TMI Blog1984 (12) TMI 317X X X X Extracts X X X X X X X X Extracts X X X X ..... 23.99 under Section 116 of the Customs Act on the alleged short landing of the goods imported by M/s. Steel Industries of India. On appeal, the Appellate Collector observed that the penalty was levied on shortages noticed during survey which was held under Customs supervision. The shortages occurred due to the denting of 239 drums and damage to 3 drums before the same were landed. As the drums were dented and damaged before the landing and as the survey was held under Customs supervision, the action taken by the Asstt. Collector was maintainable and on this reasoning the learned Collector (Appeals) rejected their appeal. 3. During the hearing of this appeal, Shri Vakil learned counsel for the appellants, submitted that the goods landed o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the remarks of the Port Trust. Therefore, it would have been open to the master of the ship or the steamer agent to get the survey conducted so as to absolve themselves of the liability under the Customs Act. Finally, Shri Gidwani submitted that three drums landed in damaged condition with lids open. Therefore, it could be reasonably presumed that the contents were lost before landing. He, therefore, urged that the orders passed by the authorities below may be maintained. 5. Considered the submissions made on both sides. The Customs authorities have chosen to invoke the provisions of Section 116 of the Customs Act, 1962 to levy penalty on the steamer agent. Before making the steamer agent liable under Section 116 there should be satis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t. Nothing prevented the consignee, from seeking steamer s survey within the stipulated period for establishing the shortage. The contention of Shri Gidwani that the steamer agent should have opted for holding the survey even accepted, would not be sufficient to call upon him to pay the penalty under Section 116. Primarily, it is the responsibility of the consignee to get the survey done particularly when the goods had landed in dented and damaged condition. If steamer s survey was not sought within a reasonable time the Customs authorities cannot call upon the steamer agents to pay penalty solely based on the survey held behind their back after a lapse of considerable time. There should be unimpeachable evidence of short landing before a p ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
