SATPAL MANCHANDA Vs. CC

JUDGEMENT

(1.) S /Shri Satpal Manchanda, Rajpal Manchanda, Pawan Kumar, Ashwani Kumar and Raj Kumar Jalan, have filed appeals against imposition of penalty under Customs Act, 1962 and Gold Control Act, 1968 as also against confiscation of the Maruti car and scooter as also against absolute confiscation of seized Indian Currency of Rs. 1,05,000/ - under Section 121 of the Customs Act, 1962. As all the above eight appeals arises out of the same order, therefore, the appeals were heard together and are being disposed of by this common order.

(2.) THE facts of the case briefly stated are that on 15.10.1988 the officers of Directorate of Revenue Intelligence searched house No. 20A, Veer Savarkar Block, Delhi in the presence of its three occupants S/Shri Rajpal Manchanda, Pawan Kumar and Bhagwat Singh Choudhary and two independent witnesses. During the search of a Maruti Car No. DBG -6227 parked inside the said house, 260 foreign marked gold biscuits of 10 tolas each valued at Rs. 96,51,200/ - were recovered from two secret cavities made in the frame of the car below both the front doors. None of the persons present inside the house could produce any document to show legal possession/import of the recovered gold, the same was, therefore, seized in the reasonable belief that it was liable to confiscation under the Customs Act, 1962 and Gold (Control) Act, 1968 along with the Maruti Car. A sum of Rs. 65,000/ - was also recovered from the house which was also seized as being relevant to the enquiry. One scooter DDR -8682 found parked inside the house along with some documents kept in the scooter were also seized as being relevant to enquiry under the Customs Act, 1962.

(3.) IN the follow up action House No. D -39, Greater Kailash Enclave II, New Delhi of Rajpal Manchanda was searched on 15.10.1988. A sum of Rs. 40,000/ -was recovered and seized as being relevant to the enquiries under the Customs Act. Statement of S/Shri Rajpal Manchanda, Pawan Kumar and Bhagwat Singh Choudhary were recovered. Shri Rajpal Manchanda in his statement recorded on 15.10.1988 and 16.10.1988 admitted that he had been indulging in smuggling of gold and silver from Pakistan in association with his brother Shri Satpal Manchanda. He also stated that the gold was sent by one person named Ashok @ Sharma of Dubai to Iqbal of Lahore who in turn sent the same across the Indo -Pak border to his brother Satpal Manchanda at Amritsar that from Amritsar the gold was sent by Satpal to Delhi for disposal; that the gold across the border was smuggled by Sardul Singh @ Sula Mehra and Putti, both of village Naushera Dhalla, Distt. Amritsar. Shri Rajpal Manchanda further admitted that he along with his brother Satpal had gone to Dubai in September 1988 to meet Ashok @ Sharma and start the gold smuggling; that after his return from Dubai he had received three consignments of gold; that the fourth consignment of 260 gold biscuits were brought from Amritsar to Delhi on 15.10.1988 by his nephew Shri Pawan Kumar in Maruti Car DBG -6227, that in Delhi he used to hand over the gold to one Suman who used to contact him on telephone; that the sale proceeds of the gold were handed over by Suman to Prakash and Raju, available on Delhi telephone Nos. 2913915 and 6447946; that Raju and Prakash used to send this money to Dubai. He also clarified that he used to get Rs. 30,000/ - for disposal of every 100 foreign marked gold biscuits; that out of a total sum of Rs. 1,05,000/ -recovered and seized from his residence and 20A, Veer Savarkar Block, Shakarpur, Delhi, he had taken Rs. 50,000/ - from Choudhary Bhagwat Singh while the remaining amount was the commission of the smuggling of gold. He also admitted the recovery of 260 gold biscuits of foreign markings from Maruti Car DBG -6227.