S.S. GROUP EXPORTS Vs. COMMISSIONER OF CUSTOMS

JUDGEMENT

(1.) THE impugned order has confiscated two export consignments of readymade garments for contravening the provisions of Section 50 read with Section 76 of the Customs Act, 1962. The confiscation has been ordered under Sections 113(d) and (i) [presumably 113(h)(ii)] of the Customs Act. A redemption fine of Rs. 1,26,000/ - was imposed to re -claim the goods and a penalty of Rs. 63,000/ - has been imposed on the exporter.

(2.) THE facts of the case are that the exporter had filed customs documents for export of two consignments of ladies cotton long skirts. The values declared were about Rs. 16.6 lakhs and Rs. 8 lakhs respectively at a rate of US 1.00 per piece. The customs authorities carried out market enquiry about the declared prices and came to the conclusion that the price would be between Rs. 20 to Rs. 22 per piece. Thereupon, allegation was raised that the exporter had declared a high value for the purpose of obtaining excess drawback. When the exporter was made aware of this allegation, he filed a letter, dated 24 -1 -1999 stating that drawback may be paid to him as applicable to export value of Rs. 22/ - per piece of the goods and the export may be allowed.

(3.) IT has been submitted before us that there was no misdeclaration of export value. The exporter has since realised full value of the consignment as declared. Certificate of foreign exchange realisation, dated 17 -2 -2000 from Bank of Baroda was made available during the hearing. It was also submitted that the appellants never admitted the over -valuation of goods. In view of the objections raised by the Customs, he had only agreed that drawback may be paid at the value of Rs. 22/ -. This could not be treated as admission of overvaluation. The appellants, therefore, submit that confiscation of the goods and imposition of penalty were unjustified in the facts of the case.