Powers and procedures for seizure of goods and penalty

The check post officer after taking into consideration the explanation, if any, of the transporter and giving him an opportunity of being heard, shall if he is satisfied, for reasons to be recorded in writing with the explanation and the statement of the transporter, discharge the notice and release the goods in the vehicle with or without the goods seized in favour of the transporter in such manner as may be prescribed. If the said officer is not so satisfied he shall record his finding accordingly giving reasons therefor and shall pass an order imposing such penalty not exceeding the sum specified in the notice, as he may deem fit: Provided that the amount of penalty shall not be less than three times but not exceeding five times of the amount of tax which would have been payable if the goods were sold within the State.