Advertisement
Advertisement
Skip to content
Follow Us on
Advertisement
TOP STORIES
Custom Duty

Detention Invalid as Customs Fails to Issue SCN Within Statutory Period: Delhi HC

Case Law Details

TaxGuru Citation
2025 taxguru.in 2550
Case Name
Mohammad Arham Vs Commissioner of Customs (Delhi High Court)
Date of Judgement/Order
Only available for paid members
Advertisement

Mohammad Arham Vs Commissioner of Customs (Delhi High Court)

The Delhi High Court addressed a petition filed by Mohammad Arham, seeking the release of gold bangles detained by customs officials at Terminal 3, IGI Airport, New Delhi. The petitioner, a minor at the time of detention on January 24, 2024, had two yellow bangles, weighing 50 grams, recovered from him as he passed through the Green Channel. The court noted that over a year had elapsed since the detention, and the customs department had failed to issue a show cause notice within the stipulated six-month period, as mandated by Section 110 of the Customs Act, 1962. The court emphasized that issuing a show cause notice and providing a hearing are mandatory procedures following the detention of goods. It highlighted that while the department can seek a six-month extension, the one-year period had already expired, rendering any further issuance of a show cause notice impermissible.

Consequently, the Delhi High Court ruled that the detention of the gold bangles was unlawful. It directed the customs department to appraise the goods and release them to the petitioner within four weeks, subject to verification. Given the petitioner had attained majority, the appraisement was ordered to be conducted in his presence or in the presence of his authorized representative. Furthermore, the court waived any storage or warehouse charges associated with the detained goods. The court’s decision underscores the importance of adhering to the statutory timelines prescribed in the Customs Act, particularly regarding the issuance of show cause notices following the detention of goods. The ruling protects individuals from prolonged and unjustified detention of their belongings by customs authorities.

Paid content

Become a Premium Member, or log in if you are already a Premium member.

Advertisement

Author Info

CA Sandeep Kanoi
Qualification: CA in Job / Business
Company: Taxguru Consultancy
Location: Mumbai, Maharashtra
Articles Published: 21,285

Join TaxGuru's Network for the latest updates on Income Tax, GST, Company Law, Corporate Laws and other related subjects.