2005 (98) ECC 126 (ATFFE)

APPELLATE TRIBUNAL FOR FOREIGN EXCHANGE

New Delhi

Shri O.P. Nahar, Acting Chairperson

Shri Sudhir Raj & M/s. Gitex

Versus

Enforcement Directorate

Appeals No. 455 and 456/04

[Against Adjudication Order No. DD/MAS/122/2003(VS) dated 31.10.2003 passed by Deputy Director, Enforcement Directorate, Chennai]

Order dated 22.7.2004, Certified on 27.7.2004

Foreign Exchange Regulation Act, 1973

Sections 18(2) r/w 18(3) -- Penalty -- Foreign Exchange -- Remanded back -- As the imposition of consolidated penalty on two persons was not in accordance with law and in violation of decision in Tarak Nath Sen v. UOI, AIR 1975 Cal. 337 -- Matter was remanded back to adjudicating authority for hearing after giving notice to the two appellants and impose penalty separately on them as deemed fit.

PRESENT :

Shri B. Satish Sunder, Advocate for the appellants.

Shri A.C. Singh, ALA for the respondent.

Case Cited :

Tarak Nath Sen v. UOI AIR 1975 Cal. 337

ORDER

The following order of the Appellate Tribunal has been delivered by Shri O.P. Nahar, Acting Chairperson.

This is an appeal against Adjudication No. DD/MAS/122/2003(VS) dated 31.10.03 passed by Deputy Director, Enforcement Directorate, Chennai imposing a consolidated penalty of Rs. 3,00,000 for contravention of the provisions of section 18(2) read with 18(3) of the FERA, 1973. Shri B. Satish Sunder, advocate for the appellant argued that consolidated penalty is imposed on two appellants in Appeals No. 455/04 and 456/04 together. As imposition of consolidated penalty on two persons is not in accordance with law and in violation of decision in Tarak Nath Sen v. UOI, AIR 1975 Cal. 337, so this part of the adjudication order is quashed. The adjudicating authority may call for hearing after giving notice to the two appellants and impose penalty separately on them as deemed fit. This matter is remanded back on the limited issue of imposition of penalty separately on two appellants.

………………………