Delhi HC Rejects Customs Plea To Enhance Penalty In Red Sandalwood Case

The Delhi High Court dismissed a Customs Department plea seeking enhancement of penalty against a freight forwarder implicated in the illegal export of red sandalwood. The Court observed that the freight forwarder’s role was limited to logistical handling without knowledge of the consignment’s contents. It held that imposing higher penalties without clear evidence of complicity would be disproportionate. The judgment reinforces proportionality in customs adjudication, ensuring that peripheral or secondary actors in export chains are not over-penalized. This sets an important precedent for freight and logistics players often caught in crossfire of export violations. The Court highlighted that penalty must be commensurate with culpability, thereby balancing enforcement of environmental export restrictions with fairness to ancillary service providers.