Gold Smugglers Can't Walk Thru Settlement Commission
A smuggler walks through the green channel of an International Airport in India, but is caught by the Customs with a huge quantity of gold. He is a declared smuggler. Can he go to the Settlement Commission and get an immunity from prosecution?
This is what exactly happened in a case reported by us recently. ().
A passenger, as part of his baggage, brought into India 6452.600 gms of gold on 16.06.2013 while arriving at the Indira Gandhi International Airport, Delhi from Dubai. While he was trying to cross the green channel, a Customs Officer intercepted him and on being asked by the Customs Officer as to whether he carried any dutiable goods, he replied in the negative. On examination, it was found that he was carrying gold wrapped in brown tape which was tied to his waist by a black belt.
He made an application before the Settlement Commission, which settled the case, against which the Revenue made a successful writ petition before the Delhi High Court.
The High Court held that the Settlement Commission had no jurisdiction to settle cases covered by Section 123 of the Customs Act and Gold was specifically covered.
The CBEC has noticed this High Court order and has clarified to the field that in view of the said order of the Delhi High Court, the Settlement Commission has no jurisdiction to entertain matters in relation to the goods specified under section 123 of the Customs Act, 1962 which include Gold.
Board has directed, "In case the settlement Commission admits any such matter for settlement, the jurisdictional field formation should challenge the same in High Court by way of Writ, at the stage of admission."
CBEC Instruction in F.No.275/46/2015-CX.8A., Dated: October 01, 2015