Liability of subsequent purchaser of imported vehicle

The Supreme Court overturned the Kerala High Court's order requiring Nalin Choksey, a subsequent buyer of an imported vehicle, to pay customs duty.

The Court held that under Section 125(1) of the Customs Act, only the original importer, not the subsequent buyer, is liable for customs duty unless the importer's identity is unknown.

Referring to Section 2(26) of the Customs Act and Section 2(30) of the Motor Vehicles Act, the Court distinguished between an importer and a subsequent owner.

The ruling allows the customs department to pursue action against the original importer.