Akmal Usmanov Through Aziza Vs Commissioner of Customs (Delhi High Court)
Detention of personal jewellery without issuance of SCN within statutory period u/s 110 of Customs Act was impermissible; goods liable to be released
Conclusion: Detention of a foreign national’s 84-gram gold chain by Customs without issuance of a Show Cause Notice ( SCN ) within one year u/s 110 of Customs Act was invalid and the continued detention was impermissible in law.
Held: Assessee, filed a petition on behalf of his brother, whose 84-gram gold chain was detained by Customs at IGI Airport, New Delhi, when he arrived from Russia. Customs Department had appraised the jewellery and issued a detention receipt but failed to issue any Show Cause Notice (SCN) within the statutory time prescribed under Section 110 of the Customs Act, 1962. Instead, the Department only offered dates for personal hearing in June 2025, which were after the filing of the writ petition. It was noted that the writ petition was filed on 28th May, 2025, and personal hearings were given after the filing, but no Show Cause Notice had been issued. Assessee, a foreign national, agreed to re-export the 84-gram gold chain. The gold chain was personal jewellery of assessee, a foreign national eligible under the Baggage Rules, 2016, and not liable for confiscation. Consistent with prior Delhi High Court rulings (Nathan Narayanswamy; Farida Aliyeva; Rahul Vattamparambil Remesh; Gopika Vennankot Govind), personal gold jewellery could not be indefinitely detained without due process. Since no SCN had been issued within one year, the continued detention was impermissible in law, as reaffirmed in Mohammad Arham v. Commissioner of Customs (2025:DHC:1789-DB).
