Delhi High Court Quashes Customs Order
The Delhi Excessive Court docket has noticed that imposing safety of ₹10 crore for items value ₹1 crore is a particularly onerous choice.
The Court docket was contemplating a Writ Petition looking for issuance of path to the Customs Division to provisionally launch the Roasted Areca Nuts and quash the circumstances imposed.
The division bench of Justice Pratibha M. Singh and Justice Rajneesh Kumar Gupta noticed, “…..The products have been launched just for industrial use. The impugned order requires a private bond for greater than Rs. 4.10 crores together with a Financial institution Assure for a sum of over Rs. 5.81 crores i.e., the general safety demanded is nearly Rs. 10 crores. Even when the worth as acknowledged by the Division is considered, allowing for the worth of products itself, the circumstances for provisional launch are clearly onerous.”
The Petitioner was represented by Advocate Arjun Raghvendra whereas the Respondent was represented by Senior Standing Counsel Anurag Ojha.
Details of the Case
The Case of the Petitioner was that it had obtained an Advance Ruling from Customs Authority of Advance Ruling, that the products are to be labeled below Customs Tariff Heading 2008 particularly below CTI 2008 19 20- ‘Different roasted nuts & seed’ of Chapter 20 of the First Schedule. On this foundation, 5 containers of products i.e. Areca Nuts had been imported from Indonesia at ICD Patparganj and three payments of entry had been filed. The Petitioner had labeled the products by way of the CAAR Ruling.
The Customs Division had despatched the products for pattern testing to Central Revenues Management Laboratory the place some samples had been discovered match for consumption whereas others had been declared unfit. The re-test was additionally discovered with identical form of inconsistencies as the unique take a look at stories. When the Petitioner sought the discharge of the products, order impugned was handed.
Counsel for the Petitioner submitted that contemplating the worth of the products itself is ₹1 Crore, the circumstances imposed are extraordinarily onerous. However, Customs Division submitted that the worth of the products is as per the minimal import value, which is roughly ₹4.10 Crores, subsequently, the circumstances are usually not onerous.
Reasoning By Court docket
The Court docket concluded that imposing safety of ₹10 crore for items value ₹1 crore is a particularly onerous choice. Accordingly, it was directed that the Petitioner shall furnish a bond of ₹4,10,67,000/- together with a Financial institution Assure of ₹50,00,000/- to the involved authorities inside a interval of two weeks, topic to which the products shall be launched.
The Petition was accordingly disposed of.
Trigger Title: M/s. Shreehari Ananta Abroad Pvt. Ltd. vs. The Commissioner of Customs ICD Patparganj (2025:DHC:5194-DB)
Appearances:
Petitioner– Advocate Arjun Raghvendra, Advocate P. R. Abhiram
Respondent– Senior Standing Counsel Anurag Ojha, Advocate Dipak Raj, Advocate Shashank Kumar, Advocate Garima Kumar
