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Delhi High Court Raps Customs Dept. for Delay in Clearing Goods, Says Action Taken Only After Writ Petition

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The Delhi High Court has raped the customs department for delay in clearing goods, says action taken only after writ petition.

“It becomes clear to the Court that the Customs Department is taking steps only after filing of the present writ petition. The delay in this manner would not be permissible as consignments of the Petitioner and other similarly placed persons are held up, when expedited steps are not taken for clearing of goods,” the bench of Justice Prathiba M. Singh and Justice Rajneesh Kumar Gupta stated.

The Petitioner, Backbone Overseas filed the writ petition seeking the direction for the Customs Department to pass an order for unconditional and provisional release of the goods entered for export.

The case of the Petitioner is that it had filed a Postal Bill of Export (PBE) for the purpose of export of ladies PVC slippers. 

The total value as per the PBE is Rs. 9,29,145.6. The said consignment was put on hold by the Customs Department on 13th January, 2025, however, no reasons were given and no seizure memo was even drawn until yesterday i.e. 25th March 2025.

The Petitioner submitted that despite repeated letters to the Commissioner of Customs, requesting for release of the goods and seeking reasons for detention, no response has been received by the Petitioner.

The only response, which was received by the Petitioner was on 20th January, 2025. In the response, the Office of the Assistant of Customs Commissioner Foreign Post Office, Kotla Road, New Delhi stated that the matter has been referred to Special Intelligence and Investigation Branch (SIIB), ACC Export, New Customs House, Near IGI Airport, New Delhi.

The Petitioner submitted that in terms of Circular No. 30/2013 dated 05th August, 2013, it has been repeatedly emphasised by the Central Board of Excise and Custom (CBIC) that wrongful detention of export goods is not advisable and in fact continued detention of export goods in excess of three days must be brought to the notice of the Commissioner of Customs.

The Petitioner submitted that in this matter, despite repeated letters to the office of the Commissioner of Customs, no response has been received, hence, he has filed the present writ petition seeking release of the goods.

The department contended that there is an apprehension that the PVC slippers are grossly overvalued with an intention to claim duty drawbacks in an irregular and unlawful manner.

The court directed the customs department to take a decision in the matter and provisionally release the goods, subject to any reasonable conditions that it deems appropriate on facts within a period of seven days.

The court directed the Petitioner to appear before the Customs Department on 27th March, 2025, i.e. tomorrow along with all the requisite documents as has been sought in the notice dated 25th March 2025.

Case Details

Case Title: Backbone Overseas Versus Assistant Commissioner Of Customs, Foreign Post Office

Case No.:  W.P.(C) 3711/2025 & CM APPLs. 17331-32/2025

Date: 26th March, 2025

Counsel For Petitioner: Chinmaya Seth, A.K. Seth and Palak Mathur

Counsel For Respondent: Jatin Singh

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Mariya Paliwala
Mariya Paliwalahttps://www.jurishour.in/
Mariya is the Senior Editor at Juris Hour. She has 7+ years of experience on covering tax litigation stories from the Supreme Court, High Courts and various tribunals including CESTAT, ITAT, NCLAT, NCLT, etc. Mariya graduated from MLSU Law College, Udaipur (Raj.) with B.A.LL.B. and also holds an LL.M. She started her career as a freelance tax reporter in the leading online legal news companies.

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