Seizure period expiry does not invalidate confiscation and penalty notices under Customs law; proceedings continue independently.

Section 110 seizure and return of goods operate independently from confiscation and penalty proceedings under Section 124 of the Customs Act, 1962. Expiry of the permissible seizure period does not, by itself, invalidate a show cause notice proposing confiscation or penalty, because such proceedings survive even if the goods are liable to be returned under Section 110. The challenge to the notice on that ground was rejected, the appellate order was set aside, and the matter was remanded for decision on merits.

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Issues: Whether a show cause notice for confiscation and penalty under Section 124 of the Customs Act, 1962 becomes illegal or invalid merely because the seized goods are liable to be returned after expiry of the permissible period of seizure under Section 110 of the Customs Act, 1962.

Analysis: The two provisions operate in different fields. Proceedings relating to seizure and return of goods under Section 110 are independent of confiscation and penalty proceedings under Section 124. Expiry of the seizure period does not, by itself, nullify the notice for confiscation or penalty, because the latter proceedings survive even when the goods are required to be returned under Section 110.

Conclusion: The challenge to the legality of the show cause notice on this ground was rejected, the impugned appellate order was set aside, and the matter was remanded for decision on merits.

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