The issuance of show cause notices regarding seized goods must adhere to the limitation period under the Customs Act, and proper procedures must be followed for disposal.

ORDER :

1. This hearing has been done through hybrid mode.

2. The present writ petitions have been filed by Petitioners under Article 226 of Constitution of India inter alia seeking release of goods seized vide a detention receipt no.15066 in W.P. (C) 1586/2025 and detention receipt no. 15067 in W.P. (C) 1823/20254 dated 20^th June, 2024.

3. The case of the Petitioners is that they were travelling from Dubai to Delhi on 20^th June, 2024. The Petitioners were intercepted at IGI Airport, New Delhi after crossing the green channel. The scanning of the Petitioner’s baggage did not reveal any objectionable material, however, the jewellery worn by the Petitioners was detained. A show cause notice was issued on 13^th December, 2024 clearly specifying the retrieval of the gold items.

4. The case of the Petitioners is that the said show cause notices are belated and beyond the permissible period of limitation under Section 110(2) of the Customs Act, 1962.

5. In these matters, there are several facts which have been brought to the knowledge of the Court. Firstly, the date of detention of the items being one gold bangle, one gold chain and one gold ring weighing about 288 gms in W.P. (C) 1586/2025 valuing approximately Rs.18 lakhs and one gold bangle and one gold chain weighing about 276 gms valuing approximately Rs. 17 lakhs in W.P. (C) 1823/2025 is 20^th June, 2024.

6. The Show Cause Notices were issued for the first time on 13^th December, 2024. In the Show Cause Notices, it has been recorded that the goods have already been assessed for the purpose of disposal on 22^nd August, 2024. The Status Report which has been filed on 19^th February, 2025 is completely sketchy to say the least.

7. There is no recording of the fact as to whether any intimation was given to the Petitioners before the gold was put up for disposal. The ld. Counsel and the officials concerned are not aware if gold has been disposed of or not. The Show Cause Notices do not clearly state as to whether the goods have been disposed of or not.

8. The Customs shall accordingly file a proper counter affidavit in these matters responding to all the contentions of the Petitioners, in the petitions, and also state as to whether:

i) Whether the gold has been disposed of;

ii) Any intimation was given prior to disposal of gold;

iii) If disposed, what is the amount recovered from the disposed of the gold;

iv) Whether the gold items should be permitted to be disposed of prior to the issuance of Show Cause Notice.

9. The Counter affidavit shall be filed within a period of two weeks. Rejoinder be filed within two weeks, thereafter.

10. List on 19^th May, 2025.