{"id":6054,"date":"2025-09-23T18:17:14","date_gmt":"2025-09-23T12:47:14","guid":{"rendered":"https:\/\/www.centaxonline.com\/blog\/?p=6054"},"modified":"2025-09-23T18:17:14","modified_gmt":"2025-09-23T12:47:14","slug":"customs-broker-not-liable-for-accuracy-of-government-issued-documents","status":"publish","type":"post","link":"https:\/\/www.centaxonline.com\/blog\/customs-broker-not-liable-for-accuracy-of-government-issued-documents","title":{"rendered":"Customs Broker Not Liable for Accuracy of Government-Issued Documents"},"content":{"rendered":"<pre><strong>Case Details:<a href=\"https:\/\/www.centaxonline.com\/latest-news-updates\/customs\/101010000000406020\/customs-broker-cant-be-held-responsible-for-correctness-of-documents-issued-by-govt-authorities\"> <span class=\"TextRun SCXW219111387 BCX0\" lang=\"EN-IN\" xml:lang=\"EN-IN\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW219111387 BCX0\" data-ccp-parastyle=\"Body-All Documents\" data-ccp-parastyle-defn=\"{&quot;ObjectId&quot;:&quot;f54e3151-7552-5563-bc14-dd1598e94375|1&quot;,&quot;ClassId&quot;:1073872969,&quot;Properties&quot;:[469775450,&quot;Body-All Documents&quot;,201340122,&quot;2&quot;,134234082,&quot;true&quot;,134233614,&quot;true&quot;,469778129,&quot;Body-AllDocuments&quot;,335572020,&quot;1&quot;,469777841,&quot;Book Antiqua&quot;,469777842,&quot;Times New Roman&quot;,469777844,&quot;Book Antiqua&quot;,469769226,&quot;Book Antiqua,Times New Roman&quot;,335551500,&quot;0&quot;,134233111,&quot;true&quot;,335559740,&quot;280&quot;,201341983,&quot;1&quot;,335559739,&quot;0&quot;,335551550,&quot;6&quot;,335551620,&quot;6&quot;,469777929,&quot;Body-All Documents Char&quot;,201342446,&quot;1&quot;,201342447,&quot;5&quot;,201342448,&quot;1&quot;,201342449,&quot;1&quot;,469777843,&quot;Calibri&quot;,201341986,&quot;1&quot;,268442635,&quot;24&quot;]}\" data-ccp-parastyle-linked-defn=\"{&quot;ObjectId&quot;:&quot;d1cb5994-2cf1-5883-8af4-faa182bd9769|1&quot;,&quot;ClassId&quot;:1073872969,&quot;Properties&quot;:[201342446,&quot;1&quot;,201342447,&quot;5&quot;,201342448,&quot;1&quot;,201342449,&quot;1&quot;,469777841,&quot;Book Antiqua&quot;,469777842,&quot;Times New Roman&quot;,469777843,&quot;Calibri&quot;,469777844,&quot;Book Antiqua&quot;,201341986,&quot;1&quot;,469769226,&quot;Book Antiqua,Times New Roman&quot;,268442635,&quot;24&quot;,469775450,&quot;Body-All Documents Char&quot;,201340122,&quot;1&quot;,134233614,&quot;true&quot;,469778129,&quot;Body-AllDocumentsChar&quot;,335572020,&quot;1&quot;,134231262,&quot;true&quot;,335551500,&quot;0&quot;,134233111,&quot;true&quot;,469777929,&quot;Body-All Documents&quot;,469778324,&quot;Default Paragraph Font&quot;]}\">Anax Air Services Pvt. Ltd. vs. Commissioner of Customs (Airport and General), New Delhi (2025) 34 Centax 85 (Tri.-Del)<\/span><\/span><span class=\"EOP SCXW219111387 BCX0\" data-ccp-props=\"{&quot;201341983&quot;:1,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:0,&quot;335559740&quot;:280}\">\u00a0<\/span><\/a><\/strong><\/pre>\n<h2><em>Judiciary and Counsel Details<\/em><\/h2>\n<ul>\n<li><strong>Justice Dilip Gupta<\/strong>, President &amp;<strong> Shri P.V. Subba Rao<\/strong>, Member (T)<\/li>\n<li><strong>Shri Sudhir Malhotra<\/strong>, Adv. for the Appellant<\/li>\n<li><strong>Shri Sunil Kumar<\/strong>, Authorised Representative, for the Respondent<\/li>\n<\/ul>\n<h2><em style=\"font-size: 28px;\">Facts of the Case<\/em><\/h2>\n<p><span class=\"TextRun SCXW204678246 BCX0\" lang=\"EN-IN\" xml:lang=\"EN-IN\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW204678246 BCX0\" data-ccp-parastyle=\"Body-All Documents\" data-ccp-parastyle-defn=\"{&quot;ObjectId&quot;:&quot;f54e3151-7552-5563-bc14-dd1598e94375|1&quot;,&quot;ClassId&quot;:1073872969,&quot;Properties&quot;:[469775450,&quot;Body-All