Petitioner: East India Commercial Ltd.
Defendant: Collector of Customs and anr.
AIR 1960 Cal 1, 64 CWN 256
21ST JULY 1959
Statutes Referred
The Constitution of India
Customs Act
Facts of the Case
- The petitioner has filed the suit stating that they have wrongfully imposed with wrong penalty amounting Rs. 61,000/- on the company under section 167 clause 8 according to the customs act.
- So the customs collector has levied the time frame to justify on which the penalty was levied on the petitioner.
Issues Raised
- Whether the penalty levied was accountable or not?
- Whether the customs be that much intervening or not?
Parties Contention
Petitioner
- The petitioner has stated that the penalty levied was totally inappropriate and vague and must be cleared under the act directed by the government.
Defendant
- The defendant has denied all the accusations against him and as a plea defending the side of the defence.
Judgement
- The court has taken the appropriate decision that the penalty levied on the petitioner shall be removed as soon as possible as the penalty grounds was totally invalid and vague.
- The court has also prohibited the respondents to intervene in the functioning of the system and also directed to refund the penalty amount of Rs. 61,000/-.
Rule of Law
The basic rule of law was applied here that the wrongful confinement is not acceptable hence the system has to refund the amount.
Comment
According to my personal opinion, the court has taken the appropriate decision that the constitutionality matters the most before nay right.
Conclusion
To conclude the above case, the court has taken appropriate decision that according to the act, the penalty must be applicable but if wrongfully, then the system have to refund it.