M/S Kutty Impex v. The Commissioner of Customs

ORDER The petitioner has filed the present Writ Petition seeking a direction to respondents 1 to 3 to provisional release 105 units of used Digital Multifunction Print, Copying and Scanning Machines, imported by the petitioner under bill of Entry No.2215702 dated 30.06.2026 covered by the Bill of Lading No. KMTCINC5371361 dated 21.05.2026 under Sec.110A of Customs Act.

¶2Learned counsel for the petitioner submitted that the issue involved in the present writ petition is no longer res integra and is squarely covered by the common order of this Court dated 10.07.2025 passed in W.P. Nos.29418 of 2024 etc., batch, wherein this Court directed consideration of the importer's request for provisional release of similar goods under Section 110A of the Customs Act.

¶3Per contra, the learned Junior Standing Counsel appearing for the respondents submitted that by amendment dated 10.03.2026 to the Notification dated 01.07.2021, an exemption has been provided in respect of Highly Specialized Equipment (HSE) satisfying the prescribed criteria, subject to a specific exemption issued by the Ministry of Electronics and Information Technology under paragraph 2 of the Gazette Notification dated 18.03.2021, as amended on 26.04.2023, provided that the equipment is manufactured or imported in quantities of less than 100 units per model per year. It was further submitted that the amendment came into force with effect from 15.06.2026. He further submitted that to consider the claim of the petitioner, the date of the bills of lading will be considered as provided under Section 15 of the Customs Act, 1962.

¶4I have considered the rival submissions and perused the materials placed on record.

¶5Admittedly, the Bill of Lading in the present case is dated 21.05.2026, which is prior to the date on which the amendment came into force, namely

15.06.2026. Unless a statutory notification expressly provides for retrospective operation, it can only operate prospectively. Therefore, the amendment relied upon by the respondents cannot govern imports covered by a Bill of Lading issued prior to its commencement. Consequently, the respondents cannot refuse to consider the petitioner's request for provisional release by placing reliance upon the said amendment.

¶6Apart from the above, the issue relating to provisional release of similar imported goods has already been considered by this Court in the common order dated 10.07.2025 passed in W.P. Nos.29418 of 2024 etc., batch. No distinguishing feature has been pointed out by the respondents warranting a different view.

¶7In view of the above, this writ petition is disposed of with the following directions:

(i) The respondents shall consider the petitioner's request for provisional release of the imported goods under Section 110A of the Customs Act, 1962, and pass appropriate orders, imposing such conditions as may be considered necessary in accordance with law, within a period of four (4) weeks from the date of receipt of a copy of this order.

(ii) Upon the petitioner complying with the conditions so imposed, the respondents shall provisionally release the goods within a period of two (2) weeks thereafter.

(iii) It is made clear that the provisional release of the goods shall be subject to the outcome of the adjudication proceedings under the Customs Act, 1962. The adjudicating authority shall decide the proceedings independently on their own merits and in accordance with law, uninfluenced by any observations made in this order.

¶8There shall be no order as to costs.

14.08.2026 (2/3) Index : Yes/No Speaking order : Yes/No dna

To

1.The Commissioner of Customs Chennai II, Import Commissionerate, Custom House, No.60 Rajaji Salai, Chennai-600 001.

2.The Addl. Commissioner of Customs (Gr-5) Chennai II, Import Commissionerate, Custom House, No. 60 Rajaji Salai, Chennai-600001.

3.The Dy. Commissioner of Customs, (Gr-5) Custom House, No.60 Rajaji Salai, Chennai-600001. HEMANT CHANDANGOUDAR.J., dna W.P.No.

27878 of 2026

(2/3) 1 4 .08.2026

IN THE HIGH COURT OF JUDICATURE AT MADRAS DATED: 14-08-2026 CORAM THE HONOURABLE MR.JUSTICE HEMANT CHANDANGOUDAR WP No.27878 of 2026 M/s Kutty Impex 43/83 T.T.K. Road, Alwarpet Chennai 600 004 Rep by its proprietor Mrs.Mekala Sadhasivam Petitioner(s) Vs. 1.The Commissioner of Customs Chennai II, Import Commissionerate, Custom House, No.60 Rajaji Salai, Chennai-600 001. 2.The Addl. Commissioner of Customs (Gr-5) Chennai II, Import Commissionerate, Custom House, No. 60 Rajaji Salai, Chennai-600001. 3.The Dy. Commissioner of Customs, (Gr-5) Custom House, No.60 Rajaji Salai, Chennai-600001. Respondent(s) PRAYER: This Writ Petition has been filed under Article 226 of the Constitution of India, to issue a Writ of Mandamus, directing respondents 1-3 herein to forthwith release the various models of Secondhand Highly Specialized Equipment namely used Digital Multifunction Print, Copying and Scanning Machines, numbering 105 units imported by the petitioner under bill of Entry No.2215702 dated 30.06.2026 covered by the Bill of Lading No. KMTCINC5371361 dated 21.05.2026 provisionally under Sec.110A of Customs Act. For Petitioner(s): Mr.N.Viswanathan For Respondent(s): Mr.G.Meganathan Junior Standing Counsel