INTERSALES Vs. COMMISSIONER OF CUSTOMS, BANGALORE

JUDGEMENT

(1.) THE appellant is seeking waiver of pre -deposit of Rs. 2 lakhs. They have already deposited Rs. 25,000/ -. The imported goods are machinery parts which were imported through bills of entry and the total value of the goods was more than Rs. 28,26,001/ -. The value was not accepted and department proceeded to reduce the value. The value was reduced. However, the Commissioner in the impugned order absolutely confiscated the goods without giving them redemption which is challenged as against law. When the assessments were pending, the revenue has proceeded to auction the goods and sold them for a paltry sum of Rs. 20,000/ - and that amount has been adjusted by the Commissioner in the impugned order. The learned Counsel challenges the manner in which the goods are confiscated and sold before the impugned order was passed. He submits that the sale itself is challenged as being against law as the goods worth more than Rs. 30 lakhs were sold for a paltry sum of Rs. 20,000/ - even before the impugned order was passed. He prays for waiver of the balance of penalty reserving his right to initiate proceedings for recovery of value of goods sold illegally even before the impugned order was passed. Heard learned DR.

(2.) WE are of the considered opinion that the submission made by the counsel have strong force. For the first time we have come across a case where the revenue has proceeded to sell the goods by auction when the assessments were still pending. Prima facie, the procedure is irregular and not as per law. The appellants were entitled for redemption of the goods which has not been given but instead the goods have been sold for a paltry sum of Rs. 20,000/ -. The stay application is allowed granting waiver and staying its recovery. Appeal to come up for hearing in its turn.