Delhi High Court
Sai Kiran Goud Tirupathi vs Commissioner Of Customs on 18 March, 2025
Author: Prathiba M. Singh
Bench: Prathiba M. Singh
$~93
* IN THE HIGH COURT OF DELHI AT NEW DELHI
Date of Decision: 18th March, 2025
+ W.P.(C) 3347/2025
SAI KIRAN GOUD TIRUPATHI .....Petitioner
Through: Mr. Ravi Rathore and Ms. Richa
Kumari, Advs. (M:8766321884)
versus
COMMISSIONER OF CUSTOMS .....Respondent
Through: Mr. Harpreet Singh, Sr. Standing
Counsel with Ms. Suhani Mathur and
Mr. Jai Ahuja, Advs. (M:8383820042)
CORAM:
JUSTICE PRATHIBA M. SINGH
JUSTICE RAJNEESH KUMAR GUPTA
Prathiba M. Singh, J.(ORAL)
1. This hearing has been done through hybrid mode.
2. The present petition has been filed by the Petitioner- Mr. Sai Kiran
Goud Tirupathi under Article 226 of the Constitution of India inter alia
seeking setting aside of the seizure of the gold Kada seized vide detention
receipt no. 3959 (New detention receipt no. 52926) dated 12th March 2024.
3. It is the case of the Petitioner that he is an Indian citizen, who was
travelling from Mali to India and had landed at Indira Gandhi International
Airport, New Delhi on 12th March, 2024. He was wearing a gold Kada
weighing 50 grams, which was seized by the Customs Department upon
arrival. Appraisal of the same was done and the Kada was valued at
Rs.2,85,079/- as it had 986 average purity.
4. According to the Petitioner, no show cause notice was issued to him
W.P.(C) 3347/2025 Page 1 of 4
Signature Not Verified
Signed By:DEVANSHU
JOSHI
Signing Date:18.03.2025
19:34:37
and more than one year has elapsed since the detention. Hence, the Petitioner
has filed this petition seeking setting aside of the detention order and release
of Kada.
5. Ld. Counsel for the Petitioner further submits that the said gold kada
was a personal effect of the Petitioner as his name `SAI' was engraved on the
same.
6. On the other hand, Mr. Harpreet Singh, ld. Counsel for the Customs
Department submits that the Petitioner has waived of the show cause notice
and personal hearing. The Order-in-Original has already been passed on 30th
January, 2025 directing absolute confiscation of the gold kada. Paragraph 8
of the Order-in-original is relevant in respect to the said waiver and the same
is extracted herein below:
"8. I have carefully gone through the facts of the
case and considered the submissions/admissions made
by the Passenger in his statement dated 12.03.2024 and
also in his request letter dated 12.03.2024. The Pax has
requested for waiver of Show Cause Notice and
personal hearing in his said statement and also in his
said request letter and after accepting his request, I
proceed to adjudicate the case."
7. Ld. Counsel for the Petitioner further submits that the Petitioner never
received the Order-in-Original dated 30th January, 2025. Moreover, there is
no communication of the Order-in-Original as well to the Petitioner.
8. The Court has heard the matter.
9. The paragraph 8 of the Order-in-Original would show that clearly there
was waiver of show cause notice and no personal hearing was also granted to
the Petitioner. As per the operative portion of the order, there is complete
W.P.(C) 3347/2025 Page 2 of 4
Signature Not Verified
Signed By:DEVANSHU
JOSHI
Signing Date:18.03.2025
19:34:37
confiscation of one elongated gold piece bent in kada shape. The operative
portion of the order reads as under:
"23. In view of the foregoing, I pass the following
order:
ORDER
i) I deny the Free Allowance if any, admissible to
the Pax Mr. Saikiran Goud Tirupathifor not
declaring the detained goods to the Proper
Officer at Red Channel as well to the Customs
Officer at Green Channel who intercepted her
and recovered the detained item from her.
ii) I declare the passenger Mr. Saikiran Goud
Tirupathi an "ineligible Passenger" for the
purpose of the Notification No. 50/2017-Customs
dated 30.06.2017 (as amended) read with
Baggage Rules, 2016 (as amended).
iii) I order absolute confiscation of One elongated
gold piece bent in kada shape average purity 986
with gross and net weight 50 grams having
Assessable value Rs.2,85,079/- recovered from
the Pax Mr. Saikiran Goud Tirupathi and
detained vide DR No.
DR/INDEL4/12.03.2024/003959 dated
12.03.2024 under section 111(d), 111(i), 111(j)
and 111(m) of the Customs Act, 1962;
iv) I also impose a penalty of Rs.45,000/- (Rupees
Forty Five Thousand Only) on the Pax Mr.
Saikiran Goud Tirupathi under section 112(a)
and 112(b) of the Customs Act, 1962."
10. This Court is of the opinion that following the decision in Mr.
Makhinder Chopra v. Commissioner of Customs 2025: DHC:1162-DB
decided on 19th February 2025, waiver of show cause notice and waiver of
personal hearing in standard format is contrary to law. Relevant portion of the
said judgment is extracted below:
"34. Since, the Court has made clear that the practice
of making tourists sign undertaking in a standard form
waiving the show cause notice and personal hearing is
contrary to the provisions of Section 124 of the Act,
hereinafter, the Customs Department is directed to
discontinue the said practice. The Customs Department
is expected to follow the principles of natural justice in
each case where goods are confiscated in terms of
Section 124 of the Act."
11. It appears to the Court that even in the present case it is a standard form
waiver. Under these circumstances, the order in original cannot be sustained
and the same is accordingly quashed. The gold Kada be released, however,
subject to payment of storage charges.
12. Let the Petitioner approach the Customs Department for release of said
Kada.
13. The same shall be released within four weeks after verifying the
identity of the Petitioner, subject to deposit of storage charges.
14. The petition is disposed of in the said terms.
PRATHIBA M. SINGH
JUDGE
RAJNEESH KUMAR GUPTA
JUDGE
MARCH 18, 2025/dk/ck
