RTI for Customs and CBIC: Seized Goods, Duty Demands, and Import Clearance Delays

Customs administration in India operates at the intersection of complex law, significant discretion, and enormous financial stakes. A consignment detained at a port or airport can cost an importer lakhs of rupees per day in demurrage, warehousing charges, and lost business. A seizure that goes unexplained for weeks puts capital permanently at risk. A Show Cause Notice received without a copy of the relied-upon documents prevents the noticee from mounting an effective defence. An IGST refund that should have been sanctioned months ago sits in an unexplained hold, tying up working capital for an exporter.

In each of these situations, the importer, exporter, or Customs Broker who bears the financial consequence is also the person least likely to receive adequate information from the Customs Department through ordinary administrative channels. Officers exercise discretion, communicate minimally, and are not obligated — in the normal course — to proactively share file notings, assessment reasons, or enforcement documentation with the trade.

The RTI Act changes this equation. The Central Board of Indirect Taxes and Customs (CBIC) and the Customs Commissionerates under it are Central Government public authorities under Section 2(h) of the RTI Act. Their officers are bound by the same obligations as any other CPIO. Second appeals go to the Central Information Commission (CIC).

This guide covers the major use cases and how to frame effective RTI questions for each.

Structure: CBIC and the Customs Commissionerates

CBIC (Central Board of Indirect Taxes and Customs) is the apex body under the Department of Revenue, Ministry of Finance. It formulates policy, issues circulars and instructions, and exercises oversight over the Customs field formations.

Customs Commissionerates are the field units — there is a Customs (Preventive) Commissionerate or Customs (Airport/Port/ICD) Commissionerate at each major customs location: Mumbai Air Cargo, Mumbai Port Trust, Delhi Air Customs, Chennai Customs, JNCH (Jawaharlal Nehru Custom House, Nhava Sheva), Kolkata, Hyderabad, Bengaluru, and dozens of ICDs (Inland Container Depots) across the country. Each Commissionerate has a designated CPIO (typically an Assistant/Deputy Commissioner or the Commissioner of Customs themselves, depending on the Commissionerate's size and internal delegation).

DRI (Directorate of Revenue Intelligence) is an independent investigation body under CBIC. It handles intelligence gathering and major evasion investigations. DRI has its own designated CPIO separate from the Commissionerates.

CESTAT (Customs, Excise and Service Tax Appellate Tribunal) is the adjudicatory forum for Customs disputes — not directly relevant to RTI filing, but relevant because documents obtained through RTI are used in CESTAT proceedings.

For RTI purposes: file at the Commissionerate level for matters relating to your specific consignment, Bill of Entry, or seizure. File at CBIC headquarters for policy-level information, circulars, and cross-country data. File at DRI for investigation-related information (subject to the Section 8 exemptions discussed below).

Use Case 1: Seized Goods — Panchnama, Seizure Grounds, and Current Status

When a consignment is detained or seized by Customs, the importer is entitled to know the legal basis, the officer who ordered the action, and what has been done with the goods. In practice, the seizure memo or Panchnama may not be proactively provided, or may be provided in an incomplete form.

"Please provide the following information regarding the detention/seizure of the consignment bearing Bill of Entry number X / Airway Bill/Bill of Lading number X / IGM (Import General Manifest) number X, imported by importer name and IEC number at port/airport name, arriving on approximately date:

(a) The reason for detention or seizure of the consignment, with reference to the specific section of the Customs Act, 1962 under which the action was taken.

(b) The name and designation of the officer who ordered the detention/seizure.

(c) Whether a Panchnama under Section 100/110 of the Customs Act was drawn at the time of seizure. A certified copy of the Panchnama.

(d) The current status of the seized goods — whether they are in Customs warehousing, have been released, have been confiscated (order passed), or have been auctioned.

(e) If the goods have been warehoused, the name of the Customs-approved warehouse where they are currently held and the period for which they have been warehoused.

(f) Whether a Show Cause Notice has been issued in relation to this seizure. If yes, the SCN reference number and the date of issue."

