2024 (8) TMI 1354

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....lease of the seized goods wherein the appellant was directed to furnish their bond equal to the value of goods i.e. Rs. 3,65,78,838/- and to furnish a bank guarantee equal to the duty amounting to Rs. 6,20,26,403/-. The impugned provisional release order was issued in compliance to the Hon'ble Delhi High Court order dated 10.07.2023 in case of Writ petition No. 7372/2023. The Adjudicating Authority while granting the provisional release by imposing condition of bond and bank guarantee as described above, observed that based on the investigation of DRI, Gandhidham, it was informed this office that the document submitted by the appellant company have failed to establish that the seized goods namely dried Areca Nuts were supplied from claimed ....

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....e appellant being aggrieved by the condition for provisional release of the seized good filed the present appeal. 2. Ms. Priyanka Goel, Learned Counsel appearing on behalf of the appellant submits that appellant are engaged in trading of dried areca nuts which are purchased from domestic market, under proper invoice and after paying proper IGST on the said goods. The department on the basis of some intelligence received by the DRI that some smuggling cartel is evading custom duty by diverting the duty free imported goods such as Areca nuts and black/white pepper from Kandla SEZ to Domestic Tariff Area (DTA) disguising the movement as export to Bangladesh. 2.1 She submits that the impugned goods in question are of Indian origin, lawful....

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....upon which the bond value has been levied and also bank guarantee, cash security of the seizure value was directed to furnish for the provisional release of the impugned goods. Therefore, the value for bond as well as for bank guarantee fixed by the revenue is absolutely incorrect. 2.5 She submits that the Section of Customs Act invoked are solely pertains to the importation of goods, these sections are inapplicable in the present case because the impugned goods are procured exclusively from local market and are intended solely for sale within the territorial confines of India. In view of her submission, she requests that condition for provisional release pertaining to submission of bank guarantee may be set aside. 3. Shri R. K. Agraw....