PRAKASH DIAMOND PRIVATE LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) Considering the fact that the controversy involved in the present case lies in a narrow compass, the petition is taken up for final hearing today. Hence, rule. Learned advocate for the respondents is directed to waive service of rule.

(2.) In this petition under Article 226 of the Constitution of India, the petitioner has prayed for the following substantive relief:

(3.) The facts stated briefly are that the petitioner is a Private Limited Company engaged in the business of trading in cut and polished diamonds. Pursuant to show cause notice dated 27th October 2010, Order-in-Original dated 26th November 2009 came to be made by Commissioner of Customs, respondent No. 2 herein, inter alia, re-determining the value of 784.28 carats of Cut and Polished Diamonds imported by the petitioner at US $ 11,25,445.50 (Rs. 5,67,22,453/- as per the applicable rate) and ordering confiscation of the same under Section 111(d)(m) of the Customs Act, 1962 (the Act). However, option was given to redeem the same on payment of fine of Rs. 25 lakhs, which was required to be exercised within 30 days thereof. Penalty of Rs. 5 lakhs came to be imposed on the petitioner and Rs. 1 lakh each on two of its directoRs. Penalty of Rs. 10 lakhs came to be imposed on one Shri Prakash Sancheti.