Basics of Administrative Law

What is administrative law?

Administrative Law in the most simplest of terms is the law governing the working of administrative agencies of the government. There can be various sources of administrative law viz. Constitution of India, Acts and Statutes, Ordinances/Notifications/Circulars and Judicial pronouncements.


Features of Administrative Law (AL)

• A separate set of laws for State and State functions.
• The scope of AL is same as the scope of Public Administration.
• Comprises of both laws of internal and external administration.
• The  French body of administrative law was called as Droit Administratif and it was referred to as "Continental nuisance" by the British where the Rule of Law was prevalent.

Features of Droit Administratif (France)

• A separate code of law when State is party to the case.
• Favours State Policy
• Separate Courts for civil servants. (Like we have CAT)

What is Rule of Law?

As per this principle, no one is above law. And it is the law that should govern the nation and not the arbitrary decision of the government authorities. The most close manifestation can be seen in the Art. 14 of Indian Constitution.

Features of Dicey's Rule of Law

• Was largely based on traditions
• endorsed the following of Procedure established by law.
• Absence of discretion.
• It is SUBSTANTIVE whereas AL is PROCEDURAL. Both are required.
• Criticism: Privileges to Crown; Ignored delegated legislation and tribunals; elitist model.

Now, so far we have learnt that the rise of Administrative Law challenged the "Rule of Law" in some ways especially the way it developed in France and Britain. But we must remember that both are required for smooth functioning of the government. Now lets focus on two important aspects of AL: Delegated Legislation and Administrative Tribunals.

What is Delegated Legislation?

Delegated Legislation (DL) is the law made by the executive authorities under the powers given by the legislative authority through a primary legislation. DL is also called as subordinate legislation or  secondary legislation or subsidiary legislation.

For example, the Customs Act 1962 is the primary legislation to deal with the affairs with customs. After that, under section 156 and section 157, the central govt and CBEC respectively were given power to make rules and regulations. These rule and regulations are the "DELEGATED LEGISLATION".

Rationale for Delegated Legislation

• Huge Volume of Laws.
• Complexity in the present times has increased.
• Technical nature of legislations today.
• Flexibility that is required.
• To encourage public participation.
• Paucity of time with the legislatures.

Negatives of Delegated Legislation

• Rise of neo-despotism (Explained later in this article).
• Chaotic Legal System. As the rules might divulge if go unchecked.
• Parochial nature of DL as uniformity cannot be ensured with different agencies.

Safeguards against Arbitrary use of DL

• Parliamentary Safeguards: Debates and discussions; System of Laying.
• Procedural Safeguards: Drafting; ante-natal publicity; consultation; post-natal publicity.
• Judicial Safeguards: Judicial review (Art 13)

What are Administrative Tribunals? 

Administrative Tribunals are bodies outside the hierarchy of the courts which have been provided with adjudicating(judicial) powers by the authority of law. 

Why are Administrative Tribunals Required when we already have courts?

• To resolve certain specific grievances of a private citizen with the some govt. department.
• To deal with cases which require expertise of a particular subject matter.
• To fast track certain kinds of cases.
• To take the burden off the awfully loaded Courts.

How are Administrative Tribunals different from Courts?

• They have experts as judges.
• They are not obligated to follow the cumbersome Procedures prescribed in the CPC and CrPC.
• The legal profession does not have a monopoly of representation here.
• Faster relief and speedy justice is one of the founding objectives

Some reforms to Improve the Administrative Tribunals

• It must be multi-member.
• fair appointments must be ensured.
• membership should be diverse.
• Must follow the Principles of Natural Justice.
• Lack of accountability should be addressed. 
• The whole idea behind them was speedy justice as they do not have to follow the cumbersome procedures of CPC and CrPC. But lately, even in Tribunals we are witnessing the rise of formalism.

What is Neo-Despotism?

