Customs House Agent licence suspension under Regulation 21(2) needs immediate necessity and a continuing basis to remain valid.

Suspension of a Customs House Agent licence under Regulation 21(2) is sustainable only in appropriate cases where immediate action is necessary and an enquiry is pending or contemplated. The continued suspension must also rest on a valid, continuing basis; mere lapse of time without revocation action is insufficient. Because the Department could not justify keeping the licence suspended for several months, and the deprivation of the right to practise required stronger support, the suspension was set aside.

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Issues: Whether the suspension of the Customs House Agent licence was justified under Regulation 21(2) of the Customs House Agents Licensing Regulations, 1984 in the absence of immediate necessity and continued action by the Department.

Analysis: Regulation 21(2) permits suspension of a CHA licence only in appropriate cases where immediate action is necessary and an enquiry is pending or contemplated. The licence had remained suspended for several months without any revocation action, and the reasons placed for continuing the suspension were not found sufficient. The severe civil consequence of depriving the appellant of its profession required a valid and continuing basis for suspension, which was not made out on the record.

Conclusion: The suspension was not justified and was set aside in favour of the appellant.

Ratio Decidendi: Suspension of a CHA licence under Regulation 21(2) is sustainable only where immediate action is necessary and the Department can show a valid basis for continuation of the suspension; absent such justification, the suspension cannot be upheld.

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