SYED SARDAR HUSSAIN SHAH, MEMBER (JUDICIAL). Azimullah and Naqeebullah (appellants herein) have filed this appeal against the Order-in-App eal No.1-3/2018 dated 21.12.2017, passed by the Collector of Customs (Appeals) Islamabad, whereby order dated 18.08.2017 of the Deputy Collector (Adjudication) wherein the seized mounted body was allowed to the appellant on redemption fine @30% of the appraised value in addition to payment of duty and taxes was set aside.
2. Facts of the case as per available record are that on 09.09.2017, the Customs Special Checking Squad, Peshawar , in pursuance of an information intercepted a Titan Mazda Mini Truck f/o (Jack Trolly) Model 1987 bearing Registration No.EA-4237/Peshawar at Pishtakhara Chowk, Ring Road, Peshawar . The occupant/owner of the vehicle namely Azimullah on demand produced a Registration book. On scrutiny of the documents revealed that the occupant/owner of the vehicle mounted 1987 model non duty paid Titan Mazda Mini Truck foreign origin (Jack Trolly) with fitted Engine No.106719 on the frame of Mazda Mini Truck Model, 1987, Chassis No.WELA T- 408954 and he failed to produce any documentary evidence regarding legal import/payment of duty and taxes paid thereon. The vehicle referred to the Forensic Science Laboratory , Peshawar for chemical examination of its chassis and engine numbers. The FSL vide its Lab. No.SV :34-1941-0-15 dated 29.12.2015 reported that:- Nos. Before Chemical Treatment Nos. After Chemical Treatment WELA T-408954 WELA T-408954 Opinion: Chemical examination of the Chassis number of the vehicle in question revealed that: No other number has been deciphered on its chassis number ."
In the light of the above investigation and verification, it is established that the occupant/owner of the vehicle mounted complete Non-duty paid Titan Mazda Mini Truck (Jack Trolley) foreign origin Model 1987 with fitted Engine No.106719 (Physically) on the frame of model 1987, Chassis No.WELA T-408954, Engine No.64103, Registration No.EA-4237/Peshawar . Therefore, the vehicle in question was seized under Sections 2(s) and 16 of the Customs Act, 1969.
3. Subsequently , after completion of the requisite formalities, the matter was placed before the Deputy Collector of Customs (Adjudication) Peshawar , who vide Order-in-Original No.714/2017 dated 18.08.2017 released the mounted body on the vehicle against the payment of 30% redemption fine in addition to duty/taxes.
4. Aggrieved of the above order , the Collector of Customs, Model Customs Collectorate, Peshawar filed appeal before the Collector of Customs (Appea ls), Islamabad who vide Order-in-Appeal No.1-3/2018 dated 21.12.2017 order outright confiscation of the vehicle in question. Hence the instant appeal.
5. I have heard arguments of the learned counsel for the appellant as well as Mr. Muhammad Zahid, Superintendent Customs/representative of the respondent department.
6. In this case the chassis frame was purchased by one Zarmat Khan son of Haji Said War Jan resident of Dora Road, Mohallah Afridiabad, Peshawar , in a public auction conducted by the customs authorities through Invoice No.CII/D.A. No.74-B/2015/783 dated 29.03.2016 on the payment of Rs.8,45,000/-. Through this sale of vehicle under Chapter 5 of the Customs Rules 2001, the Deputy Director , Directorate of Intelligence and Investigation, Customs Intelligence, Peshawar requested the Motor Registering Authority , Peshawar to register the vehicle on the basis of chassis frame No.WELA T-408954. This sale of the vehicle was bounded by the Deputy Director Intelligence and Investigation, Peshawar with condition of registration within 60 days of the delivery with Motor Registration Authority as per rules 72(3) of the Customs Rules, 2001 amended vide SRO.1332(1)/2012 dated 24.10.2012. After purchase of the vehicle, Zarmat Khan handed over the ownership and possession of the vehicle to his cousin Naqeebullah son of Khumar Jan resident of Afridiabad, E Peshawar , who according to the rules mentioned supra registered the vehicle with the Motor Registering Authority , Pesh awar vide Registration No. EA- 4237/Peshawar .
7. Perusal of the record reveals that the vehicle is non duty paid only to the extent of mounted body . No doubt, the mounted body without payment of duty and taxes is illegal but if we have consider the amount paid by the appellant i.e., Rs.8,45,000/- is not a less amount to only purchase a chassis frame and use it without body . It would be in the mind of the purchaser to mount a body on the frame and will use the same for earning his livelihood. The outright confiscation of the vehicle which is auctioned by the customs authorities allowing the purchase to register the same with the authority and to use it for his livelihood will harm the norms of justice.
8. In view of the above, I accept this appeal, set aside the impugned Order-in-Appeal No.1-3/2018 dated 21.12.2017, passed by the Collector of Customs (Appeals) Islamabad and direct the respondents to release the vehicle on payment of duty and taxes with redemption fine of 30% of the customs value of the mounted body with further fine of Rs.100,000/- (rupees one lac only). The appeal stands disposed of.