Delhi HC Rules Seizure of Gold Jewellery and Used iPhone from UAE Resident Qualify as Personal Effects, Directs Their Release [Read Order]

The Delhi High Court, while hearing a plea by UAE resident Yogesh Anand, held that the seizure of his gold jewellery and used iPhone brought from Dubai qualified as personal effects and directed their release.

Yogesh Anand, petitioner-assessee, UAE resident, arrived from Dubai to India on 28th September 2024 and was intercepted by Customs at Indira Gandhi International Airport, New Delhi. The officers seized a yellow metal kada and chain, both appearing to be gold, along with an iPhone 16 Pro (256 GB). He submitted that the gold items were his personal belongings and the iPhone was a used device. He also stated that no show cause notice had been issued regarding the seizure.

The Court examined the matter and noted that the petitioner’s gold jewellery and iPhone 16 Pro were absolutely confiscated under the order dated May 16, 2025, with redemption allowed only for the iPhone.

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After reviewing the documents, including photographs showing the petitioner wearing the jewellery, the Court held that the items appeared to be used personal effects. Referring to Rule 2(vi) read with Rule 3 of the Baggage Rules, 2016, the Court noted that used personal effects carried by a passenger in bona fide baggage are exempt from customs duty. It clarified that while jewellery is generally excluded from personal effects, courts have consistently distinguished between “jewellery” and “personal jewellery” used by a passenger.

The bench relied on the Supreme Court's ruling in Pushpa Lekhumal Tolani and recent Delhi High Court judgments (Saba Simran and Makhinder Chopra), which confirmed that used personal jewellery is not liable for duty or seizure under the Rules.

It also noted that no show cause notice had been issued to the petitioner, which is mandatory under Section 110 of the Customs Act, 1962. Since the prescribed six-month period had passed with no such notice issued, the continued detention of the goods was held to be unlawful.

The division bench of Justice Prathiba M.Singh and Justice Rajneesh Kumar Gupta set aside the detention and directed the Customs Department to release the items within four weeks after verification and payment of storage charges. The petitioner was allowed to collect the items personally or through an authorised representative.

In short,the petition is disposed of.

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