SRI RAGAVENDRA TRADERS Vs. CESTAT, CHENNAI

JUDGEMENT

(1.) Challenge in this Civil Miscellaneous Appeal is to the Final Order, dated 19-5-2009 passed in Final Order No. 574 of 2009 in Appeal No. C/S/33/2009 and C/67/2009. The appellant herein has been engaging in doing aluminium scrap and liable to pay Customs duty. Under the said circumstances, a show cause notice has been issued whereby demanded Customs duty together with redemption fine and penalty and the same has been upheld in Order-in-Original. Against the order passed in Order-in-Original, an appeal has been preferred before the Commissioner of Appeals wherein both penalty and redemption fine are reduced. Against the order passed by the Commissioner of Appeals, an appeal has been preferred before the Appellate Tribunal wherein also some reductions with regard to redemption fine and penalty have been given. Against the order passed by the Appellate Tribunal, the present Civil Miscellaneous Appeal has been filed.

(2.) At the time of admitting the present Civil Miscellaneous Appeal, the following substantial questions of law have been settled for consideration:-

(3.) The learned counsel appearing for the appellant has straightaway drawn the attention of the Court to the provision of 112(b)(ii) of the Customs Act, 1962, wherein it has been stated that a penalty can be imposed not exceeding the duty sought to be evaded on such goods or five thousand rupees whichever is the greater and in the instant case, penalty has been imposed more than the amount of duty and therefore, on the side of the assessee the same has been challenged, but the learned counsel appearing for the respondent has drawn the attention of the Court to three sub-sections viz., (iii) to (v) of Section 112(b) of the said Act.