FINAL ORDER NO. 50781/2026

JUSTICE DILIP GUPTA:

Sadagati Clearing Services Pvt Ltd¹the appellant has filed this appeal to assail the order dated 31.12.2024 passed by the Commissioner of Customs (Airport & General)²the Commissioner by which the Customs Brokers’ License of the appellant has been revoked; the whole amount of security deposit has been forfeited and penalty of Rs. 50,000/- has been imposed on the appellant.

The aforesaid order passed by the Commissioner adjudicates the show cause notice dated 09.07.2024, that was issued to the appellant under the provisions of the Customs Brokers’ Licensing Regulations, 2018³the 2018 Regulations

The submission that has been advanced by Shri Devesh Tripathi, learned counsel for the appellat, is that the order impugned deserves to be set aside for the sole reason that the show cause notice dated 09.07.2024 is vague. To support this contention, learned counsel has placed the show cause notice that runs from page numbers 678 to 817 of the Appeal Memo. Learned counsel pointed out that paragraph 20 of the show cause notice has merely called upon the appellant to show cause as to why an appropriate order may not be passed for violation of provisions of regulations 10(d), 10(e) and 10(q) of the 2018 Regulations without even mentioning why the appellant has violated the provisions of these regulations.

Shri K.K. Bashisht, learned authorised representative appearing for the department has, however, supported the impugned order and has submitted that it does not call for any interference in this appeal.

To examine the contention that has been advanced by the learned counsel for the appellant, it would be necessary to examine the show casue notice dated 09.07.2024 which has been adjudicated upon by the impugned order. Paragraph number 1 of the show cause notice merely refers to the description of the appellant. Paragraph number 2 states that a letter dated 27.09.2023 was received from the appellant for surrendering F- card and on receipt of the said letter, information was sought from various ICDs/ports as to whether any case or dues were pending against the F-card holder. It has further been stated in the paragraph that the appellant was issued a show cause notice dated 11.07.2023 by the Additional Commissioner of Customs. Paragraph number 4 of the show cause notice mentions that as the copy of the said show cause notice dated 11.07.2023 was not provided, a request was made to the Assistant Commissioner of Customs to provide the copy of the said show cause notice. It also mentions that a copy of the show cause notice dated 11.07.2023 was provided on 26.03.2024. Paragraph number 5 of the show cause notice, which begins at page number 679 of the Appeal Memo, merely reproduces the show cause notice dated 11.07.2023 and this paragraph runs upto page number 809. Paragraph number 6 of the show cause notice mentions that from the aforesaid show cause notice dated 11.07.2023, it appears that the appellant had violated the provisions of the 2018 Regulations. Paragraph number 7 mentions that the license of the appellant was suspended. Paragraph number 8 of the show cause notice mentions that an opportunity of hearing was granted to the appellant regarding the suspension of license. Paragraph number 9 of the show cause notice relates to the records of personal hearing. Paragraph number 10 of the show cause notice refers to the submissions of the appellant in respect of suspension of licence. Paragraph numbers 11 to 19 relate to discussions and findings regarding the order passed on the suspension of license and the confirmation of the suspension order on 29.05.2024.

Paragraph number 20 of the show cause notice, which is the only relevant paragraph, is reproduced below:

“20. Whereas from the above, it appears that the CB M/s Sadagati Clearing Services Pvt Ltd. has violated the following regulations of CBLR. 2018 read with Regulation 13 (d) and 13 (c)