Why the Panchnama Matters

The Panchnama is the on-the-spot record drawn at the time of search or seizure. It documents what was found, who was present, the condition of the goods, and the grounds noted. If the Panchnama was not drawn (legally required under Section 100 read with Section 165 of the CrPC, as applied to Customs searches), or if it was drawn in a form that is materially incomplete, those are grounds to challenge the validity of the seizure. You cannot know whether the Panchnama was properly drawn unless you see it.

Use Case 2: Show Cause Notice — Certified Copies of Relied-Upon Documents

When Customs issues a Show Cause Notice (SCN) under Section 28 (for duty short-levied or not levied) or under Section 111/112 (for confiscation and personal penalty), the noticee is entitled to respond with a full defence. An effective defence requires access to all documents relied upon in the SCN. Officers sometimes issue SCNs without annexing the relied-upon documents, or annex only selected documents — forcing the noticee to respond blindly.

"Certified copy of the Show Cause Notice bearing SCN reference number X issued to importer/exporter/Customs Broker name and IEC/CB licence number on date, if not already in the possession of the applicant.

Certified copies of all documents relied upon in the above SCN, including: (a) the bills of entry/shipping bills referenced; (b) the test reports, if any, of the goods; (c) the valuation report or comparable goods data used in a re-valuation; (d) the intelligence report or investigation report on which the demand is premised; (e) any statement recorded under Section 108 of the Customs Act and relied upon in the SCN; (f) any expert opinion or classification ruling referred to in the SCN.

The customs tariff heading applied by the department to the goods and the basis for that classification.

The method of valuation applied under the Customs Valuation (Determination of Value of Imported Goods) Rules, 2007 and the comparable transaction value data used, if transaction value was rejected."

Anticipated objection under Section 8(1)(h): CPIOs in Customs sometimes invoke Section 8(1)(h) — information that would impede prosecution or investigation — to refuse copies of SCNs and relied-upon documents. This exemption does not legitimately apply in most post-SCN situations:

Once a Show Cause Notice has been served, the adjudication is at a stage where the noticee's right of defence under the principles of natural justice is already engaged. The noticee is entitled to see what the department relies upon; denial of relied-upon documents at the adjudication stage is itself a due process violation. The SCN and its relied-upon documents are not "investigation" material in the active prosecution sense — they are adjudication material. Section 8(1)(h) is intended for ongoing investigations where disclosure would tip off suspects, not for documents already served as part of an SCN.

Counter this in the First Appeal with the argument that: (a) the SCN having been issued, the "investigation" is complete; (b) the information is about the applicant's own transaction; (c) withholding relied-upon documents violates the principles of natural justice and Articles 14 and 21 of the Constitution; (d) Section 8(2) public interest override: the applicant's right to a fair adjudication outweighs any residual confidentiality interest.

Use Case 3: IGST Refund on Exports — Validation and Processing Status

Exporters who pay IGST on zero-rated supplies are entitled to refund of the IGST through the Customs integrated ICEGATE system, linked to GSTR-1 data from GST authorities. Refunds are automated where the data matches — but large volumes of shipping bills remain stuck in "pending" status for months or years because of mismatches, GSTR-1 non-filing, errors in the export declaration, or administrative holds.

"Current status of the IGST refund claim for shipping bill number X of IEC holder X filed at port of export on date of export.

Whether the shipping bill has been 'Let Export Order' (LEO) granted and validated in ICEGATE. If not, the reason for non-validation.

Whether the IGST amount of ₹X declared on the shipping bill matches the GSTR-1 data reported by the exporter. If a mismatch has been found, the specific field or amount in which the mismatch is identified.

Whether the ICEGATE system has flagged this shipping bill under any alert / query category. If yes, the nature of the alert and the action taken.

The date on which the refund amount, if sanctioned, is expected to be credited to the exporter's bank account. If pending, the officer currently responsible for the shipping bill validation."

This RTI is particularly effective because it asks the Customs formation to document its own processing status — something that requires internal verification of ICEGATE records. The 30-day obligation under Section 7(1) means the Customs CPIO cannot simply say "check the website" — they must provide the specific status of the specific shipping bill.

