Prenda Creations Pvt Ltd Vs Commissioner of Customs (CESTAT Chandigarh)
CESTAT Chandigarh held that seizure of imported ‘Roasted Areca Nuts’ on the basis of contradictory CRCL reports is not justifiable since report failed to account for low moisture levels. Accordingly, appeal is allowed and detained goods are directed to be released.
Facts- The appellant during the course of business for import of Food Items in order to import “Roasted Areca Nuts” from Indonesia applied for Advance Ruling u/s 28H of the Customs Act, 1962 before the Authority for Advance Ruling. Further, the appellant was granted permission to import “Roasted Beetle Nuts” vide Advance Ruling issued by the Competent Authority and during the course of business, imported 40 Containers of “Roasted Areca Nuts” from its suppliers namely “Pt. Sasco Karya Mandiri”, Indonesia, PT. DVS Inter Kontinental, Jakarta, Pt. Cahaya Auriga Amerta Indonesia and PT. Sayuti Tijarah Amanah, Indonesia.
The department drew two samples from the said consignments and sent one sample for testing to CRCL New Delhi and CRCL tested the samples of imported Roasted Areca Nuts and reported vide its report dated 30.06.2025 that the goods are dried areca nuts and not roasted areca nuts. Further, the imported areca nuts are not fit for human consumption, the report of the CRCL was communicated to the importer on 03.07.2025. The department came to the conclusion that the imported goods are not roasted and ordered for seizure of the goods u/s. 110 of the Customs Act, 1962 vide seizure memo dated 13.10.2025; thereafter, the appellant requested the respondent for release of goods u/s. 110A of the Customs Act vide letter dated 22.11.2025, wherein, the appellant submitted copy of Star Export House Certificate issued by the DGFT to the appellant and thereafter, personal hearing was granted to the appellant on 28.11.2025 and thereafter, impugned order dated 09.12.2025 was passed imposing stringent conditions for provisional release of the goods. Aggrieved by the said order, the appellant filed the present appeal.
