(1.) has challenged the legality of the order made by the State Government under Section 3(l)(iii) of the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 ('the Act' for short), the following two questions of law arise for consideration:
(2.) Brief facts of the case, are these: On 9-1-1989 the Superintendent of Customs and Central Excise, Belgaum, who had information that the petitioner travelling in a bus plying from Bombay to Bangalore, was carrying smuggled gold, entered the bus when it was parked opposite to Hotel Hanuman at Belgaum. After interrogating the petitioner, who was sitting on seat No. 27 of the bus, he was taken to Hotel Hanuman. When a search was made of the person of the petitioner, ten primary gold pellets totally weighing 1166.600 gms. valued at Rs. 3,78,000-00, were found in the possession of the petitioner. The Superintendent, under the reasonable belief that gold was smuggled into India, seized the same. Thereafter, after collecting necessary information, the State Government made the impugned order of detention on 21-4-1989. Pursuant to the said order, the petitioner was detained on 21-9-1990. Questioning the legality of the said order, the petitioner has presented this writ petition.
(3.) The learned counsel urged the following two contentions: