( 1 ) THIS appeal is against a judgment and order dated November 20, 1970, by which the rule obtained by respondent No. 1 was made absolute by the trial court.

( 2 ) THE facts relevant for the purpose of the present appeal are as follows :

( 3 ) ONE Laxmipat Choraria was apprehended by the customs officials at the Palam Airport at Delhi upon his landing at the airport from an internal flight on January 13, 1967, with Rs. 3,60,000. The residence and the office premises of Choraria at Bombay were searched by the Bombay customs authorities on the same evening. As a result of the search Indian currency notes amounting to Rs. 8,700 were recovered from the residence of Laxmipat Choraria and Indian currency notes amounting to Rs. 34,074 were recovered from his office premises at Bombay. The customs authorities carried out the search under the provisions of Section 105 of the Customs Act, 1962, as the customs authorities reasonably believed that the moneys in the hands of Choraria represented the sale proceeds of smuggled goods. It appears that during the search the officers of the income-tax department were also present. On February 14, 1967, the income-tax authorities at Bomb