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Delhi HC Allows Appeal Window in Gold Bar Seizure Case

Case Law Details

TaxGuru Citation
2025 taxguru.in 6584
Case Name
Mohammad Anas Vs Commissioner of Customs & Ors (Delhi High Court)
Date of Judgement/Order
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Mohammad Anas Vs Commissioner of Customs & Ors (Delhi High Court)

  The Delhi High Court has disposed of a petition filed by Mohammad Anas, who sought the release of a 250-gram gold bar detained by Customs officials. The court, without ruling on the substantive merits of the detention, provided the petitioner with a final opportunity to challenge the Customs department’s decision through the appellate process.

The case originated on September 18, 2023, when Mohammad Anas arrived at Indira Gandhi International Airport from Saudi Arabia. He was intercepted by Customs officials, who seized a 250-gram gold bar from his possession. The petitioner’s legal team argued that the gold bar should be released under Section 110(2) of the Customs Act, 1962, because the department had failed to issue a Show Cause Notice within the stipulated six-month period. The petitioner also contended that he was not granted a personal hearing.

In its defense, the Customs department asserted that an oral show cause was provided to the petitioner, who subsequently signed a waiver of his right to a personal hearing. The department produced a crucial piece of evidence: an Order-in-Original dated January 5, 2024. The order, which was presented to the court, detailed the department’s findings. It denied the petitioner a ‘Free Allowance’ for the goods, declared him an “ineligible passenger,” and ordered the absolute confiscation of the gold bar, which was valued at ₹13,46,935. Additionally, the order imposed a penalty of ₹1,30,000 on the petitioner under various sections of the Customs Act.

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Author Info

CA Sandeep Kanoi
Qualification: CA in Job / Business
Company: Taxguru Consultancy
Location: Mumbai, Maharashtra
Articles Published: 19,502

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