• For that we must first understand despotism. A despot is the one who has absolute power. In earlier times when all the power viz. legislative, executive and judicial were vested in the King, he was the despot and rule was referred to as despotism.
• Later as we moved towards democratization of governance, we had separation of powers as prescribed by Mostesquieu.
• But today again the executive is gaining legislative power in the form of delegated legislation.
• And the executive is gaining judicial power in the form of Administrative Tribunals.
• Here we observe that all the powers are converging to the executive wing. This phenomenon is referred to as Neo-Despotism.

Cannons of Taxations

Canons of Taxation

These refer to the administrative aspects of a tax. The concern here is pertaining to the rate, amount, method of levy and collection of a tax.

In other words, the characteristics or qualities which a good tax should possess are described as canons of taxation. It must be noted that canons refer to the qualities of an isolated tax and not to the tax system as a whole. A good tax system should have a proper combination of all kinds of taxes having different canons.

As per Adam Smith, there are four canons 

Canon of Equality:

Taxation must ensure justice. The canon of equality or equity implies that the burden of taxation must be distributed equally or equitably in relation to the ability of the tax payers.

Equity or social justice demands that the rich people should bear a heavier burden of tax and the poor a lesser burden. That is,  a progressive tax system.

Canon of Certainty:

The time of payment, the manner of payment, the amount to be paid ought to be clear and plain to the contributor and to every other person. Also the government authorities should be clear of the revenue estimates from such taxation.

Canon of Economy:

This principle suggests that the cost of collecting a tax should not be exorbitant but be the minimum. Extravagant tax collection machinery is not justified. What is the rationale if a major chunk of what we collect is lost in collecting itself?

Canon of Convenience:

Tax should be collected in a convenient manner from the tax payers. It is convenient to pay a tax when it is deducted at source from the salaried classes at the time of paying salaries.

As per Economist Bastable, there are few more....

Canon of Elasticity:

Taxation should be elastic in nature in the sense that more revenue is automatically fetched when income of the people rises. This means that taxation must have built-in flexibility. More commonly referred to as the tax buoyancy.

Canon of Productivity:

This implies that a tax must yield sufficient revenue and not adversely affect production in the economy.

Canon of Simplicity:

This norm suggests that tax rates and tax systems ought to be simple and comprehensible and not to be complex and beyond the understanding of the layman. And hence the need for Direct Tax Code (DTC) and GST.

Canon of Diversity:

Canon of diversity implies that there should be a multiple tax system of diverse nature rather than having a single tax system. More or less similar to the canon of equality.

Canon of Expediency:

This suggests that a tax should be determined on the ground of its economic, social and political expediency. Like the idea of taxing the agricultural income in India would not be so right in all these senses.

Show Cause Notice to KTPs

As and when you join any public service, you would be amused by things in the initial phases of your career. Don't worry, it's normal and referred to as the golden period of your service aka PROBATION. In your academy you would find two kinds of people. Keen-type probationers (KTPs) and Cool-Type Probationers (CTPs). Yes yes that geek-dude continuum all over again. But both are important to have a balance though sometimes the KTPs take it too far. So much so that they deserve nothing less than a SCN!

1

OFFICE OF THE COMMISSIONER OF CTPs,

LEOPOLD CAFE, COLABA, MUMBAI-400001.

F.No. _________________                                                      Date : 08.06.2015

SHOW CAUSE NOTICE UNDER SECTION 420 OF

THE INDIAN PROBATION CODE(IPC)

Subject :- Overutilization of extra exam sheets and use of relevant sections, sub-sections and Rules/Regulations etc etc by the KTPs.

Whereas hereby it is clarified that the word KTP used here and henceforth would refer to all the KTP community and anyone even slightly resembling to it or showing such lethal symptoms. This is with respect to a general agreement which was agreed upon on a platform called WhatsApp wherein it was decided that no one would use specific sections and especially the sub-sections of the Act to reinforce their answers.

2.         But today in the examination halls during the Part I || Paper I of Customs Law. Tariff and Procedures (Without Book), it appears that KTP stands in violation of the agreed upon terms and conditions as mentioned in paragraph 1 of this notice. It appears that in spite of scary faces and verbal threats issued immediately by the CTPs, there was no deterrence effect on the KTP.

