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885 gms Gold Seizure: Delhi HC Directs Expedited Customs Appeal

Case Law Details

TaxGuru Citation
2025 taxguru.in 6500
Case Name
Vijay Kumar Sand Vs Commissioner of Customs (Delhi High Court)
Date of Judgement/Order
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Vijay Kumar Sand Vs Commissioner of Customs (Delhi High Court)

In the case of Vijay Kumar Sand vs. Commissioner of Customs, the Delhi High Court addressed a petition regarding the detention of 885 grams of gold, even after a lower authority’s order permitted its redemption and re-export. The petitioner, Vijay Kumar Sand, had been found with the gold, which was subsequently seized. An initial Order-in-Original dated February 28, 2024, confiscated the gold but also provided an option for its redemption upon payment of a fine of Rs. 5,00,000, along with a penalty of Rs. 4,50,000, and allowed for its re-export to Hong Kong.

However, the Customs Department challenged this decision by filing an appeal. This appeal, at the time of the High Court’s hearing, had not yet been adjudicated. The petitioner sought the release of the gold, arguing against its continued detention despite the redemption relief granted in the Order-in-Original.

The Delhi High Court, in its ruling, determined that the appropriate course of action was not to override the pending appeal. Instead, the court directed the Commissioner (Appeals) to expedite the hearing of the Customs Department’s appeal. The court set a three-month deadline for the adjudication of the matter, which was to include a personal hearing for the petitioner. This decision effectively kept the gold detained, as the redemption order was subject to the outcome of the Customs Department’s appeal. The court’s order did not grant immediate relief to the petitioner but instead focused on ensuring the appellate process was completed in a timely manner. The petition was disposed of on these terms.

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Author Info

CA Sandeep Kanoi
Qualification: CA in Job / Business
Company: Taxguru Consultancy
Location: Mumbai, Maharashtra
Articles Published: 19,520

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