K.V. RAJAGOPAL Vs. CC

JUDGEMENT

(1.) ON 10.11.1992, 35 gold bars weighing 3421.390 gms. valued at Rs. 14,13,034/ - and 111 silver bars weighing 855.126 kgs. valued at Rs. 58,96,093/ - were recovered and seized by the Customs authorities from the appellant's premises. The gold bars were found to bear foreign markings. The silver bars did not have any such markings. The appellant disowned the gold bars, but claimed the silver bars. After recording statements of the appellant and completing the investigations, the department issued a show -cause notice for confiscating the goods under Section 111(d) of the Customs Act and imposing penalty on the appellant under Section 112 of the Act. The noticee resisted both confiscation and penalty. The adjudicating authority, by order dated 22.1.1995, confiscated the above goods absolutely and imposed a penalty of Rs. 7.50 lakhs on the appellant. The party preferred appeal to this Tribunal against the said order and this Bench, in Final Order No. 76/2000 dated 11.1.2000, held that (a) the appellant was entitled to the benefit of doubt regarding whether the silver bars were of foreign origin; (b) the confiscation of the said goods was justifiable as the same was a notified item; (c) but an option was available to the claimant for redemption of the goods; (d) instead of a consolidated penalty in relation to both gold and silver, separate penalties required to be imposed on the party, and (e) as the party had not contested the seizure of gold bars, absolute confiscation of the item by the adjudicating authority was sustainable the case. The Tribunal accordingly remanded to the Commissioner for fresh disposal in relation to the silver bars.

(2.) PURSUANT to the Tribunal's remand order, learned Commissioner of Customs passed the following order:

(3.) THE present appeal is against the above order.