Bona fide personal jewellery of Indian origin may be re-imported, with a limited redemption fine for missing export certification.

Contemporaneous baggage declaration, goldsmith's register and inventory were treated as sufficient evidence that the seized gold jewellery was bona fide personal jewellery of Indian origin, so re-import was allowed. The absence of the required export certificate nevertheless justified a limited redemption fine, while personal penalty was not warranted on the facts. Because the jewellery had already been sold and could not be redeemed, only the net sale proceeds after deduction of the fine were directed to be paid.

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Issues: Whether the seized gold jewellery was proved to be bona fide personal jewellery of Indian origin and therefore eligible for re-import; whether the redemption fine and personal penalty could be sustained; and whether the applicant was entitled to payment of the sale proceeds after deduction of fine.

Issue (i): Whether the seized gold jewellery was proved to be bona fide personal jewellery of Indian origin and therefore eligible for re-import.

Analysis: The weight recorded in the baggage declaration form was broadly consistent with the goldsmith's register and the subsequent inventory, which supported the applicant's case that the articles had been manufactured in India from old jewellery. The finding that the items were neither heavy nor crude and were of the kind ordinarily worn by a lady also supported the conclusion that they were personal jewellery.

Conclusion: The gold items were held to be of Indian origin and their re-import was allowed.

Issue (ii): Whether the redemption fine and personal penalty could be sustained.

Analysis: Although the origin of the jewellery was accepted, the failure to obtain the requisite export certificate was treated as established, justifying imposition of a limited fine. At the same time, the circumstances did not warrant personal penalty.

Conclusion: The redemption fine was sustained at 10% of the value, while the personal penalty was set aside.

Issue (iii): Whether the applicant was entitled to payment of the sale proceeds after deduction of fine.

Analysis: Since the jewellery had already been disposed of and was unavailable for redemption, only the net sale proceeds after deduction of the fine could be directed to be paid.

Conclusion: The Department was directed to pay 90% of the sale proceeds after deducting the redemption fine.

Final Conclusion: The revision was disposed of in the applicant's favour with re-import permitted, the penalty deleted, and only a 10% redemption fine retained.

Ratio Decidendi: Where seized jewellery is satisfactorily shown by contemporaneous evidence to be bona fide personal jewellery of Indian origin, re-import may be allowed, but a limited redemption fine can still be sustained for failure to obtain the required export certificate, while personal penalty may be set aside where the facts do not justify it.

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