Customs Broker Penalised for Importers’ Misdeclaration of Value of Goods; Madras HC Allows to Contest Without 75% Pre-Deposit

The Madras High Court allowed a customs broker to contest a penalty imposed for importers’ misdeclaration of goods value without depositing 75% of the disputed amount upfront. The Court noted that the broker had acted in good faith and procedural safeguards should permit contesting the penalty without pre-deposit. The ruling reinforces that intermediaries acting responsibly should not face undue financial pressure due to the actions of importers. It provides clarity on procedural rights for customs intermediaries under import/export regulations.