JUDGMENT

M.S. Sanklecha, J. - This Appeal under section 130 of the Customs Act, 1962 (the Act) challenges the order dated 3rd June, 2005 passed by the Customs, Excise and Service Tax Appellate Tribunal (the Tribunal).

2. This Appeal was admitted on 28th June, 2007 on the following substantial questions of law:

"(a) Whether in the facts and circumstances of the case and in law, the Customs, Excise and Service Tax Appellate Tribunal (the Tribunal) is justified in allowing the Appeal of the Respondents herein and setting aside the order of confiscation of the seized gold, by totally discarding the confessional statements given by the Respondents under the provisions of section 108 of the Customs Act, 1962, which are in the nature of admissible legal evidence, as clearly mandated by the Hon''ble Supreme Court in the case of (i) K. I. Pavunny v. The Assistant Collector (HQ), (1997) 3 SCC - 721 and (ii) Naresh J. Sukhwani v. Union of India (1996) SCC (Cri) 76?

(b) Whether in the facts and circumstances of the case and in law, the Tribunal is justified in holding that the Respondents have discharged their burden/ onus cast on them in terms of the provisions of section 123 of the Customs Ac