Natural justice in confiscation proceedings requires hearing the claimant of seized goods before a final order is passed.

Natural justice required the claimant to seized silver and currency to be impleaded and heard before any final confiscatory order was passed. The goods were claimed by a third party, and the appellants consistently denied ownership, so the sole claimant should have been made a party to the proceedings and given a personal hearing. The confiscation order was therefore set aside and the matter was remanded for de novo adjudication with a direction to grant personal hearing to the appellants.

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Issues: Whether the adjudication was vitiated for failure to implead and hear the sole claimant of the seized silver and currency, warranting remand for fresh decision.

Analysis: The seized goods and currency were claimed by a third person, Janak Singh, who asserted ownership before the department. The appellants consistently maintained that the goods did not belong to them. In these circumstances, the claimant of the seized property ought to have been made a party to the proceedings and afforded an opportunity of personal hearing before any final confiscatory order was passed.

Conclusion: The impugned order was set aside and the matter was remanded for de novo adjudication with a direction to grant personal hearing to the appellants.

Final Conclusion: The confiscation order did not survive and the dispute was sent back for fresh adjudication in accordance with law.

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