P.SANKARAN vs ASSTT.COLLECTOR OF CENTRAL EXCISE

The Supreme Court addressed the validity of the prosecution under Section 135(1)(b)(i) of the Customs Act, 1962, and Section 71 of the Gold Control Act, emphasizing the necessity of proper sanction for prosecution. The Court held that the sanction order issued by the Collector of Customs was invalid due to lack of evidence that the Collector had perused the relevant documents before granting sanction. Consequently, the Court set aside the High Court's conviction of the accused and remitted the matter for fresh consideration, establishing that proper procedure must be followed in sanctioning prosecutions under the Customs Act.