UNION OF INDIA (UOI) Vs. ASHOK ARYA

JUDGEMENT

(1.) The question raised in this appeal is, when the respondent had confessed to have violated the provisions of Foreign Exchange Regulation Act, 1973 ('FERA' for short) whether the Tribunal was justified in setting aside the penalty levied by the Adjudication Officer

(2.) In this case the premises of the respondent who is the proprietor of M/s. Arabian Maritime Agency was searched on 20-2-1981 wherein incriminating documents were seized. In his statement the respondent had explained the various entries made on the documents which according to FERA authorities constituted violation of FERA.

(3.) Accordingly, show-cause notices were issued and thereafter adjudication order was passed holding the respondent to be guilty of contravening the provisions of Section 9(1)(a) of FERA and penalty totalling to Rs. 13,50,000 was levied inter alia on the ground that the respondent had made payments to residents outside India without any general or special permission from RBI and that no steps have been taken to receive the said amount in India.