NARAYAN PAL Vs. COMMISSIONER OF CUS., PATNA

JUDGEMENT

(1.) VIDE the impugned order the authorities below have confiscated betel nuts with imposition of personal penalties upon the three appellants.

(2.) AFTER hearing Shri K.P. Dey, ld. adv. and Shri V.K. Chaturvedi, ld. SDR, I find that the betel nuts have been confiscated on the ground that the same were of foreign origin and were smuggled items. The above findings has been arrived at on the basis that the betel nuts were packed in double layered bags and inner bags were found marked with Calcutta in transit to Nepal and names of foreign countries Bangkok and Thailand were marked on the same. As such it has been concluded that the goods were filled in original foreign bags or filled in Nepal in similar bags where such bags are abundantly available and the same were covered with another bags found marked with railway markings only. On the other hand the appellants have submitted challan nos. dated 27 -8 -1995 showing movement of the goods. Documents produced by the appellants in the shape of money receipt, P.W. bill and road challan have been verified and found to be in order. The appellants have challenged the above finding on the ground that the indigenous betel nuts booked from Dhupaguri railway station against R.R. have been seized on the basis of presumptions and without any evidence. They have contended that betel nuts are grown abundantly in north -east India and the same being non -notified item under the provisions of Section 123 of the Customs Act, burden of proof is upon the Department, which has not been discharged by the Revenue. Reliance has been placed upon the Tribunals decision in the case of Ramnath Saha - 2000 (115) E.L.T. 182 (T) in which case it was held that the fact that the betel nuts were booked from a place near Indo -Nepal border is not sufficient to prove smuggled nature of goods. Similarly reference was made to another decision of this Tribunal in the case of Shafiquer Rahman - 1999 (34) RLT 544 (CEGAT) holding that markings of a foreign brand on the packages of the cigarette were not sufficient to establish foreign origin and smuggled character of the goods.

(3.) I find that in the instant case the Revenue has strongly relied upon the factum that the inner bag of betel nuts was having markings of foreign origin and of Calcutta in transit to Nepal. However, as held by the Tribunal in the case reported in 34 RLT 544 such markings do not conclusively establish that the betel nuts filled in bags are of foreign origin. Apart from that, such markings, in any case, do not establish the smuggled character of the betel nuts which are grown in abundance in that part of the country. No other evidence as regards illegal movement of the goods from Nepal have been brought on record. As such I extend the benefit of doubt to the appellant and set aside the impugned order. Appeals are allowed with consequential relief to all the appellants.