3.         It appears that KTP used all the relevant sections and even the sub-sections of the Customs Act in his answers. The CTPs sitting next to them have confirmed this fact and it also appears that the KTPs have even highlighted the mentioned sections and also have underlined them.

4.         On being confronted in the mess, it appears that the KTP has heavily under-invoiced the number of extra sheets taken by him during the exam. It appears that he was desperately trying to avoid the OUTCAST DUTY which may have levied by the batch as a consequence of using so many extra answer sheets.

5.         Whereas it was also observed that the KTP availed 10 minutes of extra time as well and kept on writing till the team of invigilators used muscle power to snatch away the answer sheets. It also appears that he kept his answer sheet at such an angel that no CTP nearby could see his answers.

6.        Whereas,  KTP, is  further directed to state in their written reply so as to why

(a) they should not be charged with violation of section 420, section 420 (1) and section 420 (2) of the Indian Probation Code (IPC)

(b) their personal notes should not be confiscated and distributed among the CTPs.

7.         If no cause is shown against the action, proposed to be taken, within 30 days from the date of receipt of this notice and if they do not appear before the head CTP on the date and time fixed for personal hearing, the case will be decided on irrational and unreasonable evidences given by CTPs.

                                             (ABC)

Commissioner of CTPs,

Indian Bakar Service (IBS)

Mumbai-400001.

To

1.      KTP 1

Room No X, Mandakini

2.      KTP 2

        Room No Y, Bhagirathi

Encl.:  Copies of the relied upon documents (RUDs) as under:

1.      Snapshot of examination sheet of KTP.

2.   Oral Evidences given by the CTPs.

3.  Unnecessary and Voluminous books seized from KTP.

Essential Sections of the Customs Act 1962

DISCLAIMER: This exercise is entirely for academic purpose. I have selected sections and subsections which are quintessential from the exam point of view. Purpose is to revise the sections of the act.

SECTION 2. Definitions. – In this Act, unless the context otherwise requires. (1) “adjudicating authority” means any authority competent to pass any order or decision under this Act, but does not include the Board, Commissioner (Appeals) or Appellate Tribunal; 

(1B) “Appellate Tribunal” means the Customs, Excise and Service Tax Appellate Tribunal constituted under section 129; 

(2) “assessment” includes provisional assessment, self-assessment, re-assessment and any order of assessment in which the duty assessed is nil; 

(3) “baggage” includes unaccompanied baggage but does not include motor vehicles; 

(7) “coastal goods” means goods, other than imported goods, transported in a vessel from one port in India to another; 

(14) “dutiable goods” means any goods which are chargeable to duty and on which duty has not been paid; 

(18) “export”, with its grammatical variations and cognate expressions, means taking out of India to a place outside India; 

(23) “import”, with its grammatical variations and cognate expressions, means bringing into India from a place outside India; 

(28) “Indian customs waters” means the waters extending into the sea up to the limit of contiguous zone of India under section 5 of the Territorial Waters, Continental Shelf, Exclusive Economic Zone and other Maritime Zones Act, 1976 (80 of 1976) and includes any bay, gulf, harbour, creek or tidal river; 

(34) “proper officer”, in relation to any functions to be performed under this Act, means the officer of customs who is assigned those functions by the Board or the Commissioner of Customs; 

(39) “smuggling”, in relation to any goods, means any act or omission which will render such goods liable to confiscation under section 111 or section 113; 

(40) “tariff value”, in relation to any goods, means the tariff value fixed in respect thereof under sub-section (2) of section 14; 

(41) “value”, in relation to any goods, means the value thereof determined in accordance with the provisions of subsection (1) or sub-section (2) of Section 14.


