ESJAYPEE IMPEX (P) LTD. Vs. CESTAT, CHENNAI

JUDGEMENT

(1.) This appeal is preferred against the Final Order No. 506/2012, dated 8-5-2012 passed by Customs, Excise and Service Tax Appellate Tribunal, South Zonal Bench, Chennai.

(2.) The appellant imported a consignment of 58.50 MT of Poppy Seeds and the total invoice price of goods is Rs. 8,20,170/-. The appellant did not produce any valid Import Licence for the clearance of the goods and the third respondent herein by his Order dated 7-5-1996 confiscated the said 58.50 MT of Poppy Seeds and allowed the redemption, on payment of a fine of Rs. 7,00,000/- and also imposed a penalty of Rs. 1,00,000/-. The appellant herein preferred appeal and the Commissioner of Customs (Appeals) by his Order dated 12-11-1997, set aside the impugned order and remanded the matter to the original adjudicating authority for de novo examination and decision with regard to imposition of penalty, keeping in view his observations and findings in that order. Thereafter, the third respondent by his Order dated 13-4-1998 ordered enhancement of penalty from Rs. 1,00,000/- to Rs. 18,00,000/-. Aggrieved by the same, the appellant herein preferred appeal and the Commissioner (Appeals) by his Order dated 20-12-2000 reduced the penalty to Rs. 4,00,000/- and modified the order. Not satisfied with the same, the appellant herein preferred further appeal to CESTAT and CESTAT by Order dated 8-5-2012, dismissed the appeal by confirming the penalty of Rs. 4,00,000/- imposed on the appellant herein. The said order is challenged in this appeal.

(3.) The only submission of the learned counsel for the appellant is that the Tribunal failed to advert to the question as to whether margin of profit could be a factor for determining the quantum of penalty and hence, the order is liable to be set aside. The learned counsel drew our attention to Section 112(b)(i) of the Customs Act, which reads thus :