Failure To Carry Out Physical Verification Of Veracity Of Exporter Alone Is No Basis To

The Delhi High Court ruled that the Customs Department must physically verify the veracity of an exporter before suspending a Custom Broker's license. The case involved Custom Broker Kunal Pahuja, whose license was suspended without proper verification of his client's address. The court emphasized that the suspension power is to be exercised sparingly and with caution. It stressed the need for a preliminary inquiry before taking such severe actions, ensuring that natural justice principles are adhered to. The court noted that procedural fairness is paramount and that decisions impacting livelihoods should not be taken arbitrarily. As a result, the court quashed the suspension order, directing the authorities to follow due process.