JAYABHARAT CREDIT LTD. Vs. COMMISSIONER OF CUSTOMS, LUCKNOW

JUDGEMENT

(1.) THE Officers of DRI, Lucknow intercepted a truck bearing Registration No.GJ -9 -V -0395 on the Bansi -Naugarh Road near the Indo -Nepal border on 22.11.98. On search of that truck, a total of 13,320 pcs. of Taper Roller Bearings (Made in Romania) valued at Rs.13,98,600/ - were recovered from it. These bearings and the truck valued at Rs.5,00,000/ - were seized under Section 110 of t he Customs Act, 1962. From the documents recovered from the seized truck, it revealed that the owner of the truck was one Shri Lalit Kumar N Rajdeo, r/o. 17, Panch Jyoti Society, Murasa, Gujarat. Shri Lalit Kumar N Rajdeo sent an unsigned letter to the Asst. Director of DRI, Lucknow along with a copy of the sale agreement purported to have been entered into by him with one Shri Aziz -ur -Rehman, owner of M/s. New Nelco Transport Service, Mumbai for the sale of truck to Shri Aziz -ur -Rehman, Village and Post Office: Pasai Dist. Siddharthnagar, U.P.

(2.) SHRI Aziz -ur -Rehman submitted an affidavit dt. 3.5.99 to the Asst. Director, DRI, Lucknow stating that the said truck was being operated by one Shri Nihal Ahmed of P.S. Dindhara Dist. Sant Kabir Nagar on mutual agreement and on payment of a sum of Rs.10,000/ - per month to Shri Aziz -ur -Rehman by Shri Nihal Ahmed.

(3.) CONSEQUENTLY , a show cause notice dt.13.5.99 was issued by the Commissioner, Customs, Lucknow to S/Shri Lalit Kumar N Rajdeo, Aziz -ur -Rehman and Nihal Ahmed of M/s. Jaybharat Credit Ltd. asking them to show cause why seized roller bearings should not be confiscated under Section 111(d) of the Customs Act, 1962, why the aforestated truck should not be confiscated under Section 115(2) and why a penalty should not be imposed upon each one of them under Section 112(b).