Customs Broker Licence Revoked Under Regulation 17(7): Madras HC directs to Approach CESTAT, Dismisses Writ Petition [Read Order]

In a recent ruling, the Madurai Bench of the Madras High Court dismissed a writ petition filed challenging the revocation of customs broker licence under Regulation 17(7) of the Customs Brokers Licensing Regulations, 2018.

The Court held that the petitioner had an alternative and effective remedy before the Customs, Excise, and Service Tax Appellate Tribunal (CESTAT), and hence, a writ under Article 226 of the Constitution was not maintainable.

The impugned order dated 13.05.2025 was passed by the Commissioner of Customs revoking the petitioner’s customs house agent licence on the grounds of regulatory violations. The petitioner contended that the order was arbitrary, illegal, and issued in violation of the principles of natural justice.

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However, Justice C. Saravanan observed that the Customs Act and the CBIC licensing regulations provide a specific statutory appellate mechanism, and it was open to the petitioner to challenge the revocation order before the CESTAT.

The court stated the principle of alternate remedy, and declined to exercise its writ jurisdiction. It recognized that the petitioner was already operating under an interim protection granted earlier in W.P.(MD) No. 24701 of 2024, and accordingly, granted a limited window of relief.

The petitioner has been allowed to continue operations for three months from the date of the order. Within this period, the petitioner may file an appeal before the CESTAT along with an application for interim relief. If such an appeal is filed within 30 days of receiving the court order, the Tribunal may consider and decide on the matter expeditiously.

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