Customs Cannot Detain Personal Jewellery just because it is 24K Gold: Delhi HC orders Return of ₹6L Worth Gold Bangles to Umrah Returnee [Read Order]

The Delhi High Court recently chided the Customs Department, remarking that the customs authorities cannot detain personal jewellery solely on the ground that it is made of 24 carat gold, while ordering the release of gold bangles valued at over ₹6 lakh to an Umrah returnee.

The facts follow the petitioner, Gulista Khatoon’s arrival at the Indira Gandhi International Airport, New Delhi, on September 20, 2023, upon her return from performing Umrah in Mecca.

After she crossed the Green Channel, a search was conducted on her person as also her baggage and the detained jewellery, which she was wearing, following which the Customs Department seized two gold bangles weighing 117 grams owned by Khatoon. These bangles, appraised at ₹6,47,915.58, had been seized by the Customs citing that the ‘petitioner failed to declare the detained goods to the proper officer at the Red Channel as well to the Customs Officer at Green Channel who intercepted her and recovered the detained goods’.

Comprehensive Guide of Law and Procedure for Filing of Income Tax Appeals, Click Here

The Petitioner, represented by Dr. Ashutosh and Fatima, thus approached the Delhi High Court seeking the release of her two gold bangles weighing 117 grams in total. Her counsels argued that the jewellery in question was her personal effect and should not have been seized or detained relying on a previous judgment in Manan Karan Sharma v. Commissioner of Customs (2025).

Conversely, the respondent counsel Harpreet Singh, Jai Ahuja and Sanidhya Sharma, argued in favour of the seizure and subsequent confiscation stating that the ₹65,000 as penalty and ₹65,000 as redemption fine along with the applicable customs duty was entirely reasonable.

The bench of Justice Prathiba M. Singh and Justice Rajneesh Kumar Gupta at the outset noted that it is customary in India for women to wear basic jewellery such as bangles as personal effects and held that the Customs Department could not detain such jewellery simply because it was of 24 carat gold.

The High Court also was particularly critical of the department’s practice of obtaining standard pre-printed waivers of Show Cause Notice (SCN) and personal hearing, observing that such waivers do not satisfy the requirements of Section 124 of the Customs Act, 1962.

Comprehensive Guide of Law and Procedure for Filing of Income Tax Appeals, Click Here

Citing precedents including Amit Kumar v. Commissioner of Customs (2025) and Makhinder Chopra v. Commissioner of Customs (2025), the bench reaffirmed that the pre-printed SCNs did not constitute a valid SCN and thus rendered the detention and confiscation unlawful.

Referencing Rule 3 of the Baggage Rules, 2016, the Court noted that “personal effects” includes items of daily necessity and that such personal jewellery in use by a passenger is not to be excluded merely because of its caratage.

In light of the observations made, the Delhi High Court set aside both the Orders, directing that the detained gold bangles be released to the petitioner or her authorized representative within a period of two weeks. The High Court also directed that any warehousing charges incurred for the storage of the gold may be adjusted against the pre-deposit amount already paid during appeal.

Support our journalism by subscribing to Taxscan premium. Follow us on Telegram for quick updates