The High Court · 2025

Petition under Section 151 CPC praying that in the c rcumstances stated in the affidavit filecl in support of the petition, the High Cot rt may be pleased to direct the 4th Respondent to forthwith release the goods i.e. 108 units of Multi- Function Devices that have been seized under the Iieizure [V1emo dated 22.7.2024, pending disposal of the Writ Petition, as othervrise the Petitioner will be put to severe loss and hardship. Counsel for the l)etitioner: SRl. KARTHIK RAMANA PUTTI\MREDDY Counsel for the llespondent No.1: Dy. SOLICITOR GEN. OF INDIA Counsel for the Respondent Nos.2to4: SRI DOMINIC FERNANDES, SENIOR SC F()R CBIC The Court made the following: ORDER 7 'tlll.l II()i\-OLiIIABl-E SItl JtrS'I'I(rE P.SAM KOStIY ANI) THE IIONOT]ITr\BI,Ii SRI .IT]S'I'I[]T] St]DI)AI,A CHALAPA'IHI RAo W.P.No.228l2 OF 2024 ORDER. (ptr Hon blt'Sri .lustica P.,\unt Kosh)) Hcard Mr.Karthik Ramana Puttamreddy , lealned counscl lbr thc pctitioner and Mr.Dominic Fernandes, lean'rcd Senior Star-rding Counscl lbr thc CBIC, appearing lor respondent Nos.2 to 4. l)elusctl the rccord

2. ['hc instant writ petition has been filed assailing the scizure menro, dated 22.07.2024, issued by the 4th respondent with furrhcr request to lbrthwith release the imported consignment ol' the rnultilunctional devices ( 108 units) under Bill of Entry No.46392 I 0. <lared 22.07 .2024. i. Sirnilar writ pctitions of identical nature have already been considcred by this Bench wherein by way of a conditional interim order this Bench had permitted thc release o1'seized goods subjcct to the petitione r/ir-nporter lulfilling certain conditions.

4. Onc such writ petition is W.P.No. 12489 of 2025; where the goods imporled were seized by the Customs authorities and by virtue of the interirn ordcr of this tligh Court. the Custorrs 2 authorities vicre ordered to re leasc on thc lollowing c,)nditions. For convenience. rvc reproduce paragraph Nos.26 & 21 of the order passed in the atirresaid rvrit petition hereinunder:

26. Thus. ltrr all the afbresaid reasons. it is ordered that let the respondent authorities pass an ordcr on the application filed by the petitioncrs lor provisional releaso of the goods sub.icct 1o the conditions that: a)'l hc pctitioncr shall pa1 /dcposit the enhanccd dut'/ amount. On receipt r.rf such enhanccd dut)' anlount paid by the p,ltitioners. the goods in qucstion shall bc rcleased within a period of four (04) wccks therealler. b) [ rrr pal,nrcnt of suclt dtrtr. tluantilication shall be made by the Clustoms tbrth\ itb u ithin one ( () I ) rteek fiom thc date of receipt of a cop1" of this ordc'r. On rcceipt of such quantification, thc pa) rnent shall bc irnnrcdiately nradc b1' the petitionc rs and on reccipt of the pavmont in cntirety. thc goods shall be rt:leascd as indicatcd above at the outcr linrit ol'firur (04) weeks. c) It is nlade clear that this order rvilI not stand in the way for Custonls Departnrent to go aheati rrith the turthcr pr,rceedings including thc adjtrdication irr the manner knorvn to lau. d) It is l'urthcr made clear that so t'ar as the condit on of the pctitioner that denrmuragc chargcs till date. for the goods be considcrcd lbr r.r air er. in this rcgard. il'an1 application ,s filed by the petitionors sccking such a rvaiver of'demmuragc charges, the samc shall be considered and dccidcd by the ro;pondents objcctir cl1-. I , J- 3

17. In addition. the pctitioners arc also directcd to pror,ide a bank guarantee worth l0 perccnt of'the total price of the goods inrported b1,them. [iurthcr. it is also ordercd that in the event if ths pctilioncrs upon relcasc of the goods provisionally make and selI the suppll to thcir customers. dctails olthc customcrs'that of rclevant price and details of the respcctive transactions shall be maintaincd and madc availablc to the rcspondent authorities lrom tlnrc [o Il nlc.

