Delhi HC Allows Time-Barred Appeal Against Customs' Confiscation Of Gold, Says Traveller Cannot Be Left Remediless Due To Wrong Legal Advice
The Delhi High Court recently allowed an air traveller to prefer a time-barred appeal against confiscation of gold by the Customs Department, upon his arrival from Thailand.In doing so, a division bench of Justices Prathiba M. Singh and Shail Jain said, “the Petitioner cannot be rendered completely remediless in this matter as he may have proceeded on the legal advice.”The Petitioner...
The Delhi High Court recently allowed an air traveller to prefer a time-barred appeal against confiscation of gold by the Customs Department, upon his arrival from Thailand.
In doing so, a division bench of Justices Prathiba M. Singh and Shail Jain said, “the Petitioner cannot be rendered completely remediless in this matter as he may have proceeded on the legal advice.”
The Petitioner had claimed that he was wrongly advised by the Customs Department that there is no remedy available, as absolute confiscation of gold has been directed.
Briefly put, Petitioner challenged the continued detention of his gold chain since July 2023. He alleged that the Department got a pre-printed waiver of the Show Cause Notice and personal hearing signed from him. Later, absolute confiscation of the gold chain was directed and penalty of Rs.60,000/- was imposed.
The Department on the other hand submitted that the confiscation order has been with the Petitioner continuously since September, 2023 and under such circumstances, the order has attained finality and he cannot be allowed to challenge it belatedly.
Significant to note that as per Section 128 of the Customs Act 1962, an appeal must be filed within 60 days of the date of communication of the decision, with a provision to condone a further period of up to 30 days if sufficient cause for the delay is shown.
The High Court however, noting that the Petitioner may have proceeded on an erroneous legal advice, permitted the Petitioner to file an appeal by 10th January 2026.
It also directed the authorities to ensure compliance with Mr. Makhinder Chopra v. Commissioner of Customs New Delhi (2025) where it has held that principles of natural justice have to be followed by the Customs Department before detention of the goods and an undertaking in a standard form as relied upon by the Customs Department waiving the issuance of show cause notice and personal hearing would not satisfy the requirements of Section 124 of the Customs Act, 1962.
Appearance: Ms. Richa Kumari, Adv. for Petitioner; Mr. Vishal Chadha, SSC with Mr. Chandan Kumar, Adv. for Respondent
Case title: Tarun Arora v. Commissioner Of Customs
Citation: 2025 LiveLaw (Del) 1589
Case no.: W.P.(C) 16724/2025