Documents&quot;,201340122,&quot;2&quot;,134234082,&quot;true&quot;,134233614,&quot;true&quot;,469778129,&quot;Body-AllDocuments&quot;,335572020,&quot;1&quot;,469777841,&quot;Book Antiqua&quot;,469777842,&quot;Times New Roman&quot;,469777844,&quot;Book Antiqua&quot;,469769226,&quot;Book Antiqua,Times New Roman&quot;,335551500,&quot;0&quot;,134233111,&quot;true&quot;,335559740,&quot;280&quot;,201341983,&quot;1&quot;,335559739,&quot;0&quot;,335551550,&quot;6&quot;,335551620,&quot;6&quot;,469777929,&quot;Body-All Documents Char&quot;,201342446,&quot;1&quot;,201342447,&quot;5&quot;,201342448,&quot;1&quot;,201342449,&quot;1&quot;,469777843,&quot;Calibri&quot;,201341986,&quot;1&quot;,268442635,&quot;24&quot;]}\" data-ccp-parastyle-linked-defn=\"{&quot;ObjectId&quot;:&quot;d1cb5994-2cf1-5883-8af4-faa182bd9769|1&quot;,&quot;ClassId&quot;:1073872969,&quot;Properties&quot;:[201342446,&quot;1&quot;,201342447,&quot;5&quot;,201342448,&quot;1&quot;,201342449,&quot;1&quot;,469777841,&quot;Book Antiqua&quot;,469777842,&quot;Times New Roman&quot;,469777843,&quot;Calibri&quot;,469777844,&quot;Book Antiqua&quot;,201341986,&quot;1&quot;,469769226,&quot;Book Antiqua,Times New Roman&quot;,268442635,&quot;24&quot;,469775450,&quot;Body-All Documents Char&quot;,201340122,&quot;1&quot;,134233614,&quot;true&quot;,469778129,&quot;Body-AllDocumentsChar&quot;,335572020,&quot;1&quot;,134231262,&quot;true&quot;,335551500,&quot;0&quot;,134233111,&quot;true&quot;,469777929,&quot;Body-All Documents&quot;,469778324,&quot;Default Paragraph Font&quot;]}\">The applicant, a Customs Broker holding a valid licence under the Customs Brokers Licensing Regulations, 2018, faced revocation proceedings alleging violation of Regulation 10(n) due to exporters not operating from their declared business premises and purportedly being ineligible for input tax credit (ITC) under GST. The applicant submitted that it was not responsible for verifying the admissibility of ITC, as such verification was beyond its locus standi or powers, and that IECs and GSTINs were issued by the respective Government departments. The applicant further contended that it had satisfied its obligations under Regulation 10(n) by verifying the identity of <\/span><span class=\"NormalTextRun SCXW204678246 BCX0\" data-ccp-parastyle=\"Body-All Documents\">its clients and that physical verification of the client\u2019s declared premises was not required. It was argued that any non-compliance or misinformation by the exporters, including moving to new premises without updating authorities, could not be imputed to the Customs Broker. The matter was accordingly placed before the Customs, Excise and Service Tax Appellate Tribunal (CESTAT).<\/span><\/span><span class=\"EOP SCXW204678246 BCX0\" data-ccp-props=\"{&quot;201341983&quot;:1,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:0,&quot;335559740&quot;:280}\">\u00a0<\/span><\/p>\n<h2><em>CESTAT Held\u00a0<\/em><\/h2>\n<p><span class=\"TextRun SCXW97233488 BCX0\" lang=\"EN-IN\" xml:lang=\"EN-IN\" data-contrast=\"none\"><span class=\"NormalTextRun SCXW97233488 BCX0\" data-ccp-parastyle=\"Body-All Documents\" data-ccp-parastyle-defn=\"{&quot;ObjectId&quot;:&quot;f54e3151-7552-5563-bc14-dd1598e94375|1&quot;,&quot;ClassId&quot;:1073872969,&quot;Properties&quot;:[469775450,&quot;Body-All Documents&quot;,201340122,&quot;2&quot;,134234082,&quot;true&quot;,134233614,&quot;true&quot;,469778129,&quot;Body-AllDocuments&quot;,335572020,&quot;1&quot;,469777841,&quot;Book Antiqua&quot;,469777842,&quot;Times New Roman&quot;,469777844,&quot;Book Antiqua&quot;,469769226,&quot;Book Antiqua,Times New Roman&quot;,335551500,&quot;0&quot;,134233111,&quot;true&quot;,335559740,&quot;280&quot;,201341983,&quot;1&quot;,335559739,&quot;0&quot;,335551550,&quot;6&quot;,335551620,&quot;6&quot;,469777929,&quot;Body-All