CBIC Issues Guidelines For Arrest And Bail In Relation To Offences Punishable Under Customs Act, 1962
The Central Board of Indirect Taxes and Customs (CBIC) has issued the revised guidelines for arrest and bail in relation to offences punishable under the Customs Act, 1962.
The Customs Act of 1962 does not specify any value limits for exercising the powers of arrest. The Board has clarified that arrest in respect of an offence should be effected only in exceptional situations.
The arrest can be made in cases involving unauthorised importation of baggage or cases under Transfer of Residence Rules, where the market value of the goods involved is Rs. 50,00,000 or more.
The CBIC has clarified that the arrest can be affected in cases of outright smuggling of high-value goods. The high value goods include precious metals, restricted items, prohibited items, goods notified under section 123 of the Customs Act, 1962 or offences involving foreign currency where the value of the offending goods is Rs. 50,00,000 or more.
The arrest can be made in cases related to the importation of trade goods involving wilful mis-declaration in the description of goods/concealment of goods/goods covered with a view to importing restricted items. The market value of the offending goods is Rs. 2,00,00,000 or more.
The arrest can affect cases involving fraudulent evasion or attempt at evasion of duty involving Rs 2,00,00,000.
In cases involving fraudulent availment of drawback or attempt to avail of drawback or any exemption from duty provided under the Customs Act, 1962, in connection with the export of goods, if the amount of drawback or exemption from duty is Rs. 2,00,00,000 or more, arrest can be made. Arrest can be made in cases related to the exportation of trade goods (i.e., appraising cases) involving wilful mis-declaration in value or description; concealment of restricted goods or goods. The market value of the offending goods is Rs. 2,00,00,000 or more.
The arrest can be made in cases involving obtaining an instrument from any authority by fraud, collusion, wilful misstatement or suppression of facts and utilisation of an instrument where the duty relatable to the utilisation of the instrument is Rs 2,00,00,000 or more.
Circular No. 13/2022-Customs