UNION OF INDIA vs M/S GREEN ALLOYS P.LTD.

The Supreme Court held that the Punjab and Haryana High Court erred in directing the release of seized goods without requiring cash security or bank guarantee, as per Rule 15 of the Cenvat Credit Rules, 2004, which allows for confiscation of goods under certain conditions. The Court clarified that the respondent must furnish cash security or bank guarantee for 25% of the goods' value for their release. The appeal was allowed, modifying the High Court's order accordingly.