Supreme Court Directs Customs Authorities To Upgrade Lab Facilities For Proper Testing Of Disputed Articles On All Parameters

In a key decision, the Supreme Court today overturned the confiscation of imported goods labelled as "Base Oil SN 50," which customs authorities had classified as High-Speed Diesel, which only the State entities can import. The Court found that the Customs Department failed to provide conclusive evidence proving the goods were High-Speed Diesel, due to inadequate laboratory testing and conflicting expert opinions. The High Court came to the conclusion based on the incomplete test reports and noncommittal opinion of the expert Dr. Gobind Singh who in categorical terms had not stated that the imported goods are HSD. In light of the aforesaid, the Court gave the benefit of the doubt to the Appellants-Importers because the Respondent failed to prove that the confiscated goods were HSD and directed the respondents to upgrade their laboratories to ensure comprehensive testing complying with all test parameters under IS standards.