2009 (12) TMI 1054

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....f the Central Excise Tariff Act. The petitioners have filed the present petitions challenging the Panchanama dated 20/8/2009 (Annexure P/1) stating that on 20/8/2009 a raid was conducted by the officers of Central Excise Department on the factory premises of petitioners companies and they have seized certain material, Said raid is challenged by the petitioners stating that the officers who have raided the premises have not recorded "reason to believe' as required by section 110 read with section 123 of the Customs Act and therefore, entire action of the respondents is illegal and contrary to law. It is, therefore, prayed that the Panchanama (Annexure P/1) and the consequential proceedings be quashed. Respondents have filed their ....

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....e, premises, vessel, conveyance or other place upon or in which he has reason to believe that excisable goods are processed, sorted, stored manufactured or carried in contravention of the provisions of the Act or the Rules. The Apex Court has further held that it is manifest from the aforesaid provisions that the officer empowered by the Central Government can only make a search when he has reason to believe that excisable goods are processed, sorted, stored, manufactured or carried in contravention of the provisions of the Act or the Rules. So as per the aforesaid judgment, before entering into the premises of the petitioners, either for search or seizure, it was necessary for the officer conducting the raid to have reason to believe that....

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....r or relevant to a proceeding under the Central Excise Act, 1944 are secreted in the under mentioned premises. Thus, no reason has been mentioned in the search warrant and the search warrant is issued without application of mind to the fact whether any reasons were in existence at the time of conduct of raid. It is true that this Court cannot sit as an appellate court and has to accept the officer's belief regardless of the fact whether the court of its own might or might not have entertained the same belief. Section 123 of the Customs Act, 1962 does not admit of any other construction Under the circumstances whether the officer entertained the reasonable belief is not a matter which can be placed under legal microscope with an overind....