The Meghalaya High Court directed the customs department to sanction refund while stating that the seized goods can’t be destroyed during pre-trial stage.

The court noted that the only issue to be decided is the amount of refund, the petitioner would be entitled to in the facts and circumstances of the case. The issue on an earlier occasion had been deliberated upon by the Court and by order had directed the DSGI to obtain instructions on the amount that would be acceptable to the respondents.

The directed the department to refund the amount of Rs. 60 Lakhs to the writ petitioner on sufficient proof of identity being provided, within a period of 8(eight) weeks from the date this order is presented before the respondent No. 2, and if the respondent No. 2, fails to comply, interest on the expiry of the said 8 (eight) weeks shall be payable on the refund amount at the rate of 12% per annum.  

Facts 

The only question to be decided in the writ petition was with regard to the quantum of refund, that the respondents are liable to afford the writ petitioner. 

The view of the fact that, the order of the Tribunal, wherein it was found that the goods were neither imported nor proved to be smuggled, though assailed before the Division Bench of the Court, and ultimately before the Supreme Court, the case of the respondents was dismissed.

DSGI submitted that the writ petitioner themselves in the said proceedings had prayed for reduction of price of the damaged betel nuts at Rs.96 per kilo, which however, were not released provisionally. 

He submitted that if any refund is to be made to the writ petitioner, the condition of the goods which is stated to be not fit for human consumption, should be taken into account.

N. Dasgupta, counsel for the petitioner submitted that the same is not up for consideration any longer, in view of the findings of the Tribunal, which had been upheld both by the Division Bench of the Court, as also the Supreme Court, and at the most, the refund should be at the rate of the value at the time of seizure and as recorded in the Tribunal order, at Rs.88 Lakhs.  

Case Information

Case Name: Smti. Laltanpuii Vs. The Union of India & Anr.   

Citation: WP(C) No. 192 of 2023

Jurisdiction: Meghalaya High Court 

Judges: Justice H. S. Thangkhiew

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