COMMISSIONER OF CUSTOMS Vs. A MOHAMMED

JUDGEMENT

(1.) AGAINST the order of the Customs, Excise and Service Tax Appellate Tribunal, South Zonal Bench, Chennai, dated 9. 11. 2006 made in Final Order No. 1059/2006, the commissioner of Customs (Import) has filed the present Appeal under Section 130 (1) of the Customs Act, 1962, by formulating the following substantial questions of law:

(2.) IT is the case of the appellant that based on specific intelligence, the officers of the SIIB detained two containers UACU-295224 and TEXU-289984-6 at Chennai Port. On examination, the containers were found to contain 7,006 Kgs. of sandalwood logs/billets, 529 Kgs. of sandalwood small rough pieces and 4,20,000 pieces of peacock feathers in respect of the first container, and 6,169 Kgs. of sandalwood logs/billets, 1,467 Kgs. of sandalwood small rough pieces and 238 Kgs. of Mica powder, in respect of the second container bearing No. TEXU-289984-6. The total value of the sandalwood, peacock feathers and mica powder in both the containers were estimated to be Rs. 64,27,750/-, Rs. 16,80,000/- and Rs. 3,570/- respectively. The goods were seized under Mahazar on 30. 5. 1993.

(3.) ON completion of the investigation, a show-cause notice was issued to the first respondent herein along with some other persons who were found to have been involved in smuggling the above-said goods. On adjudication by the Commissioner of Customs (Sea), an order of absolute confiscation of 15. 171 Metric Tonnes of sandalwood, 4,20,000 pieces of peacock feathers and 238 Kgs. of mica powder totally valued at Rs. 81,11,320/- was passed and the same were recovered. Further, a penalty of Rs. 5,00,000/- was imposed on the first respondent among others. Aggrieved by that order, the first respondent filed an appeal before the Customs, Excise and Service Tax Appellate Tribunal, which, by its Final Order No. 1059/2006 dated 9. 11. 2006, allowed the appeal on the premise that the criminal case initiated at the instance of the appellant has ended in acquittal in favour of the first respondent.