ORDER
K. Gopal Hegde, Member (J)
1. This appeal was not listed for hearing today. The stay application however listed. We heard the appeal on merits.
2. During the hearing, Shri Vanoo submitted that the whole order of the Collector is illegal. He has neither given show cause notice nor heard the appellant and thus there had been a denial of the principles of the natural justice. On this ground alone the Addl. Collector’s order is liable to be set aside. An order which was passed in violation of the principles of natural justice is a void order and therefore, the applicant cannot be called upon to deposit any amount.
3. We heard Shri Mandal who supported the order of the Addl. Collector. We ourselves perused the order. In the whole of his order the Addl. Collector nowhere states that there has been a service of the show cause notice on the appellant. Further, the Addl. Collector observed that in the absence of true address of the passenger it would not be worthwhile to post the case for personal hearing, therefore I am proceeding to adjudicate the case ex parte.” Thereafter, he imposed a penalty of Rs. 35,000/- on the appellant Under Section 112(a) & (b) of the C.A.
4. On the lace of it, the order is wholly illegal. The Addl. Collector was satisfied that the appellant was not the passenger. Still he imposed a penalty on the appellant. Before him the passenger was still a stranger. He had stated that “in the absence of true address of the passenger it would not be worthwhile to post the case for personal hearing”. Instead of making efforts to find out as to who the passenger was and what was his address and then issuing show cause notice and affording personal hearing as required Under Section 124, the Addl. Collector in total disregard of the provisions of Section 124 proceeded to pass an ex parte order. The order passed was in disobedience of the statutory requirements which has resulted in denial of principles of natural justice. It is a void order and therefore the appellant cannot be called upon to deposit any amount. The order being a void order it requires to be set aside. What is worse is that the Addl. Collector imposed a personal penalty Under Section 112(a) & (b), without there being any allegation regarding violation of 112(b). It appears that th2 Addl. Collector has not applied his mind.
5. For the reasons stated above we set aside the order insofar as it relates to the imposition of penalty on the appellant and remand the matter to the Addl. Collector. The Addl. Collector shall ascertain as to who was the passenger, who was found in possession of the contraband gold and thereafter follow the procedure required to be followed Under Section 124 and then pass orders in accordance with law.
6. Since we have allowed the appeal by setting aside the order passed by the Addl. Collector, the stay application does not survive for consideration and the same is disposed of accordingly.