Documents Char&quot;,201342446,&quot;1&quot;,201342447,&quot;5&quot;,201342448,&quot;1&quot;,201342449,&quot;1&quot;,469777843,&quot;Calibri&quot;,201341986,&quot;1&quot;,268442635,&quot;24&quot;]}\" data-ccp-parastyle-linked-defn=\"{&quot;ObjectId&quot;:&quot;d1cb5994-2cf1-5883-8af4-faa182bd9769|1&quot;,&quot;ClassId&quot;:1073872969,&quot;Properties&quot;:[201342446,&quot;1&quot;,201342447,&quot;5&quot;,201342448,&quot;1&quot;,201342449,&quot;1&quot;,469777841,&quot;Book Antiqua&quot;,469777842,&quot;Times New Roman&quot;,469777843,&quot;Calibri&quot;,469777844,&quot;Book Antiqua&quot;,201341986,&quot;1&quot;,469769226,&quot;Book Antiqua,Times New Roman&quot;,268442635,&quot;24&quot;,469775450,&quot;Body-All Documents Char&quot;,201340122,&quot;1&quot;,134233614,&quot;true&quot;,469778129,&quot;Body-AllDocumentsChar&quot;,335572020,&quot;1&quot;,134231262,&quot;true&quot;,335551500,&quot;0&quot;,134233111,&quot;true&quot;,469777929,&quot;Body-All Documents&quot;,469778324,&quot;Default Paragraph Font&quot;]}\">The CESTAT held that the applicant did not violate Regulation 10(n) of the Customs Brokers Licensing Regulations, 2018. The Tribunal observed that the Customs Broker had discharged its duty by verifying the identity of the clients using GSTINs issued by CBIC and IECs issued by DGFT, which were reliable indicators of authenticity. It was noted that any subsequent movement of clients to new premises or incorrect actions by exporters, including wrongful GST registrations, were beyond the Customs Broker\u2019s control. The Tribunal concluded that responsibility for verification of operational premises and correctness of Government-issued documents rested with the issuing authorities, not the Customs Broker. Consequently, the revocation proceedings against the applicant were dismissed.<\/span><\/span><span class=\"EOP SCXW97233488 BCX0\" data-ccp-props=\"{&quot;201341983&quot;:1,&quot;335551550&quot;:6,&quot;335551620&quot;:6,&quot;335559739&quot;:0,&quot;335559740&quot;:280}\">\u00a0<\/span><\/p>\n<h2><em>List Of Cases Cited<\/em><\/h2>\n<ul>\n<li><a href=\"https:\/\/www.centaxonline.com\/search?searchData=2009%20(244)%20E.L.T.%20562%20(Tribunal)&amp;itemType=AP\">Baraskar Brothers v. Commissioner<\/a> \u2014 2009 (244) E.L.T. 562 (Tribunal) \u2014 Referred [Para 18]<\/li>\n<li><a href=\"https:\/\/www.centaxonline.com\/search?searchData=2017%20(354)%20E.L.T.%20447%20(Del.)&amp;itemType=AP\">Kunal Travels (Cargo) v. Commissioner<\/a> \u2014 2017 (354) E.L.T. 447 (Del.) \u2014 Referred [Paras 29, 35]<\/li>\n<li><a href=\"https:\/\/www.centaxonline.com\/search?searchData=2017%20(346)%20E.L.T.%20471%20(Tribunal)&amp;itemType=AP\">Millenium Express Cargo Pvt. Ltd. v. Commissioner<\/a> \u2014 2017 (346) E.L.T. 471 (Tribunal) \u2014 Distinguished [Paras 35, 36, 37]<\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Case Details: Anax Air Services Pvt. Ltd. vs. Commissioner of Customs (Airport&hellip;<\/p>\n","protected":false},"author":16,"featured_media":6068,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[38,177,47],"tags":[],"class_list":["post-6054","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-customs","category-customs-news","category-custom-case-chronicles"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.9 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Customs Broker Not Liable for Accuracy of Government-Issued Documents<\/title>\n<meta name=\"description\" content=\"High Court held that a customs broker cannot be held responsible for verifying the correctness of documents issued by government authorities in import\/export cases.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link 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