Subject: Import of goods in commercial quantity as baggage - Procedure for acceptance of Oral Declaration of passengers - Regarding
It has been brought
to the notice of the Board recently that goods in commercial
quantities have been brought by the passengers and these have been cleared as
part of baggage by improper declaration etc. Apparently there is no strict
monitoring by the supervisory officers on duty and chances of commercial
quantities getting cleared as part of baggage by declaration/non-declaration
without or with the concurrence of lower staff on duty cannot be ruled out. It
is also reported that in some cases, the involved person(s) are frequent short
visit passengers and repeat offenders. The fines and penalties imposed in
adjudication proceedings are apparently not sufficient as these have not
deterred the unscrupulous passengers from bringing goods in commercial
quantities repeatedly.
2.
Board has taken serious note of such incidents. It appears instructions issued
already are not being enforced by Commissioners in-charge of International
Airports and supervisory officers are
not showing the diligence and watch on passenger clearance process expected of
them. They also do not appear to be taking enough deterrent action in the matter
of imposition of fines & penalties and even initiating prosecution action in
cases of habitual offenders involved in evasion of duties by misdeclaration/smuggling
by concealment in baggage etc.
3. In this connection, attention is once again drawn to Boards instructions issued vide F.No.495/6/97-Cus.VI dated 6-5-96 and reiterated in letter F.No.495/19/99-Cus.VI dated 11.4.2000. It was clearly stated that the import of goods in commercial quantities would not be permissible within the scope of the Baggage Rules, even on payment of duty. It was also stated that suitable redemption fine/personal penalties would need to be imposed in all such cases, which apparently is not being done. It is once again emphasized that the redemption fine and personal penalties should be such that it not only wipes out the margin of profit but also acts as a strong deterrent against repeat offences. The guidelines mentioned in the Adjudication Manual may be followed strictly by the adjudicating authorities, and any lapse in this regard would be viewed seriously. In case of repeat offences, the prosecution guidelines contained in Board’s instructions F.No.394/71/97-Cus(AS), dt 22.6.99 may be followed.
4.
In addition to the above, the following steps may also be taken:
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a) |
In
respect of ‘Red Channel’ passengers the general practice is to record
the Oral declaration (OD) on the Disembarkation Card without first making
the passenger fill up the relevant entries. It may be ensured that every
passenger reporting at Red Channel fill up a Disembarkation Card clearly
mentioning therein the quantity and value of goods that he has brought,
and hand over the Customs portion of the card to the officer on duty at
the red Channel. In case the same is incomplete/not filled up, the proper
Customs officer should help record the O.D of the passenger on the
Disembarkation Card and only thereafter should countersign/stamp the same,
after taking the passenger’s signature. |
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b) |
At
this stage, the Baggage officer must scrutinize the passport and other
relevant travel documents to identify the short-visit passengers/frequent
travellers. Where the case is put up for adjudication the fact of past
visits and cases adjudicated etc must be brought to the notice of the
adjudicating officer. |
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c) |
The
supervisory officers must take care to ensure that the total material in
excess of duty free allowance imported by the passenger is being
declared/and charged to duty and is subject matter of adjudication for
determining fines, penalties etc. |
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d) |
In
case of genuine tourists where the baggage is marginally in excess of the
bonafide baggage, the passengers may be allowed to clear the same, as per
the existing practice, on payment of appropriate Customs duty. However, in
all other cases such as short visit passengers/frequent visitors where the
baggage is substantially in excess of the free allowance and in commercial
quantity, the same should be deemed to be non-bonafide baggage and dealt
with in the manner mentioned at paragraph 3 above. |
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It
must also be ensured that where the ‘Red Channel’ facility is sought
the valuation of items charged to duty is done properly. There should also
be very careful check to find out whether it is a first offence or a case
of repeat offence warranting more imposing deterrent penalties, apart from
considering prosecution, as per guidelines. In their adjudication orders,
the adjudicating authorities must clearly mention wherever it is a case of
repeat offence providing justification for imposition of high penalty, so
that the offenders are not let off at the appellate stage on account of
legal lacuna. |
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e) |
For
the passengers walking through the Green Channel, the existing practice of
collecting Disembarkation Card, containing the written declaration of the
passenger about his baggage, at the channel may continue |
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5.
In offence cases viz. for misdeclaration or non-declaration, the aforesaid
guidelines may be applied, in addition to any other guidelines/existing
provision(s) of Law.
6.
The Commissioner/Addl. Commissioner incharge of the Airport shall be responsible
for ensuring strict compliance of the aforesaid instructions. The supervisory
controls and surprise visits by senior officers must be stepped up and Asstt.
Commissioner/Dy. Commissioner on duty remain ever vigilant to check against any
abuse by unscrupulous passengers. It must also be ensured that no harassment is
caused to genuine passengers. Strict action may be taken against any Customs
officer, who fails to comply with the aforesaid instructions.
7.
Kindly acknowledge the receipt. Difficulties, if any, in implementation of
aforesaid instructions may be brought to the notice of the Board at an early
date.
Sd/-
(Dr. Vinayak Prasad)
Under Secretary to the Government of India