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Issues: (i) Whether the Magistrate had jurisdiction to direct the Customs Authorities to return passports and return air tickets seized under the Customs Act; (ii) Whether the High Court could invoke its inherent powers under Section 482 of the Code of Criminal Procedure to grant the same relief against Customs Authorities.
Issue (i): Whether the Magistrate had jurisdiction to direct the Customs Authorities to return passports and return air tickets seized under the Customs Act.
Analysis: The seizure of gold and documents was effected by Customs Officers under the Customs Act, not by police officers and not pursuant to any report of seizure to a magistrate under the Code. The provisions governing criminal courts' power over property, namely Sections 451, 452 and 457 of the Code of Criminal Procedure, operate where property is produced before court, is in the custody of a police officer, or seizure is reported under the Code. Until a complaint is filed under Section 190(1)(a) of the Code, no criminal proceeding is before the magistrate in which such property orders can be made. The passports and return air tickets were treated as useful or relevant to adjudication proceedings under Section 110 of the Customs Act, and their seizure was held valid.
Conclusion: The Magistrate had no jurisdiction to direct return of the seized passports and air tickets.
Issue (ii): Whether the High Court could invoke its inherent powers under Section 482 of the Code of Criminal Procedure to grant the same relief against Customs Authorities.
Analysis: Section 482 preserves inherent powers to secure the ends of justice in relation to proceedings before criminal courts; it does not create a new substantive power or extend to directing administrative action by Customs Authorities functioning under the Customs Act. Since the Customs Officer was not acting as a criminal court or as a police officer under the Code, and the matter remained within adjudication under the Customs Act, inherent jurisdiction was not available to circumvent the statutory scheme.
Conclusion: The High Court could not use Section 482 of the Code of Criminal Procedure to order release of the passports and air tickets from Customs custody.
Final Conclusion: The seized documents could not be ordered to be released at the pre-complaint adjudicatory stage, and the petitions seeking such relief failed.
Ratio Decidendi: A magistrate's power over seized property under the Code arises only in the situations expressly provided by the Code, and the High Court's inherent powers cannot be used to direct release of property seized by Customs Officers under the Customs Act before criminal proceedings are initiated.