CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL CHENNAI REGIONAL BENCH - COURT No. I Customs Appeal No.40232 of 2025 (Arising out of Order No.04/2025 dated 03.02.2025 passed by Commissioner of Customs (General), Chennai)

M/s. Kailash Shipping Services Pvt. Ltd. …. Appellant

1^st Floor, 42, 5^th Cross Road, North Phase, Industrial Estate, Ekkatuthangal, Chennai 600 032.

VERSUS The Principal Commissioner of Customs, …Respondent General Commissionerate Custom House, 60, Rajaji Salai, Chennai 600 001. APPEARANCE :

Shri Hari Radhakrishnan, Advocate, for the Appellant Shri Sanjay Kakkar, Authorized Representative for the Respondent CORAM :

HON’BLE MR. VASA SESHAGIRI RAO, MEMBER (TECHNICAL)

HON’BLE MR. AJAYAN T.V. MEMBER (JUDICIAL)

FINAL ORDER No.40629/2025 DATE OF HEARING : 17.04.2025 DATE OF DECISION : 19.06.2025 Per AJAYAN T.V.

M/s. Kailash Shipping Services Pvt Ltd, the appellant herein, has preferred this appeal challenging the Order No.4/2025 dated 03.02.2025 of the Principal Commissioner of Customs, Chennai Customs Zone, Chennai, whereby it was ordered that the suspension of the appellant’s Customs Broker License which had been suspended by a preceding Order No.02/2025 dated 06.01.2025, be continued, in terms of Regulation 16(2) of the Customs Brokers Licensing Regulations, 2018 (CBLR 2018).

2. Succinctly, the facts are that the appellant is a licensed Customs Broker having a license No.R-302/CHA valid upto 07.01.2026. Based on an offence report dated 05-12-2024 issued by the Additional Commissioner of Customs, Chennai IV Commissionerate, the Customs Broker License of the appellant was suspended. The allegation in the offence report was that on 14-11-2024 the appellant produced a tampered and fake self-sealing permission letter dated 04.08.2023 while clearing three export containers on behalf of an exporter at the Direct Port Entry (DPE) Facility located at Thiruvottiyur, Chennai. The appellant vide letter dated 21.11.2024 admitted that the manipulation was done by the appellant’s staff who attended the clearance work, without the knowledge of his immediate superior and that the appellant had suspended the person. Consequently, the Principal Commissioner of Customs, being of the view that it appeared that the appellant has failed to fulfil its responsibilities as mandated under the CBL regulations ibid, and that it is necessary to take immediate action against the appellant to prevent them from further misusing the customs broker license, accordingly, vide Order No.02/2025 dated 06.01.2025, suspended the appellant’s Customs Broker License in terms of Regulation 16(1) of the CBLR, 2018. Thereafter, the appellant was granted a personal hearing on 21.01.2025 during which the appellant requested for revocation of the suspension on account of the submissions made. However, the Principal Commissioner, vide the impugned Order No.4/2025 dated 03.02.2025 continued the suspension of the appellant’s customs broker license. Hence this appeal.

3. The further fact that is germane is that subsequently, the Principal Commissioner of Customs, Chennai Customs Zone, Chennai, issued a show cause notice No.09/2025 dated 17-03-2025 issued on 18-03-2025 having DIN : 20250373mz000000D81E (SCN), calling upon the appellant to show cause in writing as to why the customs broker license issued to the appellant should not be revoked, the security deposited by the appellant should not be forfeited and why penalty should not be imposed upon the appellant in terms of Regulation 14 and 18 of the CBLR, 2018. The SCN ibid was issued under regulation 17(1) of the CBLR, 2018 and a copy of the same produced by the appellant was taken on record in as much as we are satisfied that its production is for sufficient cause since the appeal itself has been listed consequent to an out of turn hearing allowed earlier as the matter concerns the livelihood of the appellant.

4. Shri. Hari Radhakrishnan, Advocate appeared and argued on behalf of the appellant. The Ld. Counsel contended th