2018 (11) TMI 687 - HC - Customs

Release of seized vehicle with goods - power of police authorities and the local Government to either search, seize or confiscate the vehicle - Held that - It is a case wherein an unauthorized and illegal manner usurping the power which was not available to them either under the Customs Act of 1962 or under the Foreign Trade (Development and Regulation) Act, 1992 the vehicle in question along with its 11 cartons of chocolates and candies, 6 bundles of cloths and 6 bundles of shoes and slippers have been seized by the authorities. This is an illegal seizure and this cannot be permitted under law. The Respondent Nos. 3 and 6 directed to immediately release the vehicle in question along with all the goods to the petitioner within 24 hours of production of a certified copy of this order - petition disposed off.

Summary

Issues: Seeking release of a seized vehicle in connection with offenses under Customs Act, Foreign Trade Act, and Indian Penal Code.

Analysis:
1. The petitioner filed a writ petition seeking the release of a vehicle seized by the authorities in connection with various offenses under the Customs Act, Foreign Trade Act, and Indian Penal Code.

2. The authorities stated that the vehicle was seized at the Indo-Nepal border for transporting articles in violation of the Customs Act and Foreign Trade Act. They justified the seizure under the relevant statutory provisions.

3. The State Government and police authorities claimed that the vehicle crossed the border without valid documents, leading to the seizure. However, the Central Government authorities, responsible for enforcing Customs and Foreign Trade laws, denied any knowledge of the case or seizure.

4. The Customs Department representatives, upon court inquiry, expressed ignorance about the case, indicating a lack of involvement or awareness regarding the offense or seizure reported by the local authorities.

5. The court observed that only statutory authorities under the Customs Act have the power to take action in such cases. The local police and government lacked the legal authority to search, seize, or confiscate the vehicle.

6. The Collector, in response to court notices, directed the Superintendent of Police to hand over the materials to the Customs authorities, acknowledging the unauthorized seizure and transferring the case to the appropriate legal jurisdiction.

7. The court deemed the seizure of the vehicle and goods by unauthorized entities as illegal and directed the respondents to release the vehicle and goods to the petitioner within 24 hours. While refraining from imposing immediate costs, the court warned the authorities to be cautious in the future. The petitioner was granted the liberty to seek damages for any harm caused due to the illegal seizure.

8. Regarding the offense under Section 414 of the Indian Penal Code, the court found no evidence to support the charge of concealing stolen property. It concluded that the police authorities had taken illegal action without proper justification for seizing the vehicle.