Foreign Trade (Development and Regulation) Act, 1992
8. Contravention of provisions of this Act, rules, orders and export and import policy. –
(1) No export or import shall be made by any person except in accordance with the provisions of this Act, the rules and orders made thereunder and the export and import policy for the time being in force.
(2) Where any person makes or abets or attempts to make any export or import in contravention of any provision of this Act or any rules or orders made thereunder or the export and import policy, he hall be liable to a penalty not exceeding one thousand rupees of five time the value of the goods in respect of which any contravention is made or attempted to be made, whichever is more.
(3) Where any person, on a notice to him by the Adjudicating Authority, admits any contravention, the Adjudication Authority may, in such class or classes of cases and in such manner as may be prescribed, determine , by way of settlement , an amount to be paid by that person.
(4) A penalty imposed under this Act may, if it is not paid, be recovered as an arrears of land revenue and the Importer – exporter Code Number of the person concerned, may, on failure to pay the penalty by him, be suspended by the Adjudicating Authority till the penalty is paid.
(5) Where any contravention of any provision of this Act or any rules or orders made thereunder or the export and import policy has been , is being, or is attempted to be, made, the goods together with any package, covering or receptacle and any conveyances shall, subject to such requirements and conditions as may be prescribed, be liable to confiscation by the Adjudicating Authority.
(6) The goods or the conveyance confiscated under sub-section (5) may be released by the Adjudicating Authority, in such manner and subject to such conditions as may be prescribed, on payment by the person concerned of the redemption charges equivalent to the market value of the goods or conveyance, as the case may be.