2024 (1) TMI 1173 - HC - Customs

Violation of principles of natural justice - Detention of goods purchased by the petitioner which was imported palmolein oil without passing any order - HELD THAT - On perusal of the facts stated in the memo of the petition, it appears that the petition is filed only on the basis of oral information given to the petitioner by the custodian of the goods M/s Deepak Estate Agency. The petitioner has not produced on record the letter dated 03.11.2023 received by M/s Deepak Estate Agency from the respondent authority to put on hold the consignment lying with it. It appears that the petition is filed only to avoid the compliance of the summons issued by the respondent authority to the directors of the petitioner company and to stall the investigation proceedings without disclosing the true and correct facts. In absence of the pleadings and the documents on record, the petition is not entertained and is accordingly dismissed.

Summary

Issues involved: Detention of goods by respondent Authority without passing any order u/s 110 of the Customs Act, 1962.

Summary:

Detention of Goods Without Order under Section 110 of the Customs Act, 1962:
The petitioner sought relief through a writ petition under Article 226 of the Constitution of India to release goods purchased from M/s. Parc Impex Solution Pvt. Ltd., Maharashtra. The petitioner had purchased 250 MTs of RBD Palmolein Oil and faced detention issues with the remaining 50 MTs. The petitioner had sold a portion of the purchased goods to various buyers, but due to certain circumstances, the delivery orders were not completed, leading to detention by the respondent Authority. Despite payment made to the seller, the petitioner faced obstacles in receiving the consignments. The respondent Authority detained the goods without passing any formal order, causing the petitioner to file the petition seeking relief.

Legal Analysis:
The court examined Section 110 of the Customs Act, 1962, which deals with the seizure of goods liable for confiscation. It was noted that the provision applies in cases of seizure of goods and provides guidelines for proper officers. Upon reviewing the facts presented in the petition, it was observed that the petition lacked essential documents and appeared to be an attempt to avoid compliance with summons issued by the respondent authority. The petitioner failed to provide crucial documentation, including the letter received by M/s. Deepak Estate Agency from the respondent authority regarding the detention of the consignment. Due to the absence of necessary pleadings and documents, the court dismissed the petition, emphasizing the importance of disclosing accurate information and complying with investigation proceedings.

Conclusion:
The petition was dismissed as it lacked essential documentation and seemed to be an effort to evade compliance with investigative procedures. The court highlighted the necessity of providing complete and accurate information in legal proceedings to ensure transparency and adherence to statutory requirements.