Jai Kishan Choudhary Vs Commissioner of Customs (CESTAT Delhi)
In a ruling by the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT) Delhi, it has been determined that the Customs Act, 1962, does not apply to gold seized from a transit passenger who has not cleared immigration or customs. This decision led to the setting aside of an order that had absolutely confiscated 1215 grams of gold and imposed a penalty on the appellant, Jai Kishan Choudhary.
The case involved specific intelligence that Jai Kishan Choudhary, arriving from Bangkok and scheduled to depart for Dubai via New Delhi, was allegedly carrying gold to hand over to two other individuals, Kamal Manjeet Sahota and Meena Ashok Gupta, in exchange for foreign currency. Customs officers tracked the appellant through the transit area of IGI Airport. Although the alleged transaction did not occur, all three passengers were intercepted, offloaded from their respective flights, and brought to the Customs Preventive Room.
During the search, in the presence of independent witnesses, 1215 grams of gold were recovered from the appellant’s rectum. Subsequently, a show cause notice was issued, leading to the absolute confiscation of the gold and imposition of a penalty, which was later affirmed by the Commissioner (Appeals).
