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2016 (1) TMI 1143 - AT - CustomsConfiscation of goods with an option to pay redemption fine and redeem the goods - imposition of penalty Prohibited goods - wide band zinc coated steel - permission to import subject to fulfillment of certain conditions - galvanized steel sheets - Bureau of Indian Standards - conformity of the imports with standards prescribed for domestic industry - Held that: - there is no conceivable threat to public safety by allowing the goods into the country. The goods, though violative of the Foreign Trade Policy, are not prohibited for import. All that is required to render them compliant is the BIS mark or possession of prescribed certification. Such goods have been allowed to be imported on exemption granted by the Bureau. Therefore, the contravention could have been overcome by certification of the manufacturer abroad or by obtaining of exemption. The advantage vis-`-vis similar importers or manufacturers in India is merely the benefit of cost. In the normal process of adjudication of offences, confiscation for contraventions is visited with imposition of fines that seek to negate the unfair cost advantage subject to there being no potential harm to the safety and security of the citizenry, the economy or the State. Confiscation and redemption, thereby, legitimize the contravention in imports and render the goods to be licit. It confers legitimacy even where, and particularly when, the statutorily prescribed approving agencies are not empowered to approve retrospectively. Imposition of conditions, such as re-export, does not sit well with such regularization through the adjudication process. Failure on the part of the importer to exercise the option of redemption would place the burden of disposal on the Central Government which cannot re-export the goods and would have to sell only within India subject to the restrictions in the Order supra; there is no justification to accord a harsher treatment after redemption of the goods. Allowing redemption subject to re-export is not warranted, is unnecessary and is not logically sound. Impugned order is modified to the extent of setting aside the condition of re-export upon redemption. Appeal is accordingly disposed off by allowing redemption on payment of fine without any conditions whatsoever.
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