Issue Before Court: Whether the High Court should intervene at an early stage to halt an ongoing investigation by the Directorate of Revenue Intelligence, and whether goods suspected to be prohibited or misdeclared can be released or re-exported during the investigation.
HC Ruling: The Hon’ble High Court dismissed the petition. The Court reiterated that writ courts normally do not interfere with investigations at a preliminary stage unless there is clear evidence of bad faith or lack of jurisdiction. In this case, the allegations involved possible under-valuation and non-compliance with regulatory requirements, which justified a detailed probe by the authorities.
The Court also noted that the directors had not fully cooperated with the summons issued during the investigation and observed that an inquiry cannot be conducted on the convenience of those being investigated. Since the goods were suspected to be prohibited and could be important evidence, the Court refused to order their release or allow re-export at this stage. The investigation was therefore allowed to continue in accordance with law.