SHIPPING CORPN. OF INDIA LTD. vs C.L.JAIN WOOLLEN MILLS

The Supreme Court addressed the issue of whether a shipping corporation can retain goods under lien until demurrage charges are paid, despite a customs detention order. The Court held that the shipping corporation is entitled to retain the goods until the dues are settled, as per the terms of the contract and relevant provisions of the Customs Act, 1962, specifically Section 111(d) regarding confiscation and Section 112(a) concerning penalties. The appeal was decided in favor of the shipping corporation, affirming its right to charge demurrage and retain the goods until payment is made.