2017 (9) TMI 1622 - HC - Customs

Provisional release of detained goods - small brown irregular cut pieces of nuts - Held that - there will be a direction to the respondents to release the subject consignment by provisionally assessing the same within a period of one week from the date of receipt of a copy of this order. Since the goods have been detained at the instance of the DRI for investigation, in law, the petitioner should be entitled to the detention certificate for the relevant period - petition disposed off.

Summary

Issues:
- Petition seeking mandamus to release imported goods detained for investigation
- Request for provisional release pending investigation
- Certification of goods by Customs House Laboratory
- Recommendation for provisional assessment and release subject to conditions
- Direction to release consignment and issue detention certificate

Analysis:

The petitioner filed a writ petition seeking a mandamus to direct the respondents to release the goods imported via a specific Bill of Entry. The consignment, consisting of Betelnut, was detained for investigation at the behest of the Directorate of Revenue Intelligence (DRI). As the petitioner's request for provisional release was pending, they approached the court for relief.

During the pendency of the writ petition, samples of the goods were tested by the Customs House Laboratory. The laboratory report confirmed that the samples were indeed Betelnuts without any prohibited substances. Based on this report, the second respondent recommended further investigation but suggested provisional assessment and release of the goods due to their perishable nature, subject to conditions under the Customs Act.

In light of the laboratory report and the recommendation, the court directed the respondents to release the consignment by provisionally assessing it within a week. The petitioner was also entitled to a detention certificate for the period the goods were held for investigation. The first respondent was instructed to consider the petitioner's request for the detention certificate and demurrage waiver in accordance with the Handling of Cargo in Customs Area Regulation, 2009. The court disposed of the writ petition without costs and ordered compliance within a week from the date of the order.

This judgment highlights the court's role in ensuring the timely release of imported goods detained for investigation, balancing the need for further scrutiny with the importer's rights to provisional release and relevant certificates. The decision underscores the importance of following legal procedures and regulations in customs matters to facilitate trade while safeguarding against illicit activities.