TaxTMI 
TaxTMI 
2016 (6) TMI 627
X X X X Extracts X X X X
X X X X Extracts X X X X
....ion, directing the appellants to provisionally release 15.160 Kgs., of Gold Bars to the respondent, seized vide Mahazar, dated 14.10.2013, drawn by the officials of the appellant, from the respondent, Mr.Abhishek Mundhra, at Kamaraj Domestic Terminal, Meenambakkam, Chennai, in terms of Section 110-A of the Customs Act, 1962, pending disposal of W.A.No.5663 of 2014. 4. Material on record discloses that earlier, while admitting W.P.No.5663 of 2014, this Court, by order, dated 25.02.2014, issued directions to provisionally release the gold, subject to certain conditions. Being aggrieved by the same, the appellants have preferred W.A.No.412 of 2014. After going through the materials on record, a Hon'ble Division Bench of this Court, vide order, dated 03.04.2014, at Paragraph 5, ordered as hereunder: "5. Aggrieved by the order passed by the High Court, Khazan Singh has filed this appeal. It was submitted by the learned counsel for the appellant that the Collector's order appointing the appellant having become final as it was not set aside by any of the appellate authorities, no direction could have been given by the Collector to invite fresh applications and decide w....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ustody of the respondent, it would be prejudicial to the interests of the Department. 8. Having regard to the above rival submissions and by observing that whether the seized gold is a smuggled goods or not, as contended by the appellants, it can be gone into only during the adjudication proceedings, wherein, the respondent should be in a position to produce documentary evidence and inasmuch as adjudication proceedings have already been commenced, by issuing a show cause notice, subject matter of other writ petition and further observing that no useful purpose would be served, by allowing the gold items to remain in the custody of the appellants, directed to release the same, subject to the following conditions, "(i) The respondents shall, before releasing the gold articles to the custody of the petitioner, shall take necessary photograph and/or videograph in such a manner that the foreign marking, if any or other markings in the gold bars are visible so that it shall be used during the adjudication proceedings. (ii) The petitioner shall pay 100% duty towards the value of the goods as may be assessed by the officials of the respondents which was prevailing as o....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... safeguard the interests of the revenue. 13. Per contra, Mr.V.T.Gopalan, learned Senior Counsel appearing for the respondent submitted that gold is not a prohibited good. He further submitted that the respondent is a reputed dealer in the business of buying and selling Gold and Silver Bullion Bars. He also submitted that the amount of gold carried is entered in the books of accounts of the dealer. 14. Inviting the attention of this Court that already sufficient safeguards are provided in the interim order, dated 04.07.2014, learned Senior Counsel for the respondent submitted that besides payment of 100% duty on the quantity of gold, Writ Court has further directed to the respondents to execute a personal bond covering the entire value of the goods in question. It is also his submission that though the appellants have assailed the correctness of the order impugned, there is no specific ground for imposing any further contentions for provisional release of the gold. 15. Learned Senior Counsel for the respondent submitted that in the event of this Court, imposing any further condition in addition to what the Writ Court had already ordered, the respondent would volunteer to of....
X X X X Extracts X X X X
X X X X Extracts X X X X
....etter is a fabricated document to bring smuggled gold bars to Chennai. 19. Though it is the contention of the appellants that the subject gold, weighing 15.16 Kgs., is smuggled and liable for confiscation, the respondent has denied the same. Conditions imposed in M.P.No.3 of 2014 in W.P.No.5663 of 2014, dated 04.07.2014, inter alia, are to the effect that the respondent should pay 100% duty to the value of the goods, as may be assessed by the officials of the respondents; he shall execute a personal bond covering the entire value of the goods in question; and the appellants shall take necessary photograph and/or videograph in such a manner that the foreign marking, if any or other markings in the gold bars are visible. 20. Though there is a direction by the Writ Court to the effect that the respondent shall co-operate with the appellants in commencing and completing the adjudication proceedings initiated by them, indisputably adjudication proceedings already initiated are over, is subject matter of another writ petition. It is the contention of the appellants that the abovesaid quantity of gold is smuggled. 21. Section 110A of the Customs Act, deals with provisional releas....
X X X X Extracts X X X X
X X X X Extracts X X X X
.... the terms of such permission; (k) any dutiable or prohibited goods imported by land in respect of which the order permitting clearance of the goods required to be produced under section 109 is not produced or which do not correspond in any material particular with the specification contained therein; (l) any dutiable or prohibited goods which are not included or are in excess of those included in the entry made under this Act, or in the case of baggage in the declaration made under section 77; (m) any goods which do not correspond in respect of value or in any other particular with the entry made under this Act or in the case of baggage with the declaration made under section 77 in respect thereof, or in the case of goods under transhipment, with the declaration for transhipment referred to in the proviso to sub-section (1) of section 54; (n) any dutiable or prohibited goods transited with or without transhipment or attempted to be so transited in contravention of the provisions of Chapter VIII; (o) any goods exempted, subject to any condition, from duty or any prohibition in respect of the import thereof under this Act or any other law....