The CHA who is not aware of concealed export of controlled substance under NDPS Act is not liable for penalty under CBLR’13

The CHA who is not aware of concealed export of controlled substance under NDPS Act is not liable for penalty under CBLR’13

2018 (5) TMI 1067 - CESTAT MUMBAI

MERCHANT & SONS VERSUS COMMISSIONER OF CUSTOMS (GENERAL) MUMBAI

the customs authorities detected a case of illegal export of suspected ‘ephedrine hydrochloride' a controlled substance under NDPS Act in two consignments concealed in ladies purses and wallets. The investigations were initiated after seizure of the said controlled substance at Johannesburg airport. On detailed investigation it was concluded that a case is made out against the appellant herein, who were the customs broker on the ground that they were aware of the seizure of the drugs at Johannesburg airport but did not inform the customs immediately. The enquiry officer has held that the CHA was aware of the seizure of the drugs at Johannesburg but did not inform the customs authorities immediately and enquiry report was put up before the adjudicating authority. The adjudicating authority, after recording the same, held that he does not find the offence grave enough so as to order for Customs Brokers License revocation. He only sought to impose penalty under Customs Brokers Licensing Regulations (CBLR), 2013 as appropriate punishment. There is no clinching evidence to show that the CHA was aware of the concealment of controlled substance or abetted the exporter in the concealment. in the absence of any evidence to show that there was active involvement of the CHA in concealment of controlled substance in its export consignment, CESTAT set aside the penalty of Rs.50,000/- imposed.