SECTION 7. Appointment of customs ports, airports, etc. - (1) The Board may, by notification in the Official Gazette, appoint - 
(a) the ports and airports which alone shall be customs ports or customs airports for the unloading of imported goods and the loading of export goods or any class of such goods; 
(aa) the places which alone shall be inland container depots for the unloading of imported goods and the loading of export goods or any class of such goods; (b) the places which alone shall be land customs stations for the clearance of goods imported or to be exported by land or inland water or any class of such goods; (c) the routes by which alone goods or any class of goods specified in the notification may pass by land or inland water into or out of India, or to or from any land customs station from or to any land frontier; 
(d) the ports which alone shall be coastal ports for the carrying on of trade in coastal goods or any class of such goods with all or any specified ports in India. 

(2) Every notification issued under this section and in force immediately before the commencement of the Finance Act, 2003 shall, on such commencement, be deemed to have been issued under the provisions of this section as amended by section 105 of the Finance Act, 2003 and shall continue to have the same force and effect after such commencement until it is amended, rescinded or superseded under the provisions of this section. 

SECTION 8. Power to approve landing places and specify limits of customs area. – The Commissioner of Customs may, — (a) approve proper places in any customs port or customs airport or coastal port for the unloading and loading of goods or for any class of goods; (b) specify the limits of any customs area. 

SECTION 9. Power to declare places to be warehousing stations. – The Board may, by notification in the Official Gazette, declare places to be warehousing stations at which alone public warehouses may be appointed and private warehouses may be licensed. 

SECTION 11. Power to prohibit importation or exportation of goods.

SECTION 12. Dutiable goods. – 
(1) Except as otherwise provided in this Act, or any other law for the time being in force, duties of customs shall be levied at such rates as may be specified under the Customs Tariff Act, 1975 (51 of 1975)], or any other law for the time being in force, on goods imported into, or exported from, India. 
(2) The provisions of sub-section (1) shall apply in respect of all goods belonging to Government as they apply in respect of goods not belonging to Government. 

SECTION 13. Duty on pilfered goods. – If any imported goods are pilfered after the unloading thereof and before the proper officer has made an order for clearance for home consumption or deposit in a warehouse, the importer shall not be liable to pay the duty leviable on such goods except where such goods are restored to the importer after pilferage. 

SECTION 14. Valuation of goods. 

SECTION 17. Assessment of duty. –

(1) An importer entering any imported goods under section 46, or an exporter entering any export goods under section 50, shall, save as otherwise provided in section 85, selfassess the duty, if any, leviable on such goods. 

(4) Where it is found on verification, examination or testing of the goods or otherwise that the self- assessment is not done correctly, the proper officer may, without prejudice to any other action which may be taken under this Act, re-assess the duty leviable on such goods. 

(5) Where any re-assessment done under sub-section (4) is contrary to the self-assessment 25 done by the importer or exporter regarding valuation of goods, classification, exemption or concessions of duty availed consequent to any notification issued therefor under this Act and in cases other than those where the importer or exporter, as the case may be, confirms his acceptance of the said re- assessment in writing, the proper officer shall pass a speaking order on the re-assessment, within fifteen days from the date of re-assessment of the bill of entry or the shipping bill, as the case may be. 

SECTION 18. Provisional assessment of duty- 
In certain cases, the proper officer may direct that the duty leviable on such goods be assessed provisionally if the importer or the exporter, as the case may be, furnishes such security as the proper officer deems fit for the payment of the deficiency, if any, between the duty as may be finally assessed and the duty provisionally assessed.”;

SECTION 19. Determination of duty where goods consist of articles liable to different rates of duty. 

SECTION 20. Re-importation of goods— If goods are imported into India after exportation therefrom, such goods shall be liable to duty and be subject to all the conditions and restrictions, if any, to which goods of the like kind and value are liable or subject, on the importation thereof. 

SECTION 22. Abatement of duty on damaged or deteriorated goods. 

SECTION 23. Remission of duty on lost, destroyed or abandoned goods. 

