KANNIAHLAL JETHOJI Vs. CENTRAL BOARD OF EXCISE AND CUSTOMS, BHARAT SARKAR KENDRIYAUTPADAN SHULK TALKA SEEMA SHULK BOARD, NEW DELHI AND OTHERS

JUDGEMENT

(1.) THIS matter arises under Customs Act. The writ Petitioner seeks to quash the order of the Central Board of Excise and Customs dated 26th March 1973, whereunder a penalty of Rs. 21,000 was imposed on the Petitioner for contravention of Section 112(b) of the Customs Act (hereinafter referred to at the Act).

(2.) ON 30th April 1970, the Assistant Collector of Customs issued a search warrant to search the premises No. 81 Narayana Mudali St, Madras 1, where the Petitioner was slaying and which premises was in his possession. Certain goods of foreign origin including 1524 watches and 41 watch straps and 54 reels of radiant yarn, the market value of these goods being about Rs. 1,60,210, were seized under a mahazar dated 30th April 1960. The Petitioner himself gave a statement In which he admitted that these watches, radiant yarn reels, watch straps etc, were of foreign origin and he kept the watches for the purpose of sate. A show cause notice was issued in October 1970. The Petitioner furnished a reply stating that the statement was not voluntary. An order of adjudication was passed under which the Assistant Collector held that the goods would be liable for confiscation. Criminal proceedings were also launched against the Petitioner which initially ended in conviction tor six months and also payment of fine of Rs. 250. Against that criminal proceeding, Criminal App. No. 389 of 1973 was filed and the Petitioner was acquitted. However, against the order of confiscation, when the matter was taken up by the Board, by the impugned order dated 26th March 1973, the Board confirmed the penalty of Rs. 25,000. It is in these circumstances, the present writ petition has been preferred.