( 1 ) THIS is an appeal from an order discharging a Rule obtained by the appellants calling upon the respondents, the Collector of Customs and others to show cause why certain orders passed under various sections of the Sea Customs Act and the Foreign Exchange Regulation Act should not be quashed and why a written complaint made by the respondents, the Assistant Collector of Customs and Superintendent, Preventive Service under the Foreign Exchange Regulation Act and case No. 876 of 1959 pending in the Court of the Presidency Magistrate, Calcutta, should not be stayed.

( 2 ) THE appellants are Agarwal Trading Corporation, a firm registered under the Indian Partnership Act carrying on business at No. 191, Mahatma Gandhi Road, Calcutta and its partners Girdharilal Gupta and Puranmal Jain. The respondents are (1) the Assistant Collector of Customs and Superintendent, Preventive Service (2) and Additional Collector of Customs (3) Collector of Customs and (4) the Union of India.

( 3 ) THE case arose out of a detection of Rs. 51,000/- in Indian Currency Notes concealed in specially made cavities on the battens nailed to the inner sides of a wooden case booked for dispa