#Restricted Goods

CESTAT Chandigarh has ruled that Section 110A of the Customs Act entitles importers to provisional release of restricted goods even when classification is disputed, provided there is no allegation of concealment, fraud, or misdeclaration. This overturns blanket denials based on voided CBIC circulars and reinforces natural justice by requiring disclosure of test reports before denying release, impacting all importers of regulated goods like jewelry and electronics.

CESTAT Chennai has ruled that customs authorities cannot override the declared transaction value for imported used garments merely on suspicion of undervaluation. Any enhancement must be grounded in verifiable, contemporaneous comparable imports under Rule 5 - not speculative assumptions. This strengthens importers' rights under the Valuation Rules and curbs arbitrary valuation practices in the textile trade.