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Cus - A person would become 'renowned' after repeated participation in that sports discipline - ordering confiscation of freely importable air gun on the ground that importer was not a 'renowned' shooter is irregular: CESTAT

 

By TIOL News Service

MUMBAI, JUNE 26, 2018: THE appellant had imported one "Pardini Air Pistol K12 Cal. 177/4.5" through M/s. DHL Express (India) Pvt. Ltd., Mumbai.

Alleging that it is prohibited goods specified as "Arms" and imported without valid Arms licence the said pistol was held to be liable for confiscation and the original authority, after verifying a certificate of membership issued by Precise Shooting Club, Nashik, submitted by the appellant, ordered for redemption of goods on payment of redemption fine of Rs.25,000/- and penalty of Rs.10,000/- in lieu of confiscation of the imported goods.

This order was challenged by the Revenue and the Commissioner(A) remanded the matter with observations about confiscation. The appellate authority had also given a finding that air pistol is liable for absolute confiscation.

The importer is aggrieved with this order and has challenged the same belatedly upon receipt of notice dated 18.12.2017 for surrendering the gun with customs.

The appellant submitted that they claimed benefit of notification 52 dated 21.11.2007 issued by the Ministry of Commerce, which allows import of air pistol by "shooters" registered with the Rifle Club or District/State/National Rifle Association; that the lower appellate authority failed to appreciate the fact of such lawful import and gave his finding that it can only be imported by "renowned shooters" on the recommendation of National Rifle Association of India and such a certificate was obtained by the appellant much later than passing of the adjudicating order dated 22.09.2014 by the adjudicating authority.

The AR supported the order of the Commissioner(A) that during the impugned period free import of arms is permitted to 'renowned shooters' only.

The Member (Judicial) extracted the notification(s)/licensing note(s) as reproduced in the impugned order and which reads -

DGFT notification no. 12/2005 dated 04.07.2005 - import Licensing Note of Chapter 93:

Import of arms is permitted against a license to renowned shooters/rifle clubs for their own use on the recommendation of Department of Youth Affairs and Sports, Government of India, However, Import of 0.177 bore air guns and air pistols will be free for shooters registered with Rifle Clubs or District/State/National Rifle Association. Free import of 0.177 bore air guns and air pistols will also be allowed to National Rifle Association of India (NRAI) for supplying the same to the eligible State Rifle Association / Clubs and to the eligible shooters. NRAI shall be required to keep appropriate account of the imported weapons.

DGFT Notification no. 95(RE-2010)/2009-2014 dated 09.02.2012 - Import Licensing Note (1) of Chapter 93:

Import of arms (including parts thereof) & ammunition is permitted freely to the following sports persons/sports bodies.? Renowned shooters (as defined in Import Licensing Note 3) on the recommendation of National Rifle Association of India (NRAI); National Rifle Association of India (NRAI) for its own use and for transfer to its State/district affiliates by due certification by Sports Authority of India; Sports Authority of India (SAI) or State Sport Authorities of concerned State by self certification and Services Sports Control Board (SSCB), Ministry of Defence. Respective recommending or certifying Bodies will maintain the required records. "Renowned shooter" means a person who has participated in a National Shooting Championship in an Open Men's Event or Open Women's Event or Open Civilian's Event whether through Qualifying Tournament or Wild Card Entry conducted in accordance with the rules of the International Shooting Union, and has attained the Minimum Qualifying score prescribed by the National Rifles Association.

The CESTAT, therefore, inter alia observed -

++ When the First Adjudicating authority as well as the appellate authority have accepted the certificate of importer regarding his membership/association with rifle club, instead of allowing free import of 0.177mm gun, the importer was directed and he paid redemption fine as well as penalty in lieu of confiscation, which order itself is irregular. Therefore, there is no point in confiscating the same again by rejecting the claim of the appellant on the ground that he is not a "renowned shooter" at the time of import.

++ It is within the power of adjudicating authority to offer redemption of goods, even in respect of prohibited goods 2008-TIOL-1469-CESTAT-MUM refers].

++ A person would become renowned in the field of sports after successful/ repeated participation in that field and in order to participate in the sports like shooting, availability of air gun is a basic requirement and, therefore, notification dated 21.11.2007 clearly distinguishes a "shooter" from "renowned shooter" and import of "Arms" from import of "other Arms" by allowing 0.177 air gun pistols for free import by shooters registered with Rifle Clubs /Association.

++ The amended import policy of Arms and Ammunition has amended only the provisions containing the import of arms under which free import of 0.177 air guns/ pistols, which was included in the notification of 2005, has been excluded from the definition of "Arms" in 2012 notification.

Noting that the redemption fine as well as penalty had already been paid consequent upon the order of the adjudicating authority, the Bench concluded that the order of the Commissioner(A), setting aside the said order and remanding the matter for fresh adjudication order with observation for confiscation of freely importable air gun of 0.177 by shooter on the ground that he was not a renowned shooter, was irregular and hence set aside.

The appeal of the importer was allowed.

(See 2018-TIOL-1963-CESTAT-MUM)


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