5. Pursuant to the said interim direction and upon the petitioner thercin fulfllling thc conditions stipulatcd by the IJigh Cour1, the seized goods wcre released to the petitioner. The said order of releasing ol the goods \^/as sub.iected to challenge belore thc Llon'blc Suprenre Court; where thc Flon'ble Suprerne Court ll1 St,P.No.42808/24. datedl-s.01.2025. has refused to interfere with the order passed by this Bcnch.

6. Ilou,evcr, as regards the proceedings before the adjudicating authority is concerned, the l{on'ble Supreme Court pemitted the adjudicating authority to proceed and decide the same strictly in accordance rvith law. 'l'he petitioner is also held entitled lor participation in the adjudicating proceedings. 4

1. Pursuant to the disposal ot'the SI-P, this Court has disposed o1'all such rvrit petitions wherehl' tlte sutds werc r,:leased and the proceedings r,vcre pending belore the adjudicating au-hority.

8. Similar nature ol' lacts arc also there in the ir.stanl case also rvhere the stage at this juncture is only the seizure ntt:mo and prayer is also onll lbr an interiln release of the seized goods

9. In thc f'actual matrix narriited in thc preceding paragraphs, we are of the considered opinion that thc instant urit petition also therefore cun be disposed of at thc admissiorr stage itself. Reserving the right oi the adjudicating authority to takc appropriate decision in the proccedings after permitting the petitioner to rt:present before thc adiudicrrting authority:

10. Thus, lbr all the aloresaid reasons, it is ordcr,:d that let the rcspondent ar-rthorities pass an ordcr on the applicati,rn filed by the petitioner lbr provisional relcasc ol the goods subject to the conditions t hat a) The petitioner shall pay/deposit the t:nhanced duty amount. On receipt ol'such enhanced dutl' amount paid hy the petitioner. thc goods in quegit>r shall be released '"vithin a period ot'lbur (()4) rveeks thcr-'after. 5 b) For payment ol such duty, quantification shall be made by the Customs fbrthwith within one (01) week from the date of' receipt of a copy of this order. On receipt of such quantification, the payment qhatt be immcdiately made by the petitioner and on receipt of the payment in entirety, the goods shall be released as indicated above at the outer limit of fbur (04) weeks. c) [t is made clear that this order wilI not stand in the way for Customs Department to go ahead with the further proceedings including the adjudication in the manner known to larv- d) It is funher made clear that so far as the condition ol'the petitioner that demmurage charges till date, for the goods be considered for waiver, in this regard, if any application is filed by the petitioner seeking such a waiver ol dernmurage charges, the same shall be considered and decided by the respondents objectively. ll. In addition, the pctitioner is also directed to provide a bank guarantee worlh l0 percent of the total price of the goods imported by the m. I;urthcr, it is also ordcrecl that in thc event if the petitioncr upon release of the goods provisionally makes and sell the supply to their customers, details of the customcrs that ol relevant price and I I 6 details of the respective transactions shalt be maintained and made available to the respondent authorities fiom time to time'

12. Needless to mention that the adjudicating aulhority in the process of deciding the same would not be in any manner influenced by the order of conditional release ordered by this Court' Theauthorityshaltdecidethesameconsideringthetlbjcctionsand contentions that would be raised on either sidc'

13. Accordingly, this writ petition is alloq'ed' N'r order as to costs. Miscellaneous applications pending, if' atrv' shall stand closed. \ To, //TRUE COPY// SD/- M.NAGAMANI ASSISTANT REGISTRAR6 SECTION OFFICER

1. The Secretary, Union of lndia, Ministry of Finance, Jeevan Deep Building, 3rd Floor, Sansad Marg, New Delhi-1 10 001

2. Joint Commissioner of Customs (lmports), GST Bhavan. iSasheerbagh, Hyderabad-500 004. Commissionerate, Hyderabad.

3. Deputy Commissioner of Customs, 1CD, Thimmapur-509 325, Telangana. 4. Superintendent of Customs (lCD-Thimmapur), Hyderabac Customs 5. One CC to SRl. KARTHIK RAIVANA PUTTAMREDDY, Advocate IOPUC] 6. One CC to Dy. SOLICITOR GEN. OF INDIA [OPUC] 7. One CC to SRI DOMINIC FERNANDES, SC FOR CBICIC)PUCI 8. Two CD Cop es B l\,1 TKS ".. \v HIGH COU]?T DATED:25l}il2025 I \ .{ i{E S t r t(j (;,.. ,_- + 3, ?go[Tml a ORDER WP.No.2281l2 of 2024 i, t5 16 1 6'u (-! ALLOWING THE WRIT PETITION WITHIf,UT COSTS 10 J