Use Case 4: Import Clearance Delay — Bill of Entry Assessment Stage

When a Bill of Entry filed for customs clearance is held up and the importer does not know at which stage — examination, assessment, query, or risk assessment — the delay is occurring:

"Current status of Bill of Entry number X filed by importer name and IEC number at Customs station on date of filing.

The stage at which the Bill of Entry is currently held — whether it is under: (a) first appraisement / assessment; (b) examination of goods; (c) second appraisement; (d) duty payment pending; (e) out of charge (already cleared); or (f) under a query issued by the assessing officer.

If a query has been issued by the assessing officer, the date of the query, the query reference number, and the nature of the query (if not already communicated to the importer/Customs Broker).

The name and designation of the assessing officer currently holding the file.

Whether the Bill of Entry is in the RMS (Risk Management System) green channel, yellow channel, or has been manually referred to a senior officer. If referred, the reason for the referral."

The RMS channel information — green (duty payment and release without physical examination), yellow (document verification only), red (physical examination required) — is administratively generated. It is not exempt under any Section 8 provision, and knowing which channel your Bill of Entry is in tells you exactly why clearance is delayed and where to focus pressure.

Use Case 5: AEO (Authorised Economic Operator) Status

AEO certification is India's trusted trader programme — AEO-certified importers and exporters receive streamlined clearance, reduced examination frequency, and faster duty payment options. If a company's AEO certificate has lapsed, been suspended, or is pending renewal, trade benefits are lost.

"Whether company name bearing IEC X currently holds a valid AEO certificate issued by CBIC / the relevant AEO nodal authority. The tier of AEO certification (AEO-T1 / AEO-T2 / AEO-T3) held by company name. The validity period of the certificate currently in force.

Whether any show cause notice or inquiry has been initiated against company name in connection with AEO certification renewal or suspension in the past two years."

Use Case 6: Auctioned and Confiscated Goods

Unclaimed and confiscated goods are required to be auctioned by Customs after following prescribed procedures. Information about such auctions is administrative data:

"The list of goods auctioned by Customs Commissionerate name in the financial year year, including the description of goods, the auction reference numbers, the reserve prices, and the amounts realised.

The procedure followed for auction of unclaimed/confiscated goods by Commissionerate, including the public notice requirement and the approved valuers used. A copy of the standing instructions or internal order governing auction procedure currently in use."

This is useful for importers whose goods were auctioned — perhaps without adequate notice — and who wish to challenge the auction or the amount credited against their liability.

Use Case 7: Advance Ruling

The Customs Authority for Advance Rulings (CAAR) issues advance rulings on tariff classification, valuation, and other Customs law questions for importers and exporters who apply in advance. These rulings are published, but RTI can be used to obtain specific rulings:

"A certified copy of the advance ruling issued in case number X by the Customs Authority for Advance Rulings on the product/classification question concerning brief description. The tariff heading determined and the duty rate applied in the ruling."

Advance rulings are not exempt — they are the official legal position of the authority on a tax question, and publication of rulings is itself part of the statutory framework.

DRI (Directorate of Revenue Intelligence): Where Section 8 Has More Bite

The Directorate of Revenue Intelligence, headquartered in New Delhi with regional units across India, investigates smuggling, duty evasion, and trade-based money laundering. DRI matters are more likely to involve legitimate Section 8 exemption claims.

For active investigations: Section 8(1)(h) (information impeding prosecution/investigation) and Section 8(1)(g) (endangering the life or safety of a person) may legitimately apply. An RTI for the investigation report in an active DRI case is unlikely to succeed.

For concluded cases: Once a case has been adjudicated and all appeals concluded, the investigation report and assessment records are historical documents. RTI for concluded DRI cases is more likely to yield results, though the DRI CPIO may still claim exemptions.

For procedural and policy information: RTI to DRI for its general guidelines, standard operating procedures for searches, the criteria applied for detaining suspects at ports — this type of information does not fall within Section 8(1)(h) and should be disclosed.

