Delhi High Court rules that personal jewellery worn by returning passengers cannot be detained at the airport, clarifying legal confusion around customs, detention, and personal effects.
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NEW DELHI: The Delhi High Court recently directed the Customs Department to release gold jewellery detained from a woman returning from Riyadh, stating that the items qualify as personal effects.
This case has not only brought relief to the petitioner but also reopened the debate on the interpretation of the Baggage Rules, 2016, especially in relation to worn jewellery and gold purity.
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What is the Case?
The petitioner, an Indian citizen, visited her husband in Saudi Arabia and was wearing four 24-karat gold bangles (totaling 100 grams) when she returned to India on March 19, 2024. She did not declare the jewellery at customs, believing it to be part of her personal belongings.
However, customs officials detained the jewellery, citing that she had exceeded the permissible duty-free gold limit under Rule 5 of the Baggage Rules, 2016. The department also argued that the jewellery’s high purity (24K) made it ineligible as “personal effects.”
The woman challenged this action in court, arguing:
- The jewellery was not newly purchased but used and worn.
- She was not given a fair personal hearing.
- Waiver of the Show Cause Notice (SCN) was not voluntary or legally valid.
Delhi High Court’s Observation
A division bench of Justice Prathiba M. Singh and Justice Rajneesh Kumar Gupta ruled in favour of the petitioner.
The Delhi High Court held that jewellery worn by a returning passenger can be classified as personal effects, irrespective of its gold purity, and that categorising such jewellery as “prohibited goods” solely on the basis of its 24K purity is legally incorrect.
The Court further observed that the Customs Department’s action of absolutely confiscating the gold bangles without offering the petitioner an option to pay duty, redemption fine, or penalty was excessive.
Emphasising the importance of procedural fairness, the bench noted that a personal hearing is a legal right and cannot be casually or unilaterally waived, particularly when the waiver is contested.
Consequently, the Court set aside the confiscation order and directed the Customs Department to return the gold bangles within four weeks, subject to applicable warehousing charges from the date of detention.
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Gold Jewellery Rules Under Baggage Rules, 2016
Travellers often find themselves confused due to grey areas in the law, particularly when it comes to carrying gold jewellery into India. As per Rule 5 of the Baggage Rules, 2016, Indian citizens returning after a stay of over one year abroad are allowed to bring gold jewellery duty-free, up to 40 grams worth Rs 1 lakh for women, and up to 20 grams worth Rs 50,000 for men, but only if the jewellery is carried in baggage.
Importantly, this exemption does not automatically apply to gold worn on the body. Additionally, Rule 3 permits clearance of used personal effects, including items worn during travel, up to a value of Rs 50,000 for short-term travellers.
However, since the rules do not explicitly classify jewellery as personal effects, customs officials often rely on their discretion, leading to inconsistent enforcement and confusion for passengers.
If you’re flying into India, especially from Gulf countries or Southeast Asia, where gold jewellery is commonly worn or purchased, there are several key considerations to keep in mind. First, declare any excess jewellery if it exceeds the permissible limit, as unreported items, whether worn or packed, can be seized or attract penalties.
Second, gold jewellery of Indian origin that was taken abroad can generally be brought back duty-free, but only if it was properly declared at the time of departure.
Third, do not assume that worn jewellery is automatically exempt from declaration, as customs officials have broad discretion and enforcement practices can vary across airports.
Finally, it is crucial to keep receipts or documentation proving the origin or purchase of the jewellery, especially if it is newly acquired or of high purity, to avoid unnecessary legal complications.
