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        2020 (10) TMI 1006 - HC - Customs

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        Grant of Anticipatory Bail for Alleged Possession of Smuggled Gold: Compliance with Conditions Essential The applicant sought anticipatory bail under Section 438 of the Cr.P.C. for alleged possession of smuggled gold and cash. Accused 1 and 2 were granted ...
                        Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.

                            Grant of Anticipatory Bail for Alleged Possession of Smuggled Gold: Compliance with Conditions Essential

                            The applicant sought anticipatory bail under Section 438 of the Cr.P.C. for alleged possession of smuggled gold and cash. Accused 1 and 2 were granted bail as the seized gold was deemed legally obtained for making ornaments. The applicant, owning a gold manufacturing business, was directed to cooperate with the investigation and adhere to specified conditions, including surrendering before the Customs Department and refraining from influencing witnesses or committing similar offenses. The Court granted bail based on the applicant's health condition and willingness to cooperate, emphasizing the importance of compliance with the set conditions to avoid bail cancellation.




                            Issues: Applicant seeking anticipatory bail under Section 438 of the Cr.P.C. for alleged possession of smuggled gold and cash, accused 1 and 2 granted bail, applicant's health condition and cooperation with investigation.

                            Analysis:
                            1. The applicant approached the Court seeking anticipatory bail under Section 438 of the Cr.P.C. in a case registered by the Customs Preventive and Narcotics Unit. The prosecution alleged that accused 1 and 2 were found in possession of gold and cash during a routine vehicle check. Accused 1 and 2 claimed to be working for the applicant, who owns a gold manufacturing business. The applicant denied the allegations, stating that the gold was legally obtained for manufacturing ornaments. He provided documents to support his claim, asserting innocence and cooperation with the investigation.

                            2. The Chief Judicial Magistrate found that the seized gold did not fall under the definition of smuggling under the Customs Act. Tax invoices and bills indicated legal possession of gold by various individuals for making ornaments. Accused 1 and 2 were granted bail, which was not challenged by the Customs Department. The applicant, citing health issues and the risk of contracting COVID-19, sought pre-arrest bail. The Court considered the facts, the willingness of accused 1 and 2 to cooperate, and the finality of their bail, concluding that the applicant should not be incarcerated if willing to cooperate.

                            3. The Court allowed the bail application, directing the applicant to surrender before the Customs Department, cooperate with the investigation, and maintain certain conditions. These conditions included not influencing witnesses, appearing before the investigating officer when required, and refraining from similar offenses during the bail period. Any breach of these conditions would allow the prosecution to apply for bail cancellation before the jurisdictional court. The applicant was granted bail on the execution of a bond and sureties, considering his health condition and cooperation with the investigation.
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                            ActsIncome Tax
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