RAJESH ARORA Vs. COLLECTOR OF CUSTOMS

JUDGEMENT

(1.) The petitioner entered into an agreement dated 30/10/1992 for purchase of a car manufactured abroad with one Rajan Sabharwal, a person of Indian origin. Rajan Sabharwal was settled in Australia for a long period and returned to India on 11/8/1992 with the intention of permanently settling down in this country. The consideration for the car had already been paid abroad. The car was cleared by the customs authorities at New Delhi after payment of the customs duty on 5th June, 1993. The petitioner had obtained the delivery of the car in view of his agreement with Rajan Sabharwal.

(2.) According to the petitioner he is a dealer in imported cars and there being no restrictions under the rules regarding further sale of the car in question, he approached one S.P.Bagla, a dealer in purchase and sale of imported cars for arranging its further sale. The car had been taken to the premises of S.P.Bagla for this purpose. As ill-luck would have it there was a raid on 11/6/1993 by the Enforcement Directorate at the premises of Bagla and the petitioner's car was also caught in the net. According to the petitioner since then he has been denied possession of the car. The car has been all along in the control and domain of the respondents. The present writ petition has been filed for quashing the impugned action on the part of the respondents in detaining the petitioner's said car and for the release of the car. The petitioner further claims exemplary costs in view of the fact that he has been deprived of the use of the car for such a long period on account of the illegal acts of respondents and the deterioration of the car in the process on account of its remaining idle and in disuse for such a long time.

(3.) According to the petitioner the policy at the relevant time with regard to import of foreign made cars was as under:-