Qamar Jahan Vs Union of India (Delhi High Court)
It is generally known and accepted that the gold purchased or carried outside India falls in the ambit of Customs Act read along with its Baggage Rules. In the present case the Delhi High Court held that the CBIC has a necessity to review the Baggage Rules in certain aspects. Referring into the facts of the case:
Facts of the Case: The gold had been confiscated from the petitioner at the airport containing the two kadas and a gold chain through the Order. Further a redemption fine of Rs.75,000 along with penalty of Rs.1,10,000 had been imposed. The petitioner filed the appeal which was subsequently rejected hence the same had been presented before the High Court.
Analysis: The counsel representing the department held that, the Rule 5 of the baggage rules clearly states that the 20gms of gold of Rs.50,000 in case of a man or 40 grams of gold of Rs.1,00,000 in case of a woman is permissible where they have resided for more than 1 year abroad.
Also, the declaration should be obtained in case of excess gold being carried.
Judgement: Considering the views of both the side counsels, the Hon’ble Delhi High Court opined that the same should be re looked by the CBIC and a policy decision ought to be taken by the Government of India on both fronts:- (i) to ensure that there is no harassment of genuine tourists and travellers, whether Indian or foreigners into India; (ii) that illegal smuggling of gold is properly curbed. Also, values of gold that would be permissible under the Baggage Rules would also have to be re-looked by the CBIC as the same appears to be completely not in tune with the current market value of gold.
