2017 (4) TMI 367 - HC - Customs

Seizure of vehicle with ginger - seized Ginger , being perishable item, has already been auctioned and the sale proceeds have been deposited in the appropriate account - provisional release of detained vehicle - Held that - there is no legal impediment in provisionally releasing a vehicle involved in the commission of an offence, pending adjudication of a confiscation proceeding, provided that the authorized officer or the Court, as the case may be, is reasonably assured that the vehicle shall be produced by the custodian as and when ordered or required if such situation arise - there is no bar for the vehicle to be released in interim custody of the petitioner if confiscation proceeding is pending. The power, however, to release the vehicle, in question, provisionally, can be exercised only by the Customs Officer - petition allowed - decided in favor of petitioner.

Summary

Issues:
1. Seizure of truck and ginger by customs authorities.
2. Petitioner seeking release of seized truck and ginger.
3. Perishable nature of seized ginger.
4. Custody of the truck with customs authorities.
5. Confiscation proceedings against the truck.
6. Lack of seizure list provided to petitioner.
7. Duty of customs officials regarding seized vehicles.
8. Provisional release of vehicle pending confiscation proceedings.
9. Authority to release vehicle provisionally.
10. Conditions for provisional release of the truck.

Analysis:
The petitioner, who owns a transport corporation, filed a writ application seeking the release of his truck and seized ginger from the Deputy Commissioner of Customs and the Superintendent of Customs. The respondent's counsel mentioned that the ginger, being perishable, had been auctioned, and the sale proceeds deposited. The truck remains in custody, and there was uncertainty regarding any confiscation proceedings against it. The petitioner was summoned without receiving a copy of the seizure list, raising procedural concerns.

The court highlighted the duty of customs officials to maintain seized vehicles in their original condition for potential return if confiscation fails. It was emphasized that provisional release of a vehicle pending confiscation proceedings is permissible, provided there is assurance of its availability when required. The power to provisionally release the vehicle lies with the Customs Officer.

Considering the lack of evidence suggesting non-production of the truck during confiscation proceedings, the court directed the provisional release of the truck to the petitioner. The release was subject to conditions such as furnishing necessary documents, undertaking not to transfer ownership, and ensuring availability of the vehicle as needed. The judgment concluded by allowing the writ petition and instructing the customs authorities to provisionally release the truck to the petitioner under specified conditions, thereby disposing of the application.