Immediate suspension of a Customs House Agent licence upheld where serious prima facie fraud allegations justified action without prior hearing.

Immediate suspension of a Customs House Agent licence was upheld where serious prima facie allegations suggested fictitious firms, drawback fraud, subletting of the licence, and breach of regulatory duties. Regulation 21(2) permitted the Commissioner to suspend the licence without prior notice or hearing when immediate action was necessary and an enquiry was pending or contemplated. The order was not invalid merely because it referred to Regulation 21(1), since the power was otherwise traceable to the correct provision. The challenge based on the notice-and-hearing procedure under Regulation 23 therefore failed.

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Issues: Whether the suspension of a Custom House Agent licence could be sustained as an immediate suspension under Regulation 21(2) of the Custom House Agents Licensing Regulations, 1984 without following the notice and hearing procedure under Regulation 23.

Analysis: The order recorded serious prima facie allegations, including fictitious firms, drawback fraud, subletting of licence, and breach of regulatory obligations, requiring immediate action pending enquiry. Regulation 21(2) authorises the Commissioner to suspend a CHA licence where immediate action is necessary and an enquiry is pending or contemplated, without prior show cause notice or personal hearing. Even though the Commissioner referred to Regulation 21(1), the exercise of power was traceable to the correct statutory source, and an order is not vitiated merely because it cites a different provision when the power otherwise exists.

Conclusion: The suspension was valid under Regulation 21(2), and the challenge based on non-compliance with Regulation 23 failed.

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