High Court · 2025

Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue a Writ of Mandamus or any other appropriate writ or order or direction setting aside the Seizure Memo dated 0AtO9t2O2S issued by the 4th Respondent as being without jurisdiction and contrary to the Foreign Trade policy, 2023 and consequently direct the 4th Respondent to forthwith release the Petitioners imported consignment of Multi-Function Devices of 102 units under Bill of Entry dated 0210912025, bearing No.4262183. lA NO: 1 OF 2025 Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to direct the 4th Respondent to forthwith release the goods i.e., 102 units of Multi-Function :ry ,/ Devices that have been seized under the seizure Memo dated 81912025, pending disposal of the writ Petition, as otherwise the Petitioner will be put to severe loss and hardship. Counsel for the Petitioner: SRI TARUN CHADHA Counsel for the Respondent No.1: DEPUTY SOLICITOR GENERAL OF INDIA Counsel for the Respondent Nos.2 TO 4: SRI DOMINIC FERNANDES' SENIOR SC FOR CBIC The Court made the following: ORDER THE HONOURABLE SRI JUSTICE P.SANI KOSHY ANI) THE IIONOURABLE SRI JUSTICE SUDDALA CHALAPATHI RAO W.p.No.27472 OF 2025 ORDER; (per Hon'bteiiturri"" p.Sam Koshy) Heard l\rlr.Tarun Chadha, leamed counsei lor the petilioner and Mr.Dominci Femandc-s, learned Senior Standing Counsel for CBIC, appearing for respondent Nos.2 to 4. perused the record.

2. The instant writ petition has been filed assailing the seizure memo, dated 08.09.2025, issued by the 4,h respcndent with the further request to forthwith release the imported consignment of the multifunctional devices (l02 units) under Bili of Entry No.4262183, dated 02.09.2C25.

3. Similar writ petitions of identical nature have already been considered by this Bench wherein by way of an conditional interim order this Bench had permitted the release of seized goods subject to the petitioner/importer fulfiliing certain conditions.

4. One such writ perition is W.p.No.124g9 of 2025; where the goods imported were seized by the Customs authorities and by virtue of the interim orrier of this I{rgh Court, t}re Customs authorities were ordered to release on the following conditions. For , i t I I I I 2 convenience, we reproduce paragraph Nos'26 & 27 of the order passed in the aforesaid rvrit petition hereinunder:

26. Thus, lbr all thc aforesaid reasons' it is ordered that let the respondent aulhoritics pass an order on the application filed by thc petitioners [br provisional release of the goods subj ect to the conditions that: a) 1'he petitioncr shall pay/deposit the enhanced duty amount' On receipt of such cnhanced duty amount paid by thc pctitioncrs' the goods in qucstion shall be released within a period of four (04) u'ceks thereafter. b) For- paymcnt of such dut1, quantiltcation shall bc Lnadc by the Customs forthrvith within one (01) week from the date of receipt of a copy of this ordcr' On receipt of such quantification' the payment shall be immediately made b1'the petitioners and on receipt ol the pa)ment in entircty' thc goods shall be teleased as indicatecl above at thc outer limit of four (04) wecks c) lt is n.radc clear: that this order rvill not stand in the way lbr Customs Department to go ahead with the furthcr proceedings including the adjudication in thc manner knor,m to law' d) It is lurthcr matlc clcar that so tar as thc condition of the petitioner that demmurage charges till date, tbr the goods be considered for waiver, in this regard, ifany application is filed by the pctitioners seeking such a waiver ol demmurage charges' the same shall be considered and decided by the respondcnts objcctivelY.

27. in addition, the petitioners are also diiected to provide a bank guarantee rvorth 10 pcrcent of the total pricc of the goods imported b;- them- Further, it is also ordered that in the event if // -/ t I I I I I I ! i I I i i l I 3 the petitioners upon release of thc goods provisionally make and sell the supply to their customcrs, details of the customers that ol. relevant price and details of the respective transactions shall be maintained and made available to the respondent authorities iiom timc to time.

5. Pursuant to the said interim direction and Lpon the petitioner therein fulfilling the conditions stipulatecl by the High Court,, the seized goods were released to the petitioner. The said order of teleasing of the goods was subjected to challenge before the Hon'ble Supreme Court; where the Hon'ble Supreme Court in SLP.No.42808/24, datedli.Ol .2025, has refused to interfere with the order passed by this Bench.