SECTION 25. Power to grant exemption from duty. – 
(1) If the Central Government is satisfied that it is necessary in the public interest so to do, it may, by notification in the Official Gazette, exempt generally either absolutely or subject to such conditions (to be fulfilled before or after clearance) as may be specified in the notification goods of any specified description from the whole or any part of duty of customs leviable thereon. [General Notification]

(2) If the Central Government is satisfied that it is necessary in the public interest so to do, it may, by special order in each case, exempt from the payment of duty, under circumstances of an exceptional nature to be stated in such order, any goods on which duty is leviable. [Ad Hoc Notification]

SECTION 28F. Authority for advance rulings. - 
(1) The Central Government shall, by notification in the Official Gazette, constitute an Authority for giving advance rulings, to be called as “the Authority for Advance Rulings (Central Excise, Customs & Service Tax)”.

(2) The Authority shall consist of the following Members appointed by the Central Government, namely:- 
(a) a Chairperson, who is a retired Judge of the Supreme Court; 
(b) an officer of the Indian Customs and Central Excise Service who is qualified to be a Member of the Board; 
(c) an officer of the Indian Legal Service who is, or is qualified to be, an Additional Secretary to the Government of India. 

SECTION 37. Power to board conveyances. – The proper officer may, at any time, board any conveyance carrying imported goods or export goods and may remain on such conveyance for such period as he considers necessary. 

SECTION 46. Entry of goods on importation. – (1) The importer of any goods, other than goods intended for transit or transhipment, shall make entry thereof by presenting electronically to the proper officer a bill of entry for home consumption or warehousing in the prescribed form : [Bill of Entry]

SECTION 50. Entry of goods for exportation. – (1) The exporter of any goods shall make entry thereof by presenting electronically to the proper officer in the case of goods to be exported in a vessel or aircraft, a shipping bill, and in the case of goods to be exported by land, a bill of export in the prescribed form. [Shipping Bill or Bill of Export]

SECTION 53. Transit of certain goods without payment of duty. - Subject to the provisions of section 11, any goods imported in a conveyance and mentioned in the import manifest or the import report, as the case may be, as for transit in the same conveyance to any place outside India or any customs station may be allowed to be so transited without payment of duty. 

SECTION 54. Transhipment of certain goods without payment of duty. - (1) Where any goods imported into a customs station are intended for transhipment, a bill of transhipment shall be presented to the proper officer in the prescribed form. 

SECTION 57. Appointing of public warehouses. – At any warehousing station, the Assistant Commissioner of Customs or Deputy Commissioner of Customs may appoint public warehouses wherein dutiable goods may be deposited. 

SECTION 58. Licensing of private warehouses. – (1) At any warehousing station, the Assistant Commissioner of Customs or Deputy Commissioner of Customs may license private warehouses wherein dutiable goods imported by or on behalf of the licensee, or any other imported goods in respect of which facilities for deposit in a public warehouse are not available, may be deposited. 

SECTION 64. Owner’s right to deal with warehoused goods. – With the sanction of the proper officer and on payment of the prescribed fees, the owner of any goods may either before or after warehousing the same - 
(a) inspect the goods; 
(b) separate damaged or deteriorated goods from the rest; 
(c) sort the goods or change their containers for the purpose of preservation, sale, export or disposal of the goods; 
(d) deal with the goods and their containers in such manner as may be necessary to prevent loss or deterioration or damage to the goods; 
(e) show the goods for sale; or
 (f) take samples of goods without entry for home consumption, and if the proper officer so permits, without payment of duty on such samples. 

SECTION 65. Manufacture and other operations in relation to goods in a warehouse. – (1) With the sanction of the Assistant Commissioner of Customs or Deputy Commissioner of Customs and subject to such conditions and on payment of such fees as may be prescribed, the owner of any warehoused goods may carry on any manufacturing process or other operations in the warehouse in relation to such goods. 

SECTION 70. Allowance in case of volatile goods. – (1) When any warehoused goods to which this section applies are at the time of delivery from a warehouse found to be deficient in quantity on account of natural loss, the Assistant Commissioner of Customs or Deputy Commissioner of Customs may remit the duty on such deficiency. 

