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2022 (6) TMI 786 - HC - Customs


Issues Involved:
1. Return of seized gold.
2. Compensation for suffering and agony due to negligence.
3. Costs of the petition.
4. Delay and laches in filing the petition.

Issue-wise Detailed Analysis:

1. Return of Seized Gold:
The petitioner sought the return of gold weighing 156.350 grams of 24 karats and 13.900 grams of 22 karats, which was seized on 22.10.1981 and subsequently confiscated by the Superintendent (GOID / Customs), Central Excise, Headquarters, Indore. The order dated 22.11.1983 allowed the petitioner to redeem the gold by paying a fine of Rs. 6,000/-. However, the petitioner claimed that despite applying for redemption, the gold was not returned due to the respondents' assertion that an appeal was pending. The court found no evidence of any appeal filed against the order dated 22.11.1983 and noted that the petitioner failed to act vigilantly to verify the appeal status. The court emphasized the principle that "delay defeats equity," citing the significant increase in gold prices over time and suggesting that the petitioner aimed to take advantage of this delay.

2. Compensation for Suffering and Agony:
The petitioner requested compensation of Rs. 2,00,000/- for suffering and agony caused by the respondents' negligence. The court did not find merit in this claim, primarily due to the petitioner's failure to act diligently and the prolonged delay in seeking relief. The court referenced several Supreme Court judgments, including Karnataka Power Corpon. Ltd. Vs. K. Thangappan, which emphasized that delay or laches could lead to the denial of discretionary relief under Article 226 of the Constitution.

3. Costs of the Petition:
The petitioner also sought the costs of the petition. However, the court dismissed the petition due to the inordinate delay and lack of satisfactory explanation for the same. The court reiterated that the doctrine of laches is not arbitrary but is based on principles of equity, considering the length of delay and the nature of acts done during the interval.

4. Delay and Laches in Filing the Petition:
The court extensively discussed the issue of delay and laches, citing numerous Supreme Court decisions. It highlighted that delay or laches is a critical factor when exercising discretionary powers under Article 226. The court noted that even if a fundamental right is involved, the matter remains within the court's discretion, which must be exercised judicially and reasonably. The court referenced cases such as Shiv Dass Vs. Union of India and State of M.P. v. Nandlal Jaiswal, which underscored that unexplained delay and the creation of third-party rights are significant factors in deciding whether to exercise writ jurisdiction. The court concluded that the petitioner's claim, filed after 39 years, was too stale to merit redress.

Conclusion:
The court found no justification for interference after 41 years of the gold seizure and 39 years of the order dated 22.11.1983. Consequently, the petition was dismissed.

 

 

 

 

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