Judgment

WANCHOO, J. : This is appeal from the order of the Foreign Exchange Regulation Appellate Board and arise in the following circumstances :

2. Appellant No. 1 went to Europe and the United States of America in connection with business, and his wife, appellant No. 2. accompanied him. The first appellant is the Chairman of Sahu Jain Limited. They left India on June 30, 1958 and visited several countries in Europe including West Germany. Eventually they reached the United States of America on August 5, 1958. They left the United States on September 22, and arrived at Delhi on October 1, 1958. The first appellant had been allowed foreign exchange amounting to £337 (equal to Rs. 4500/-) and 1410 U. S. dollars (equal to Rs. 6,750/-). Further, Messrs Sahu Jain Limited had been informed that the exchange was sanctioned on condition that the visit was limited to a period of two months. The second appellant was not allowed any foreign exchange but her visit was sanctioned on the representation that a certain company in the United States would bear all the expenses of her trip to that country.

3. When the appellants returned to Delhi on the 1st of October the Customs authorities found tra