"The Standard Operating Procedure (SOP) or circular currently in force governing the conduct of searches and seizures by DRI officers, including the requirement to draw Panchnama and the time limit for issuing notice after seizure.

Whether case number DRI case reference, if known has been adjudicated at the Commissioner level and the penalty, if any, imposed in the adjudication order."

Section 8 Exemptions in Customs RTI: An Analytical Summary

Section 8(1)(d) — Commercial confidence of third parties: Customs has access to other importers' transaction values in its comparable sales databases. These are legitimately protected as third-party commercial information when the identity of the third-party importer can be inferred. However, aggregate data (average CIF values for a product category, standard valuation benchmarks published in departmental circulars) is not exempt.

Section 8(1)(h) — Prosecution/investigation: As discussed above, this applies to active investigations. Once the adjudication order is passed, the investigation phase is complete. Routine import assessment is not "investigation."

Section 8(1)(e) — Fiduciary: Sometimes invoked to protect internal deliberations. Narrow scope; does not protect administrative file notings about your own consignment.

What is NOT exempt: The Customs Department's own procedures, assessment criteria, classification rulings, IGST refund processing logic, and the file noting on your own Bill of Entry or SCN. These are the department's own administrative actions about your transaction.

RTI Act Provisions

Section 6: File application with the CPIO of the relevant Customs Commissionerate (or CBIC for policy matters). No reasons required — Section 6(2). Fee: ₹10 under RTI (Regulation of Fee and Cost) Rules, 2005. BPL exemption under Section 7(5).

Section 7(1): 30-day response. The 48-hour proviso for life or liberty is not typically applicable in Customs trade matters.

Section 19(1) — First Appeal: Within 30 days of the date of decision or expiry of the 30-day response period, whichever is applicable, to the First Appellate Authority within the Commissionerate (typically the Commissioner or a senior Additional Commissioner).

Section 19(3) — Second Appeal: To the CIC within 90 days. No fee. The CIC has issued several orders on Customs RTI matters — particularly on the obligation to disclose relied-upon documents in SCN proceedings.

Section 20: Personal penalty of ₹250/day on the CPIO, up to ₹25,000. Invoke by name in Second Appeal.

Practical Tips

File at the Commissionerate level, not at CBIC headquarters, for consignment-specific queries. CBIC headquarters does not hold individual Bill of Entry or seizure records. The Commissionerate with jurisdiction over the port/airport/ICD where the consignment arrived is the correct authority.

Specify the Bill of Entry number, shipping bill number, or SCN reference number precisely. Generic questions about "all documents related to my import" are harder to process and easier to deflect. Specific reference numbers make the request verifiable and the CPIO's response accountable.

Combine RTI with ICEGATE grievance filing for IGST refunds. ICEGATE (icegate.gov.in) has a grievance module for Customs-related complaints. A CGPDTM/ICEGATE grievance and a parallel RTI application create dual accountability tracks.

For seizure matters, file the RTI within days. CCTV footage at Customs examination areas may be overwritten on short retention schedules. An RTI creating a formal record of the demand for CCTV preservation is the only mechanism to ensure it is not destroyed before legal proceedings begin.

RTI documents are admissible in CESTAT proceedings. A certified copy of a departmental noting, obtained via RTI, is an official government document. It can be filed as evidence in CESTAT appeals or High Court writ petitions, and CESTAT benches regularly receive RTI-obtained documents without objection.

The Customs system operates with substantial officer discretion and asymmetric information flows. The importer or exporter — whose money and goods are at stake — often knows less about the status of their own consignment than a random CBIC officer. RTI partially corrects that imbalance: it creates a statutory mechanism to demand, in writing, what the department knows about your consignment, your Bill of Entry, your seizure, and your refund — and to hold an individual officer accountable for not providing it within 30 days.

If you need help identifying the correct CPIO at the relevant Customs Commissionerate, drafting a focused RTI application for your import or export matter, or preparing a First or Second Appeal after a refusal, RTISathi.com provides end-to-end RTI assistance.