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2013 (10) TMI 35 - AT - CustomsPenalty on CHA for wrong declaration of Classification of Goods - Duty Drawback Interest Penalty u/s 114(iii) - Revenue was of the view that the goods under 830700 attracted a lower rate of drawback Held that:- As per Central Excise invoices and ARE-1, the goods were classifiable under Chapter Heading 8307 whereas in the drawback shipping bill classification claimed is 7307 and/or 7222 which attracted a higher rate of drawback of 1 1/2 % /2% as against the eligible drawback of 1% - The exporter in the case had admitted to the wrong claim of drawback and had paid back the excess drawback along with interest - Section 114 of the Customs Act provides for penalty for attempt to export goods improperly. The section covered imposition of penalty without mens rea and also on mens rea - When the law provides that penalty shall be imposable for commission and/or omission of an act without any mens rea such shall be imposable irrespective of any mens rea as held by the hon'ble apex Court in the case of Gujarat Travancore Agency, Cochin Vs. Commissioner of Income Tax Kerala, Ernakulam [1989 (5) TMI 1 - SUPREME Court ] - Penalties imposed for the omission on the part of the appellant in wrongly declaring the Chapter Heading under the drawback schedule which led to the claim of ineligible drawback, therefore, cannot be faulted. There was no deliberate attempt on the part of the appellant in violating the law; therefore penalty against the appellant herein is much on the higher side, especially considering the fact that the appellant was only a small time CHA - Taking into account the circumstances of the case penalty was reduced.
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