Delhi High Court: Non-Declaration of Gold at Green Channel Not Automatically Smuggling

The Delhi High Court held that mere non-declaration of gold at the Green Channel does not automatically amount to smuggling, warranting absolute confiscation.

A Division Bench of Justices Nitin Wasudeo Sambre and Ajay Digpaul ruled that redemption upon payment of fine, penalty, and applicable duty can be appropriate where the lapse is not organised smuggling.

The Court dismissed Customs’ challenge to appellate orders allowing the release of 300 grams of gold under Section 125 of the Customs Act.

Upholding the exercise of discretion, the Court stressed proportionality and clarified that permitting redemption does not condone violation but calibrates consequences.

[The Commissioner Of Customs v. Ms. Shabnam Parveen]