Customs Dept must distinguish ‘Jewellery’ & ‘Personal ‘Jewellery’ while Considering Seizure: Delhi HC Orders Release of Gold on Condition of Re-Export [Read Order]

The Delhi High Court has ruled that the customs department must distinguish ‘Jewellery’ and ‘Personal jewellery’ while considering the seizure of items for being in violation of the Baggage Rules, 2016. The court ordered the release of 85 gms on conditions.

The writ petition was filed by Govind Vennankot Chandrasekaran, an Indian passport holder residing in the United Arab Emirates (UAE), seeking to set aside the Order-in-Original dated November 7, 2024, which confiscated his personal ornaments and permitted redemption only on payment of ₹70,000 as fine. Additionally, a penalty of ₹53,000 was imposed, and the redemption was allowed only within 120 days under Section 125(3) of the Customs Act, 1962.

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According to the petitioner, he travelled to India with his family on April 9, 2024, to attend a marriage in Kerala. While crossing the Green Channel at the airport, he was stopped by Customs officials, and his personal gold ornaments, which he claimed were regularly worn and carried for use at the wedding, were detained. He further asserted that no show cause notice or personal hearing was granted prior to the issuance of the impugned order and that the jewellery held sentimental value for him.

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The Court observed that prima facie, tourists and travellers like the petitioner ought not to be subjected to harassment by Customs officials, especially regarding personal jewellery and personal effects. Referring to the precedent set in Saba Simran v. Union of India & Ors., the Court reiterated that bona fide personal jewellery carried by tourists falls within the definition of “personal effects” under Rule 2(vi) of the Baggage Rules, 2016.

The bench of Justice Prathiba M. Singh and Justice Rajneesh Kumar Gupta held that the Customs Department must make a clear distinction between jewellery and personal use jewellery when assessing violations under the Baggage Rules.

In this case, the petitioner had submitted the wedding invitation card as evidence, reinforcing the bona fide nature of carrying the ornaments, observed the court.

The counsel for the Customs Department submitted that since an Order-in-Original had already been passed, the petitioner should be directed to avail alternative legal remedies.

However, considering the negligible weight of gold just 85 grams and its personal use, the Court relied on the reasoning in a similar case (Gopika Vennankot Govind v. Union of India) and set aside the Order-in-Original.

The high court directed the Customs Department to release the detained gold ornaments to the petitioner subject to payment of applicable storage charges, with the condition that the items be re-exported. The release is to be effected within four weeks, either personally or through an authorised representative after due verification of credentials.

To Read the full text of the Order CLICK HERE

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