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<h1>Customs Act: Importing/Exporting Prohibited Goods Risks Confiscation, Heavy Fines, and Legal Penalties. Know the Rules!</h1> Under the Customs Act, goods imported or exported against prohibitions are subject to confiscation, with penalties up to five times their value. 'Prohibited Goods' are defined as those restricted under the Customs Act or any other law. The Central Government can declare goods as prohibited for reasons such as national security or conservation of foreign exchange. Certain goods require licenses for import/export, while others are outright banned. Compliance with Indian Quality Standards and other laws is mandatory. Violations may lead to imprisonment and arrest. Traders must be aware of these regulations to avoid penalties and confiscation.