(1.) THIS appeal arises from Order -in -Original No. 47/2000, dated 15 -2 -2000 by which the Commissioner has ordered for enhancing the value of the imported Toyota Land Cruiser Prado Car at Rs. 11,72,000/ - and as a result demanded differential duty of Rs. 4,12,867/ -. The same has been adjusted from Rs. 8,00,000/ - deposited by the appellant. The car has been confiscated and the same has been allowed to be redeemed on payment of a fine of Rs. 3,50,000/ -. There is a penalty of Rs. 40,000/ - on the appellant, besides penalties on other parties whose appeals are not listed today. The allegation against the appellant is that Shri D. Rajkumar is culpable under Section 112(b) for having acquired the goods imported in contravention of law. The main allegation is against Shri Ramer Velu for having submitted fabricated documents and false declarations to the Customs Department, by giving fictitious addresses and various other acts of omission and commission listed in the Show Cause Notice. The other persons viz. Shri A. Ratnam and Shri Rajinder Singh alias Baby Singh have been imposed penalty for having acted as middlemen in the deal. During the investigation, it was found that the car was not in the use of the importer viz. Shri Ramar Velu and, therefore, the benefit of Cat A of Public Notice 3/97, dated 31 -3 -1997 issued by the DGFT cannot be extended to the car. It was alleged that the car was assessed and cleared on payment of duty of Rs. 7,47,150/ - more than one year ago. However, later, they found on specific information from the DRI that the Bombay address of the importer given in the Passport and Bill of Entry and the Bangalore address given to the RTO, Bangalore are fictitious and no person by the said name resided there at any point of time. Therefore, the vehicle was detained by the DRI on 4 -12 -1988 and the same was kept in the safe custody of Mrs. Komala on 4 -12 -1998, the present owner of the vehicle. The statements of D. Rajkumar, A. Ratnam and Rajinder Singh were recorded. The present owner of the vehicle was considered to be the appellant and whose statement was recorded under Section 108 of the Customs Act wherein he admitted that he was the owner of the said vehicle and having purchased the vehicle from one Shri A. Ratnam of Bangalore on 17 -3 -1998 on payment of Rs. 18,00,000/ - by means of cheques in favour of the seller. However, on investigations with the Bank, it was found that no such cheques were issued. Subsequently, on 16 -5 -1999, Shri Rajkumar submitted a letter that the purchase was of Rs. 24,00,000/ - paid in cash and not by cheques. The statement of other persons were also recorded and it was alleged in the Show Cause Notice that : -
(2.) THE Commissioner has found the violation of the Public Notice and has also found the documents to be fabricated. The enhanced valuation has also been accepted in view of the letter from Toyota Trusho Corporation giving the price of identical model and having the same chassis number. For these offences, penalties have been imposed.
(3.) WE have heard learned Advocate Shri Lakshminarayana for the appellants and learned SDR Shri P.M. Saleem for the Revenue.