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2016 (12) TMI 1025 - CESTAT, KOLKATAQuantum of redemption fine - M/s. Nitu Enterprises imported two consignments of ‘Bearings’ of third country origin from M/s.Kumar Trading Co.Ltd. (LLC), Dubai and sought transit of the same to Nepal - consignments were found to be of Russian/Japanese/Police/Romanian origin - on overseas enquiries the addresses of the importer was found to be fictitious - whether the redemption fine imposed is adequate or is needed to be enhanced? - Held that: - It is observed from the case records that declared value of the two consignments, intended to be cleared to Nepal against Customs Transit Declaration(CTD) was ₹ 24,13,642/-. At the time of seizure department estimated the market value of Bearings to be ₹ 1,93,09,139/-. At the time of disposal of the said goods as per the direction of Hon’ble Apex Court an amount of ₹ 1,01,05,990/- was realized and deposited with State Bank of India, Main Branch, Kolkata. Even if the sale proceeds of ₹ 1,01,05,990/- is taken to be the market value of the seized goods then also the margin of profit will be more than 300%. Accordingly Bench is of the considered view that redemption fine imposed by the Adjudicating authority is highly inadequate. In the interest of justice redemption fine is enhanced from ₹ 1.00 Lakh to ₹ 25.00 Lakhs under Section 125 of the Customs Act, 1962 - quantum of redemption fine enhanced - appeal allowed - decided in favor of Revenue.
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