885 gm Gold Held Despite Redemption Relief due to Pending Appeal of Customs Dept: Delhi HC Directs Commissioner (Appeals) to Expedite Hearing [Read Order]

In a recent ruling, the Delhi High Court directed the Commissioner (Appeals) of the Customs Department to expedite the adjudication of an appeal filed against an Order-in-Original that had allowed redemption and re-export of confiscated gold.

The petitioner, Vijay Kumar Sand, challenged the continued detention of gold despite being granted conditional relief through the said order dated 28th February 2024.

The Order-in-Original had allowed the petitioner to redeem 885 grams of confiscated gold valued at approximately ₹46.56 lakh on payment of a redemption fine of ₹5 lakh under Section 125 of the Customs Act, 1962.

Additionally, a penalty of ₹4.5 lakh was imposed for alleged omissions and violations under Sections 112(a), 112(b), and 114AA of the Act. The redemption was subject to legal and regulatory clearances, including acceptance of the valuation and identity of the seized goods, and was time-bound for 120 days.

However, the Customs Department appealed the order and failed to secure an early hearing, resulting in the continued detention of the gold. The Division Bench of Justices Prathiba M. Singh and Rajneesh Kumar Gupta, observing the delay noted that no further directions could be issued at this stage except to ensure a timely decision in the pending appeal.

Accordingly, the Court instructed the Commissioner (Appeals) to conclude the appeal proceedings within three months, following a personal hearing for the petitioner. The writ petition was disposed of with these directions.

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