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Issues:
Challenge to Customs Authorities' order rejecting release of goods without bank guarantee, Financial difficulties preventing petitioners from furnishing 25% bank guarantee, Department's entitlement to impose conditions for provisional release, Modification of impugned order to release goods provisionally with 10% bank guarantee and bond for full value. Analysis: The petitioners challenged the order by Customs Authorities rejecting the release of goods without a bank guarantee. The petitioners had already paid the differential duty and even the estimated duty assessed by the department. However, financial difficulties prevented them from furnishing a 25% bank guarantee. The respondents argued that the department could impose conditions for provisional release. The court noted that the main issue was pending and dealing with it might prejudice either side. Considering the circumstances and the changing opinion of the department regarding the value of imported goods, the court modified the order. Instead of 25%, the petitioners were directed to furnish a 10% bank guarantee and a bond for the full value of the goods for provisional release. The court emphasized that since the main issue was pending, it was not appropriate to delve into the merits of the case to avoid prejudicing either party. The decision to modify the order was based on the fact that the goods were initially allowed to be released on payment of duty, and the department's temporary change in opinion regarding the value of the goods. The court directed the respondents to release the goods provisionally upon each petitioner furnishing a 10% bank guarantee and providing a bond for the full value of the goods to the concerned department. Both petitions were disposed of accordingly, with no order as to costs. This judgment highlights the court's careful consideration of the circumstances, balancing the interests of both parties while ensuring the provisional release of goods with modified conditions that take into account the financial difficulties faced by the petitioners.
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