2013 (9) TMI 784

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....tain articles which are used as raw material for finished goods in which they trade or such articles are traded as such by them. In the course of importing of goods, those were seized for one reason or the other, making the petitioners to undergo an arduous path for securing orders for provisional release of goods imported by them. Petitioner in CWP No.17123 of 2013 even had to knock at the doors of this Court by way of a civil writ petition with prayer for deciding its representation pending with the authorities for provisional release of goods seized/detained by them. For clarity of the issues for adjudication in these writ petitions, facts have been taken from CWP No.10279 of 2013. Petitioner-company located at Mandi Gobindgarh, in reg....

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....ook. Challenge of the petitioner is against seizure of the goods as also against legality of order of provisional release of the goods. On the other hand, counsel for the respondents has asserted validity of the seizure of goods as also of order regarding provisional release thereof. So far as seizure of goods, documents etc. is concerned, Section 110 of the Customs Act, 1962 (in short, the Act) holds the field. Provisional release of the goods, documents etc. seized, pending adjudication may be released in terms of provisions of Section 110-A of the Act. In terms of Section 128 of the Act, order of seizure of goods etc. made under Section 110 of the Act is appealable to Commissioner (Appeals) but order for provisional release of goods made....

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.... notwithstanding payment of duty as declared and assessed in the bills of entry and when no duty is outstanding to be paid, the petitioner is still required to do the following:- (i) to furnish a bond for the full value of the seized goods; (ii) furnish bank guarantee/cash deposit/fix deposit of nationalized Bank to the tune of 25% of the value of seized goods; and (iii) payment of differential duty on the goods seized. No doubt, in terms of provisions of Section 110-A of the Act, the adjudicating authority may require furnishing of a bond from the owner with security and conditions as he may require but it would still remain subject matter of judicial scrutiny as to whether the conditions so imposed have requisite relationship with the....

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....elief particularly when statutory remedy is available to it and making short-circuiting, the petitioner had invoked the forum of judicial review under the writ jurisdiction. When questioned what statutory remedy is available to the petitioner vis-a-vis justiciability of conditions being reasonable, no convincing answer has come forth. No doubt, this Court does not act as a court of appeal against the decision of customs authorities but when no remedy is available to the petitioner against an order imposing highly onerous conditions passed by the authorities and circumstances are peculiar, this Court will not hesitate to interfere by entertaining a petition under Article 226 of the Constitution of India to come to the rescue of the petitio....