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Dated: 29.03.2025

Delhi High Court ruled that the Customs’ inaction violated procedural law

The Delhi High Court directed the Commissioner of Customs to release gold bangles seized from the petitioner, on the ground of delay and failure to issue a show cause notice within the statutory time limit.

Case Background:

• The petitioner, a minor at the time, arrived at Terminal 3, IGI Airport, New Delhi, on 24th January 2024.
• He was intercepted by Customs officers while passing through the Green Channel and was found in possession of two yellow gold bangles weighing 50 grams.
• The bangles were detained, and a Detention Receipt (No. 3605) was issued.

Legal Lapse by Customs:

• More than a year passed since the seizure with no show cause notice issued, violating Section 110 of the Customs Act, 1962.
• The department failed to appraise or initiate proceedings within the six-month deadline, nor did it apply for an extension.

Court’s Observations:

• The Court reiterated that once goods are seized, a show cause notice must be issued within six months, extendable by another six months with formal approval.
• Since one year had elapsed, the detention became impermissible and unlawful.

Directions Issued:

• Customs must appraise and release the goods within four weeks.
• Appraisement must be done in the presence of the petitioner (now a major) or his authorized representative.
• Storage/warehouse charges waived considering the unjustified delay.

Significance:

This ruling underscores the importance of adhering to statutory timelines in customs procedures. It highlights the rights of individuals—particularly minors—when faced with overreach or procedural lapses by authorities.

The decision serves as a reminder to the Customs Department to act within the bounds of law and avoid arbitrary or delayed actions that can impact citizens unfairly.

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Source: Delhi High Court

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