Immediate suspension of Custom House Agent licence requires recorded urgency and reasons justifying action before enquiry.

Immediate suspension of a Custom House Agent licence under Regulation 21(2) is permissible only where the Commissioner forms an opinion that urgent action is necessary pending enquiry, and the order itself must show application of mind by setting out the circumstances justifying action without delay. If the suspension order gives no reasons for immediate suspension, or if adequate material for such action is absent, the exercise of power does not satisfy the regulatory requirement or basic fairness norms. On that basis, the suspension orders were held unsustainable and were set aside.

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Issues: Whether the suspension of the Custom House Agent licence under Regulation 21(2) of the Custom House Agents Licensing Regulations, 1984 was valid when the order did not disclose the need for immediate action or the reasons justifying such suspension.

Analysis: Regulation 21(2) authorises immediate suspension only where the Commissioner forms an opinion that urgent action is necessary pending enquiry. The suspension order must disclose application of mind and set out the circumstances showing why the matter could not brook delay. Where the order contains no reasons for immediate suspension, and in one case no adequate material is even shown, the exercise of power is inconsistent with the regulatory requirement and the norms of justice.

Conclusion: The suspension orders were not sustainable and were set aside.

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