SECTION 74. Drawback allowable on re-export of duty-paid goods. –Ninety-eight per cent of such duty shall, except as otherwise hereinafter provided, be re-paid as drawback, if - 
(a) the goods are identified to the satisfaction of the Assistant Commissioner of Customs or Deputy Commissioner of Customs as the goods which were imported; and 
(b) the goods are entered for export within two years from the date of payment of duty on the importation thereof : Provided that in any particular case the aforesaid period of two years may, on sufficient cause being shown, be extended by the Board by such further period as it may deem fit. 

SECTION 75. Drawback on imported materials used in the manufacture of goods which are exported. – 

SECTION 75A. Interest on drawback. — (1) Where any drawback payable to a claimant under section 74 or section 75 is not paid within a period of one month from the date of filing a claim for payment of such drawback, there shall be paid to that claimant in addition to the amount of drawback, interest at the rate fixed under section 27A from the date after the expiry of the said period of one month till the date of payment of such drawback :

SECTION 80. Temporary detention of baggage. – Where the baggage of a passenger contains any article which is dutiable or the import of which is prohibited and in respect of which a true declaration has been made under section 77, the proper officer may, at the request of the passenger, detain such article for the purpose of being returned to him on his leaving India and if for any reason, the passenger is not able to collect the article at the time of his leaving India, the article may be returned to him through any other passenger authorised by him and leaving India or as cargo consigned in his name.

SECTION 100. Power to search suspected persons entering or leaving India, etc. 

SECTION 101. Power to search suspected persons in certain other cases. – (1) Without prejudice to the provisions of section 100, if an officer of customs empowered in this behalf by general or special order of the Commissioner of Customs, has reason to believe that any person has secreted about his person any goods of the description specified in sub-section (2) which are liable to confiscation, or documents relating thereto, he may search that person. (2) The goods referred to in sub-section (1) are the following : – (a) gold; (b) diamonds; (c) manufactures of gold or diamonds; (d) watches; (e) any other class of goods which the Central Government may, by notification in the Official Gazette, specify. 

SECTION 104. Power to arrest. – (1) If an officer of customs empowered in this behalf by general or special order of the Commissioner of Customs has reason to believe that any person in India or within the Indian customs waters has committed an offence punishable under section 132 or section 133 or section 135 or section 135A or section 136, he may arrest such person and shall, as soon as may be, inform him of the grounds for such arrest. 

SECTION 105. Power to search premises.

SECTION 106. Power to stop and search conveyances. 

SECTION 108. Power to summon persons to give evidence and produce documents.

SECTION 110. Seizure of goods, documents and things. 

SECTION 111. Confiscation of improperly imported goods, etc. 

SECTION 115. Confiscation of conveyances. 

SECTION 122. Adjudication of confiscations and penalties. – In every case under this Chapter in which anything is liable to confiscation or any person is liable to a penalty, such confiscation or penalty may be adjudged, - 

(a) without limit, by a Commissioner of Customs or a Joint Commissioner of Customs; 
(b) where the value of the goods liable to confiscation does not exceed two lakh rupees, by an Assistant Commissioner of Customs or Deputy Commissioner of Customs; 
(c) where the value of the goods liable to confiscation does not exceed, ten thousand rupees, by a Gazetted Officer of Customs lower in rank than an Assistant Commissioner of Customs or Deputy Commissioner of Customs. 


SECTION 124. Issue of show cause notice before confiscation of goods, etc. – No order confiscating any goods or imposing any penalty on any person shall be made under this Chapter unless the owner of the goods or such person - (a) is given a notice in writing with the prior approval of the officer of Customs not below the rank of an Assistant Commissioner of Customs, informing him of the grounds on which it is proposed to confiscate the goods or to impose a penalty; (b) is given an opportunity of making a representation in writing within such reasonable time as may be specified in the notice against the grounds of confiscation or imposition of penalty mentioned therein; and (c) is given a reasonable opportunity of being heard in the matter : Provided that the notice referred to in clause (a) and the representation referred to in clause (b) may, at the request of the person concerned be oral. 


