The Delhi High Court has held that it is mandatory for the Customs Department to issue show cause notice (SCN) once the goods are detained.
The bench of Justice Prathiba M. Singh and Justice Rajneesh Kumar Gupta has observed that once the goods are detained, it is mandatory to issue a show cause notice and afford a hearing to the Petitioner. The time prescribed under Section 110 of the Customs Act, 1962, is a period of six months and subject to complying with the formalities, a further extension for a period of six months can be taken by the Department for issuing the show cause notice. Since no show cause notice has been issued till date, the detention is therefore impermissible.
The Petitioner is an Indian passport holder and a resident of the United Arab Emirates and was travelling from Dubai to India. Upon landing at the Indira Gandhi International Airport, New Delhi, he was intercepted by the Customs Department. The articles of the Petitioner are stated to have been seized by the Customs Department.
The detained goods i.e. the gold kada and gold chain are his personal effects and the iphone is also a used mobile phone. Hence, the same are liable to be released. It is further submitted on behalf of the Petitioner that no show cause notice has been issued with respect to the detention of his goods.
In terms of the Rule 2(vi) read with Rule 3 of the Baggage Rules, 2016 the Petitioner would be permitted clearance of articles, free of duty in his bona fide baggage, including used personal effects.
The court held that it is now settled that the used jewellery worn by the passenger would fall within the ambit of personal effects in terms of the Rules, which would be exempt from detention by the Customs Department. The one detained iPhone 6 pro is also permissible for daily necessity and use of the Petitioner.
The court quashed the detention of the Petitioner’s detained articles and directed the department to release the detained goods within four weeks, subject to verification and payment of full storage charges.
Case Details
Case Title: YOGESH ANAND Versus Customs Commissioner
Case No.: W.P.(C) 4503/2025
Date: 21st May, 2025
Counsel For Petitioner: Richa Kumari, Advocate
Counsel For Respondent: Atul Tripathi
Read More: CBEC Not Empowered To Extend Time Limit For Years: Patna High Court
