SUSHIL KUMAR PORWAL AND ORS. versus VIPIN MANEKLAL AND ORS.

SUSHIL KUMAR PORWAL AND ORS. versus VIPIN MANEKLAL AND ORS.

The proviso to section 71(1) of the Gold Control Act, 1968 applies to primary gold, meaning primary gold cannot be confiscated if possession was without the knowledge or connivance of the owners; however, after release, the owner must dispose of the primary gold or convert it into ornaments as required by law.

Parties
Appellants: Sushil Kumar Porwal and others; Respondents: Vipin Maneklal and others
Jurisdiction
India
Judgment Date
27 August 1987
Procedural Posture
Civil Appeal / Supreme Court Appeal by Special Leave From Division Bench Judgment of Delhi High Court
Outcome
Appeal allowed; order of Division Bench set aside; order of Single Judge modified
Legal Topics
Gold Control, Confiscation, Interpretation of Statutes
Taxation Commercial Law Gold Control Confiscation Interpretation of Statutes

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Legal principles 2 Authorities cited 4 Party arguments 2 Amounts and remedies 6
Sign in to unlock

Parties

Sushil Kumar Porwal and others

Appellants

Vipin Maneklal and others

Respondents

Procedural Posture

Civil Appeal / Supreme Court Appeal by Special Leave From Division Bench Judgment of Delhi High Court

Legal Issues

  1. 1 Whether proviso to section 71(1) of the Gold Control Act, 1968 applies to primary gold
  2. 2 Whether confiscation of primary gold is mandatory under section 8(1) of the Gold Control Act

Ratio Decidendi

The proviso to section 71(1) of the Gold Control Act, 1968 applies to primary gold, meaning primary gold cannot be confiscated if possession was without the knowledge or connivance of the owners; however, after release, the owner must dispose of the primary gold or convert it into ornaments as required by law.

Court Disposition

Appeal allowed; order of Division Bench set aside; order of Single Judge modified

Orders

  • Seized primary gold to be released in favour of appellants
  • Appellants must sell the gold to a licensed dealer or deliver possession to a licensed dealer or certified goldsmith as specified by the Administrator, immediately upon release