Customs Broker’s License Revocation Overturned as CESTAT Finds No Evidence of Violation of Regulation 10(k)

CESTAT reinstated a customs broker's license that was revoked for alleged violation of Regulation 10(k) of CBLR 2018, finding no evidence of misconduct. The tribunal noted the department failed to prove the broker's involvement in misdeclaration of imported goods' value and description. The case involved clearance of industrial machinery where the importer had allegedly undervalued the consignment. CESTAT emphasized that license cancellation requires concrete proof of broker complicity, not mere suspicion based on client actions. The ruling reinforces due process protections for licensed intermediaries in trade facilitation. Customs brokers welcome this as preventing arbitrary license revocations that disrupt legitimate businesses. The tribunal directed the department to return the security deposit and compensate the broker for six months of lost business during the unjustified suspension.