KRY Logistics Ltd., a steamer agent authored Import General Manifest and acted on behalf of the master of the vessel (the person-in-charge) before Customs Authorities to conduct all affairs in compliance with the Customs

The issue in the given case is that whether penalty for short landing of goods under Section 116(a) of the Customs Act, 1962 which is imposable on the person-in- Charge of the conveyance, can be imposed on the steamer agent. Under section 148 of the customs Act, 1962, agent appointed by the person - in charge of the conveyance and any person who represents himself to any officer of customs as an agent of any such person- in- charge is liable for fulfillment of all obligations imposed on such person-in-charge under the Customs Act and to penalties and confiscation, if any. As per section 2(31) of the Customs Act, 1962 in case of a vessel, master of the vessel is the person - in- charge. The High Court in the case of Caravel Logistics Pvt. Ltd. v. Joint Secretary (RA) [2013] 293 ELT 342 (Mad.) has observed that when the assessee affixed seal on containers and took their charge, he stepped into shoes of/acted on behalf of master of vessel (the person -in - Charge). It held that conjoint reading of the relevant provisions of the Customs Act makes it clear that penalty imposable on person-in charge in case of short- landing of the goods can also be imposed on the agent appointed by him. Hence, in view of the aforesaid position of law, Department is justified in levying penalty for short-landing of goods on steamer agent.