TMI Blog2014 (10) TMI 712X X X X Extracts X X X X X X X X Extracts X X X X ..... Khyati Enterprises, M/s. K.M. International, M/s. Satyam Enterprises and M/s. Vaishali Enterprises has been ordered to the respondent, Shri Manjit Singh on the basis of the affidavits regarding ownership already submitted by him and the provisional release of the goods imported in the name of M/s. Aashavi Enterprises and M/s. Dhruv Enterprises has been ordered to the respondent, Shri Manjit Singh in the event of production of the necessary affidavits/authorization. When the importers are fictitious persons and the value of the goods has been grossly undeclared and the adjudication of the matter may result in huge duty demands, against the importers, releasing the goods on provisional basis to a person, who is not the owner of the goods would certainly jeopardize the interests of the Revenue, as, if provisional release is made and the respondent, Shri Manjit Singh vanishes with the goods and subsequently duty demands are confirmed, the department will neither have the goods nor the persons from whom the duty can be recovered. impugned order is contrary to the provisions of the law and in fact is a perverse order - Decided in favour of Revenue. - C/60274/2013-CU(DB) - C/A/50586/2 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... name). Under the circumstances it is not possible to release goods seized by DRI, Mumbai to your client. Deputy Commissioner, ICD-Dhannad has accordingly informed you rejecting the application. If you desire to be heard personally in this matter you are requested to appear before undersigned on any working day. Thus in terms of the above letter the Commissioner refused the provisional release of the goods seized by DRI to Shri Manjit Singh on the ground that M/s. KAM, M/s. Khyati and M/s. KM International are non-existent and the respondent, Shri Manjit Singh is not a bona fide owner of the goods. 1.2 Subsequently, after about 2 weeks, the same Commissioner vide his order dated 5-11-2013 ordered - (a) provisional release of the goods except those which are prohibited or restricted goods and which are otherwise freely importable as per ITC, on payment of applicable duties on the value assessed and 25% of the duty as bank guarantee or Revenue deposit for securing redemption fine or personal penalty and on furnishing bond for full value of restricted goods so released; and (b) provisional release of restricted goods as per the Exim Policy on payment of applicab ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... imported are the goods which are restricted for import in terms of the Exim Policy and could be imported only against specific import licences issued by DGFT, the same have been heavily underinvoiced, that in terms of the provisions of Section 110A of the Customs Act, 1962, document or goods seized under Section 110 of the Customs Act, 1962, may, pending the order of the adjudicating authority, be released to the owner on taking a bond from him in proper form with such security and conditions as the adjudicating authority may require, that from the provisions of Section 110A of the Customs Act, 1962, it is clear that the provisional release of the goods seized can be made only to the owner with such security and with such specific conditions as the adjudicating authority may prescribe, that the respondent is not a bona fide owner of the goods, that this is clear from the Commissioner s order dated 23-10-2013, wherein taking cognizance of the fact that the importers have been found to be non-existent and therefore Shri Manjit Singh could not be treated as bona fide owner of the imported goods, the Commissioner informed the respondent that the seized goods could not be released to h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... missioner under Section 110A of the Act, which is reproduced below :- release of goods, documents and things seized pending adjudication. - Any goods, documents or things seized under Section 110, may, pending the order of the adjudicating authority, be released to the owner on taking a bond from him in the proper form with such security and conditions as the adjudicating authority may require. 9. From perusal of Section 110A, it is clear that - (a) provisional release of the goods can be made only to the owner of the goods; and (b) provisional release has to be made on taking a bond in proper form the owner with such security and such conditions as the adjudicating authority may prescribe. There is no dispute that that the importers have been found to be fictitious persons. Though the respondent seeks provisional release of the seized goods claiming to be the owner of the goods imported, we do not find any evidence on record in support of the claim of the respondent, that he is the bona fide owner. Just by furnishing affidavits claiming to be the owner, the respondent does not become bona fide owner of the seized goods. We also take note of the fact that t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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