Provisional release under section 110A ends after adjudication; interim relief must be sought before the appellate tribunal.

Once adjudication was completed and the order-in-original had been passed, the bank guarantee had served its purpose and was treated as entitled to cancellation, with the petitioner directed to take the necessary steps for release. By contrast, provisional release of imported goods under section 110A was held unavailable after adjudication because that power operates only pending adjudication. The appropriate remedy at that stage lay before the appellate tribunal, where interim relief could be sought in support of the pending appeal. The writ petition therefore succeeded only to the limited extent of cancellation of the bank guarantee, while provisional release of the goods was refused.

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Issues: (i) Whether the petitioner was entitled to cancellation and release of the bank guarantee after the order-in-original had been passed; (ii) Whether provisional release of the imported goods could still be directed under section 110A after adjudication had been completed, or whether the petitioner's remedy lay before the appellate tribunal.

Issue (i): Whether the petitioner was entitled to cancellation and release of the bank guarantee after the order-in-original had been passed.

Analysis: Once adjudication was completed and the order-in-original had been passed, the bank guarantee had served its purpose and had also expired. The Department stated that on production of the relevant copies, it would issue the necessary communication to the bank for cancellation of the guarantee. The Court recorded that statement and directed the petitioner to approach the second respondent with the order and copies of the bank guarantee.

Conclusion: The bank guarantee was directed to be cancelled, and the petitioner was entitled to that limited relief.

Issue (ii): Whether provisional release of the imported goods could still be directed under section 110A after adjudication had been completed, or whether the petitioner's remedy lay before the appellate tribunal.

Analysis: Section 110A empowers provisional release pending adjudication, by taking a bond and security from the owner of the goods. In the present case, the order-in-original had already been passed, so that power could no longer be invoked by the adjudicating authority. The Court held that the petitioner was not left without remedy because an appeal against the order-in-original was pending before the tribunal, where an interim application for appropriate relief could be moved. The tribunal was noted to have power to pass interim orders necessary to secure the ends of justice.

Conclusion: Provisional release under section 110A was declined, and the petitioner was left to seek interim relief before the appellate tribunal.

Final Conclusion: The writ petition succeeded only to the limited extent of cancellation of the bank guarantee, while the prayer for provisional release of the goods was refused and liberty was granted to seek interim relief before the tribunal.

Ratio Decidendi: Provisional release under section 110A is available only during pendency of adjudication and cannot be invoked after an order-in-original has been passed; in such a situation, the proper course is to seek interim relief before the appellate tribunal.

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