Full Judgment
2. Shri J.K. Wadhawan, Advocate appearing for the appellants, stated that both the sender and receiver of the currency are illiterate persons. The currency was not concealed in any manner. The currency was sent for the family expenses of the receiver. Shri Gurmeet Singh had approached the Reserve Bank of India for permission and the RBI had agreed to consider the request if the Customs authorities gave a No objection certificate. The Customs however, did not give such a certificate but chose to confiscate the currency. The learned Counsel submitted that the Government had adopted a liberal policy for import of foreign exchange and therefore, the order of confiscation was wrong.
Shri Nanak Chand, learned DR maintained that this was an unauthorised import and the order of confiscation was legal.
3. I have carefully considered the submissions made by both the sides.
While I agree that the currency merely in the fold of a letter cannot attract the charge of concealment, I observe that the appellants had changed the stand. Before the Assistant Collector, the claim was made that the currency was received as an unsolicited gift. On this observation, no penalty was imposed on the appellant. Before the Collector (Appeals), the plea was made that the money was for defraying the expenses of the sender's family. In either case, the Customs were satisfied that it was a case of smuggling. The amount is small. It is also correct that well before the date of receipt of the parcel, the Government had adopted a liberalised policy where the people abroad were encouraged to send foreign exchange to a resident in India. In the light of these circumstances, the order of absolute confiscation of the currency is unwarranted and harsh. The Customs possess the remedy in the form of redemption fine in dealing with cases of unauthorised importation. This was a case where the lower authority could exercise their authority under Section 125 of the Customs Act, 1962.1 feel that this is a case fit for relief. In modification of the lower order, I direct that the currency may be redeemed on payment of a fine of Rs. 2,500/-. The appellants would be required to produce a No objection certificate from the Reserve Bank of India. The appeal is thus allowed in these terms.