Gold Jewellery Seized by Customs from Senior Citizens Returning from USA: Delhi High Court Terms Detention Illegal

Gold Jewellery Seized by Customs from Senior Citizens Returning from USA: Delhi High Court Terms Detention Illegal
Gold Jewellery Seized by Customs from Senior Citizens
In a significant decision reaffirming the rights of international travelers, the Delhi High Court on May 21, 2025, ordered the release of gold jewellery detained by Customs at Indira Gandhi International Airport, New Delhi. The ruling came in the matter of Krishna Reddy Kundam & Anr. v. Commissioner of Customs (W.P. (C) 5753/2025), offering major relief to the elderly couple who were wrongfully subjected to seizure of personal ornaments.
Case Background:
The petitioners, a senior citizen couple from Andhra Pradesh, returned to India from the United States after visiting their daughter. Upon arrival, Customs officials detained a pair of traditional gold kadas weighing 99 grams each, despite the jewellery being worn and evidently used.
The Petitioners contended that the kadas were personal effects brought back after their daughter declined to accept them as a gift. Despite this, the Customs Department seized the jewellery and had the Petitioners sign a pre-drafted waiver form, effectively denying them a formal Show Cause Notice under Section 124 of the Customs Act, 1962.
Also Read: Gold at Customs: Delhi High Court Orders Major Reforms in Seizure & Detention of Passenger Goods
Court’s Findings:
The Hon’ble Bench comprising Justice Prathiba M. Singh and Justice Rajneesh Kumar Gupta emphatically held:
- Used gold jewellery worn by a passenger qualifies as “personal effects” and is not liable for seizure under the Baggage Rules, 2016.
- Customs officials must distinguish between “jewellery” and “personal jewellery”.
- The mandatory issuance of a Show Cause Notice within 6 months (extendable to 12 months) was ignored, making the continued detention illegal.
- A pre-printed waiver form does not satisfy the requirement of natural justice as stipulated under Section 124.
Citing previous landmark rulings including Pushpa Lekhumal Tolani (SC), Saba Simran v. UOI (Delhi HC), and Makhinder Chopra v. Commissioner of Customs (Delhi HC), the Court reaffirmed that used personal jewellery brought in good faith cannot be confiscated arbitrarily.
Impact of the Judgment:
This decision sets a clear precedent against arbitrary seizures by Customs authorities and underscores the importance of following due process, especially in cases involving elderly passengers and bona fide personal effects.
What This Means for Travelers:
If you or your loved ones are carrying personal jewellery while traveling, know your rights under the Baggage Rules 2016. This case ensures that legitimate personal use items are protected, and Customs authorities must follow due process before any confiscation.
Cause Title: Krishna Reddy Kundam & Anr. v. Commissioner of Customs (Neutral Citation: 2025:DHC:4374-DB)
Petitioner: Legum Attorney Team:- Advocates Priyanshu Upadhyay, Ajay Singh, Ashish Panday, Akshat Raghuwanshi, Pushpank Pandey
Respondent: SSC Harpreet Singh, Advocates Suhani Mathur, Jai Ahuja