Now Reading: CESTAT upholds Rs 80 lakh fine on Oswal Minerals for ore breach
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CESTAT upholds Rs 80 lakh fine on Oswal Minerals for ore breach
CESTAT in Hyderabad has upheld a Rs 80 lakh redemption fine and Rs 9 lakh penalty on Bengaluru-based Oswal Minerals for moving 5,550 MT of imported manganese ore to an unauthorised private…
The Story in Brief
CESTAT in Hyderabad has upheld a Rs 80 lakh redemption fine and Rs 9 lakh penalty on Bengaluru-based Oswal Minerals for moving 5,550 MT of imported manganese ore to an unauthorised private yard instead of the designated public bonded warehouse. The tribunal dismissed the company's appeal, ruling that the act violated Sections 59 and 60 of the Customs Act read with warehousing regulations. The bench rejected arguments that there was no intent to evade duty, noting that the statutory violation itself justified confiscation and penalties.
The Indian Opinion
The Rs 80 lakh fine may seem stiff for a warehousing procedural lapse, but the Customs Act leaves little room for error. Some will call this bureaucratic overreach, given no duty was evaded. Yet the law exists precisely to prevent goods from vanishing into unapproved yards, a real risk. The real test is whether this ruling compels importers to audit their logistics partners more carefully. That will do more for compliance than any fine.
Source: timesofindia.indiatimes.com
This story was synthesised by AI from the source linked above.
