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2024 Supreme(Online)(CESTAT) 402
CUSTOMS EXCISE & SERVICE TAX APPELLATE TRIBUNAL
ANIL CHOUDHARY, J
V.B. Vimal Proprietor of M/s Srinidhi Gold – Appellant
Versus
Commissioner of Central Tax (Preventive) Vijayawada – Respondent
Customs Appeal No. 30103 of 2024 | Customs Appeal No. 30093 of 2024
For the Appellants/Petitioners: Shri G. Prahlad, Ms. Chamanthi
For the Respondents: Shri A. Rangadham
Penalties on co-noticees are set aside when the main appellants' appeals are allowed, indicating the interconnectedness of the cases.
Headnote:(A) Customs Act - Sections 112(a) & 112(b) - Imposition of penalty - Appellants charged with facilitating purchase of gold without documents - Appeals of main appellants allowed, setting aside confiscation and penalties - Co-noticees' appeals also allowed as issue no longer survives. (Paras 1-8)
(B) Legal Principle - In cases where primary accused's appeals are allowed, co-noticees may also seek relief based on the resolution of the main issues. (Paras 6-8)
Facts of the case:
The appellants faced penalties for allegedly facilitating undocumented gold purchases. The main accused's appeals were previously allowed by the Tribunal.
Findings of Court:
The Tribunal acknowledged the resolution of main appeals and permitted the co-noticees' appeals, thereby setting aside penalties.
Issues: Whether penalties imposed on co-noticees should stand given the resolution of main appellants' appeals.
Ratio Decidendi: The court ruled that the resolution of main appellants' appeals necessitated the allowance of co-noticees' appeals and the associated penalties.
Result: Appeals allowed.
No.A/30210-30212/2024 dt.15.03.2024, setting aside the confiscation of gold as well as penalties.
5. Similarly, the main appellants, viz., Mr. V. Kranti Kumar and Mr. T. Prasannanjaneyulu, who had allegedly purchased gold from Mr. B. Suresh Babu of M/s Kubera Bullion at Coimbatore, had also come up in appeals before this Tribunal in Appeal Nos. C/30327/2023, C/30328/2023 & C/30331/2023 and vide Final Order No.A/30214-30216/2024 dt.18.03.2024, the appeals of the main appellants have been allowed, setting aside the confiscation of gold and penalties imposed.
6. In view of the appeals of the main appellants having been allowed by this Tribunal, learned Counsel for the appellants mentions that these appeals of the co-noticees/appellants may also be allowed, as the issue no longer survives.
7. Learned AR for Revenue agrees that the appeals of the main appellants in the connected matters have been allowed as aforementioned.
8. Considering the rival submissions and taking notice that the appeals of the main appellants have been allowed as aforementioned, the present appeals of these appellants are also allowed and penalties imposed on them are set aside. Appellants shall be entitled to consequential benefits, in accordance with law.
