REKHABEN VIRENDRA KAPADIA vs STATE OF GUJARAT & ORS.

The Supreme Court held that the detention order under Section 3(1) of the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974, was invalid due to a lack of reasonable nexus between the alleged prejudicial activities and the purpose of detention. The Court found that the activities cited occurred in 1973 and 1974, with no new incidents after the appellant's release in December 1974, leading to the conclusion that the detaining authority's satisfaction was mechanical and lacked genuine consideration. Consequently, the appeal was allowed, and the detention order was quashed.