Authority: Calcutta High Court, Principal Bench
Order Date: 03 September 2026
Case Overview
- Petition: M/s. Vijay Trading Company vs Union of India & Ors.
- Goods: 34,650 kg of Assam Dried Areca Nuts seized on 30 December 2025, declared sub‑standard and unsafe for human consumption by FSSAI.
- Petition filed an application on 17 March 2026 seeking provisional release, arguing perishable nature and prejudice from prolonged seizure.
- Requested an undertaking that the goods be used only for industrial purposes and compliance with CBIC Circular dated 16 August 2017 (para 2.1 & 2.2) requiring a bond and bank guarantee.
- Respondent authorities opposed, citing pending adjudication, revenue prejudice, and that any release must be under the circular terms with sale in presence of authorities.
Final Outcome
- Court found a prima facie case for provisional release due to the perishable nature of the goods and delay in adjudication.
- Directed the petitioner to execute a bond as per para 2.1 of the 16‑Aug‑2017 CBIC circular.
- Directed the petitioner to furnish a bank guarantee covering duty, differential duty, fine under Section 125, and penalties as per para 2.2.
- Petitioner must provide an undertaking that the seized goods will be used exclusively for industrial purposes and not for human consumption.
- Petitioner must submit purchaser details, identity proof, and the time and venue of the sale.
- The adjudicating authority is ordered to complete the adjudication within eight weeks, preferably on or before 31 October 2026, with no adjournments permitted.
- The writ petition is disposed; no affidavit is required and the allegations made in the petition are deemed not admitted.
Topics: Provisional Release, Customs Regulation, Food Safety