Case Details: Satendra Yadava vs. Commissioner of Customs (2025) 34 Centax 416 (Del.)
Judiciary and Counsel Details
- Pratibha M. Singh & Rajneesh Kumar Gupta, JJ.
- S/Shri S. Vijay Kanth & Utkarsh Tripathi, Advocates, for the Petitioner
- S/Shri Harpreet Singh, Senior Standing Counsel a/w. Ms Suhani Mathur, Jai Ahuja & Akshay Saxena, Advocates, for the Respondent
Facts of the Case
The petitioner, an air passenger arriving in India from abroad, was found in possession of a gold chain and a gold ring weighing 46 grams and 30 grams respectively, which were seized by the customs authorities. It was submitted that despite the lapse of the statutory period of one year from the date of seizure, comprising an initial six months and an additional six months if extended, no show cause notice had been issued as required under section 110(2) of the Customs Act, 1962. The petitioner argued that in the absence of such notice, continued detention of the jewellery was illegal and sought its release without liability to pay any storage or demurrage charges. The matter was accordingly placed before the High Court.
High Court Held
The High Court held that the seized gold chain and ring were liable to be released to the petitioner without payment of any storage charges since no show cause notice had been issued within the prescribed period under section 110(2) of the Customs Act, 1962. The Court observed that once goods are seized, it is mandatory for the customs authorities to issue a show cause notice within six months, extendable by a further six months only upon proper authorization, failing which the seized goods must be returned to the person from whom they were taken. It was further held that the goods being personal jewellery of a passenger could not have been detained in the first place, and continued custody beyond the statutory period amounted to an illegal seizure. The Court directed the customs department to release the seized items within four weeks and clarified that no storage or demurrage charges could be levied.
