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Issues: Whether seized perishable imported goods were liable to be provisionally released pending inquiry into their origin and the authenticity of supporting certificates.
Analysis: The goods were perishable and had remained under seizure for a considerable period. The customs authorities were entitled to verify the country of origin and the supporting phytosanitary and origin documents, particularly in view of the alert regarding possible prohibited origin. At the same time, the statutory scheme governing seizure of goods recognises that perishable goods should be dealt with expeditiously, and provisional release may be justified where continued detention would be disproportionate. The Court balanced the need for inquiry with the nature of the goods and the delay already occasioned, and held that provisional release was appropriate on safeguards, including security for possible liability.
Conclusion: The goods were ordered to be provisionally released on furnishing of bank guarantee, bond and undertaking, while the customs inquiry was directed to be completed within the stipulated time.
Final Conclusion: The seizure was not quashed, but the petitioner obtained interim commercial relief through provisional release of the consignments subject to protective conditions.
Ratio Decidendi: Where seized goods are perishable and continued detention would cause prejudice, the authority may be required to permit provisional release on reasonable safeguards pending completion of the customs inquiry.