https://www.taxtmi.com/caselaws?id=89029 Section 123 of the Customs Act applies only when the seizing authority has a reasonable belief, based on relevant material, that the goods are smuggled; without that foundational basis, the burden does not shift to the person from whom the goods are seized. On the facts, mere search, inconsistencies in statements, and absence of foreign markings were insufficient to establish smuggled origin. The earlier finding under the Gold (Control) Act, which did not clearly connect the gold and jewellery to contraband, was treated as relevant. The presumption under Section 123 was therefore not attracted, and confiscation and penalty under the Customs Act could not be sustained. en-us Mon, 27 Apr 1998 00:00:00 +0530 Thu, 22 Sep 2011 18:37:41 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=89029 Section 123 of the Customs Act applies only when the seizing authority has a reasonable belief, based on relevant material, that the goods are smuggled; without that foundational basis, the burden does not shift to the person from whom the goods are seized. On the facts, mere search, inconsistencies in statements, and absence of foreign markings were insufficient to establish smuggled origin. The earlier finding under the Gold (Control) Act, which did not clearly connect the gold and jewellery to contraband, was treated as relevant. The presumption under Section 123 was therefore not attracted, and confiscation and penalty under the Customs Act could not be sustained. Case-Laws Customs Mon, 27 Apr 1998 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=89029