Customs detention of imported goods does not justify keeping containers when bonded warehousing and further testing can proceed.

Where imported goods are detained for customs examination or investigation, the goods should ordinarily be destuffed and moved to a bonded warehouse so that examination can continue while the containers are released. The liability for warehouse charges was treated as resting on the consignee, not on the ship owners or shipping agents, and the petitioners were not made liable beyond the period they had accepted. Customs was permitted to continue investigation and testing, including sampling to assess whether the goods were hazardous, but the containers were to be returned upon payment of the specified charges.

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Issues: (i) whether the shipping agents and ship owners were liable for warehouse charges in respect of detained imported goods and whether the containers were liable to be released; (ii) whether the goods could be kept for further customs examination and testing while the containers were returned.

Issue (i): Whether the shipping agents and ship owners were liable for warehouse charges in respect of detained imported goods and whether the containers were liable to be released.

Analysis: The liability for warehouse charges was treated as falling on the consignee and not on the ship owners or shipping agents. Reliance was placed on the governing circular that, where goods are required to be detained for detailed examination or investigation, they should be destuffed from the containers, stored in a bonded warehouse, and the containers released.

Conclusion: The petitioners were not made liable for the warehouse charges beyond the period accepted by them, and the containers were directed to be returned to them upon payment of the specified charges.

Issue (ii): Whether the goods could be kept for further customs examination and testing while the containers were returned.

Analysis: The customs authorities were permitted to continue the investigation and to take samples for further testing to determine whether the goods were hazardous. The goods were to be destuffed and moved to a bonded warehouse so that examination could proceed without retaining the containers.

Conclusion: The customs investigation was allowed to continue, but the goods were to be stored in a bonded warehouse and the containers were to be released.

Final Conclusion: The petition was allowed to the extent of securing release of the containers, while customs were permitted to continue examination and testing of the goods in bonded warehousing.

Ratio Decidendi: Where imported goods are detained for customs examination or investigation, the containers should ordinarily be released after destuffing, and warehouse charges are not to be fastened on ship owners or shipping agents when the consignee bears responsibility.

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