CHAPTER XIV A SETTLEMENT OF CASES SECTION 127A. Definitions.— In this Chapter, unless the context otherwise requires, 
(a) “Bench” means a Bench of the Settlement Commission; 
(c) “Chairman” means the Chairman of the Settlement Commission; 
(d) “Commissioner (Investigation)” means an officer of the customs or a Central Excise Officer appointed as such Commissioner to conduct inquiry or investigation for the purposes of this Chapter; 
(e) “Member” means a Member of the Settlement Commission and includes the Chairman and the Vice-Chairman; 
(f) “Settlement Commission” means the Customs and Central Excise Settlement Commission constituted under section 32 of the Central Excise Act, 1944 (1 of 1944); and 
(g) “Vice-Chairman” means a Vice-Chairman of the Settlement Commission. 

SECTION 127C. Procedure on receipt of an application under Section 127B. - (1) On receipt of an application under section 127B, the Settlement Commission shall, within seven days from the date of receipt of the application, issue a notice to the applicant to explain in writing as to why the application made by him should be allowed to be proceeded with and after taking into consideration the explanation provided by the applicant, the Settlement Commission, shall, within a period of fourteen days from the date of the notice, by an order, allow the application to be proceeded with or reject the application, as the case may be, and the proceedings before the Settlement Commission shall abate on the date of rejection :

SECTION 128. Appeals to Commissioner (Appeals). 

SECTION 129. Appellate Tribunal.

SECTION 129E. Deposit, pending appeal, of duty and interest demanded or penalty levied. 

SECTION 130. Appeal to High Court.

SECTION 130E. Appeal to Supreme Court.

SECTION 132. False declarations, false documents etc.

SECTION 133. Obstruction of officers of Customs.

SECTION 134. Refusal to be X-Rayed.

SECTION 135. Evasion of duties or prohibitions.

SECTION 147. Liability of principal and agent. – 
(1) Where this Act requires anything to be done by the owner, importer or exporter of any goods, it may be done on his behalf by his agent. 
(2) Any such thing done by an agent of the owner, importer or exporter of any goods shall, unless the contrary is proved, be deemed to have been done with the knowledge and consent of such owner, importer or exporter, so that in any proceedings under this Act, the owner, importer or exporter of the goods shall also be liable as if the thing had been done by himself. 
(3) When any person is expressly or impliedly authorised by the owner, importer or exporter of any goods to be his agent in respect of such goods for all or any of the purposes of this Act, such person shall, without prejudice to the liability of the owner, importer or exporter, be deemed to be the owner, importer or exporter of such goods for such purposes : Provided that where any duty is not levied or is short-levied or erroneously refunded on account of any reason other than any willful act, negligence or default of the agent, such duty shall not be recovered from the agent unless in the opinion of Assistant Commissioner of Customs or Deputy Commissioner of Customs the same cannot be recovered from the owner, importer or exporter. 

SECTION 154A. Rounding off of duty, etc. — The amount of duty, interest, penalty, fine or any other sum payable, and the amount of refund, drawback or any other sum due, under the provisions of this Act shall be rounded off to the nearest rupee and, for this purpose, where such amount contains a part of a rupee consisting of paise then, if such part is fifty paise or more, it shall be increased to one rupee and if such part is less than fifty paise it shall be ignored. 


SECTION 155. Protection of action taken under the Act. – 

(1) No suit, prosecution or other legal proceedings shall lie against the Central Government or any officer of the Government or a local authority for anything which is done, or intended to be done in good faith, in pursuance of this Act or the rules or regulations. 

(2) No proceeding other than a suit shall be commenced against the Central Government or any officer of the Government or a local authority for anything purporting to be done in pursuance of this Act without giving the Central Government or such officer a month’s previous notice in writing of the intended proceeding and of the cause thereof, or after the expiration of three months from the accrual of such cause. 

SECTION 156. General power to make rules. – (1) Without prejudice to any power to make rules contained elsewhere in this Act, the Central Government may make rules consistent with this Act generally to carry out the purposes of this Act.

SECTION 157. General power to make regulations. – (1) Without prejudice to any power to make regulations contained elsewhere in this Act, the Board may make regulations consistent with this Act and the rules, generally to carry out the purposes of this Act.