8 -2000 that while attending EXPO at Calcutta in February, 2000, he met one Mr. Binoy representative of M/s. Fairdeal Enterprises and Delhi party M/s. Kunal International and asked him to supply raw silk for job work on job charges basis. He, further, stated that M/s. Binoy intimated to him on 8 -7 -2000 that the raw material will be sent on 20 -7 -2000 and he received the billty and challan of the goods on 27 -7 -2000. The address of M/s. Kunal International at 85 -A, Jamrudpur, Greater Kailash, Part -I was found closed for the last one year. Similarly no office in the name of M/s. Kunal International was found to be located at Girish Chandra Avenue, Calcutta. Shri Binoy Majumdar, Managing Director of Fairdeal Enterprises in his statement dated 16 -8 -2000 and 17 -8 -2000, stated that he had never met, nor talked nor made any correspondence with Mohd. Hanif Ansari of New Paradise Silk Cooperative Society and he had not asked anybody or Hanif Ansari to claim the ownership of the goods. The Commissioner, under the impugned order, has ordered absolute confiscation of 17 bales of foreign origin silk yarn valued at Rs. 15,37,200/ - and imposed a penalty of Rs. 50,000/ - on Munna of Varanasi Indore Roadlines and penalty of Rs. 25,000/ - each on Hub Narain Tiwari and Naushad Khan under Section 112(a) of the Customs Act. The Commissioner has also appropriated the security amount of Rs. 50,000/ - taken from Hub Narain Tiwari for provisional release of the truck.

(3.) SHRI M.P. Singh, learned Advocate, appearing on behalf of Mohd. Ansari submitted that the impugned goods were imported by M/s. Kunal International and after clearing the same from Customs, were sent to him on job work basis. On a query from the Bench as to whether the goods in question has been purchased by them or they are the owners of the goods, the learned Advocate replied that they had not purchased the goods as the same had been sent to them on job work basis, being the master weaver. The learned Advocate, further, mentioned that the Commissioner has wrongly confiscated the goods in question as the burden to prove the smuggled nature of the goods lies on the department; that they are aggrieved person as the goods had been consigned to them and as consignee they have the right to the goods.