Union Of India & Ors vs M/S Green Alloys P.Ltd

The Supreme Court held that the Punjab and Haryana High Court's order allowing the release of seized goods without cash security or bank guarantee was erroneous. The Court emphasized that under Rule 15 of the Cenvat Credit Rules, 2004, goods can be confiscated if there is evasion of duty, and thus, the respondent must furnish cash security or bank guarantee for 25% of the goods' value. The appeal was allowed to this extent, correcting the High Court's approach in adjudicating the merits prematurely.