Gulfam Vs Commissioner of Customs (Delhi High Court)
The Delhi High Court heard a petition filed by the petitioner, Mr. Gulfam, under Article 226 of the Constitution of India, seeking the release of a 117-gram gold bar detained by the Customs Department at Indira Gandhi International Airport, New Delhi, on 5th January 2023. The petitioner, who had been working in Saudi Arabia, contended that following the detention of the gold bar, no Show Cause Notice (SCN) was issued to him, and no personal hearing was granted. He argued that the continued detention of the gold bar was contrary to law, citing the Supreme Court’s recent ruling in Union of India and Ors. v. Jatin Ahuja (Civil Appeal No.3489/2024, 11th September 2025), which emphasized that goods must be returned if no SCN is issued within the statutory period prescribed under Section 110(2) of the Customs Act, 1962, and that interim release under Section 110A does not override this requirement.
The petitioner relied on the principle that mandatory procedural requirements under Section 110(2) must be followed, and that failure to issue an SCN or extend the statutory period with proper communication would necessitate the return of seized goods. He argued that the pre-printed waiver he had signed upon arrival could not substitute for the statutory notice or personal hearing.
