2009 (4) TMI 702 - AT - Customs

Summary

The appellate tribunal CESTAT, Chennai, under the leadership of Ms. Jyoti Balasundaram, heard a case involving the import of second-hand capital goods that required a specific license due to being over 10 years old. The goods were confiscated and a fine imposed, but the importers appealed, arguing that the goods were validly imported under the new Foreign Trade Policy in effect by the time the bill of entry was filed. The Commissioner (Appeals) initially ruled in favor of the importers, but the case was remitted for re-adjudication. In the final judgment, the tribunal upheld the contravention of Section 111(d) of the Customs Act, reducing the redemption fine to Rs. 50,000 and setting aside the penalty, thereby partly allowing the appeal. The case highlights the importance of adherence to import regulations and the impact of policy changes on import legality.