6. However, as regards the proceedings before the adjudicating authority is concemed, the Hon,blc Supreme Couft pemitted the adjudicating authority to proceed and decide the same str.ictly in accordance with [aw. The petitioner is also held entitled for participation in the adjudicating proceedings.

7. Pursuant to the disposal of the SLp, this Court has disposed of all such writ petitions whereby the goods were released and the proceedings were pending before the a_djudicating authority. 4

8. Similar nature of facts are also there in the instant case also where the stage at this juncture is only the seizure memo and prayer is also oniy for an interim release of the seized goods g. In the factual matrix narratcd in the preceding paragraphs' we are of the considered opinion that the instant rvrit petition also therefore can be disposed ofat the admission stage itself. Reserving the right of the adjudicating authority to take appropriate decision in the proceedings after permitting the petitioner to represent before the adjudicating authority:

10. Thus, for all the aforesaid reasons, it is ordered that let the respondent authorities pass an order on the application filed by the petitioners for provisional release of the goods subject to the conditions that: a) The petitioner shall payldeposit the enhanced duty amount. On receipt of such enhanced duty amount paid by the petitioners, the goods in question shall be released within a period of four (04) weeks thereafter. b) For payment of such duty, quantification shall be made by the Customs forthwith within one (01) week from the date of receipt of a copy of this order. On receipt of such quantification, the payment Pndlt Ue t, 5 immediately made by the petitioners and on receipt of the payment in entirety, the goods shall be released as indicated above at the outer limit of four (04) weeks. c) It is made clear that this order will not stand in the way for Customs Deparlment to go ahead with the further proceedings including the adludication in the manner known to law. d) It is further made clear that so far as the condition of the petitioner that dernrnurage charges till date, for the goods be considered for waiver, in this regard, if any application is filed by the petitioners seeking such a waiver of demmurage charges, the same shall be considered and decided by the respondents objectively.

11. In addition, the petitioners are also directed to provide a bank guarantee worth 10 percent of the total price of the goods imported by them. Further, it is also ordered that in the event if the petitioners upon release ofthe goods provisionally makes and sell the supply to their customers, details of the customers that of relevant price and details of the respective transactions shall be maintained and made available to the respondent authorities from time to time. i 'I l \ \ l , I 6

12.Needlesstomentionthattheadjudicatingautholityinthe process of deciding the same would not be in any manner influenced b1'the order of conditional release ordered by this Couft' The authority' shatl decide the same considering the objections and contentions that rvould be raised on either side' Accordingly, this writ petition is allowed No order as to 13 COStS. Misccllaneous applications pending' if any' shalI stand closed. I I i i i l //TRUE coPY/' SD/- P.PONNA KRISHNA ASSISTANT REGISTRAR L ,EcrloN oFFlcER To 1 2 J 4 5 o 7 B PSK. PSK. The Secretary. Union of lndia, Ministry of Finance, Jeevan Deep Building' 3rd f ioor, Sansaa Uarg, New Delhi-1 10 00'l ' L.i.i c".iililIttionei' oi custJms (lmports), GST Bhavan' Basheerbagh' Hvderabad-500 004. '.il;;il-d;-;t"iitner of Customs, lCD, Thimmapur-509 325' Telangana' fi#;i"iJ"d;;iorcr.to.s (lCD-Thimmapur)' Hvderabad Customs Cohmissionerate, HYderabad. 5;;'CCi; SCI iAn0 u cHADHA, Advocate tgi!l-c1. . 5.# 6d iI 6'ei'tjiV Soitctfon ceueRAL-of-!N^D14 roPUCl 6;; 6d iJ EFi oorr/|rnrd iih'NinilD-t5, sL-ruroc st rbn cBic toPUCl Two CD CoPies b, CC TODAY HIGH COURT DATED:12 t0gl2025 ORDER WP.No.27 472 of 2025 -:,.-:.f..-L-::;. 1.. il- ;, l-., r-- _'.-'-. ;\\ SIP ?I[5 a I I I ! I 1 i t I I I i i i l l ALLOWING THE WRIT PETITION WITHOUT COSTS \