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2014 (5) TMI 950 - ALLAHABAD HIGH COURTWhether the revenue was justified in seizing the goods from the godown situate on the "no men's land" on the pretext that the goods have not actually gone out of the State of U.P. within the time of exit mentioned in the transit declaration Forms – Seizure of goods – Seizure in "no men's land" – Legal fiction - Ground of overstay – Seizure on the ground of overstay – Brief Facts - The goods were accompanied by the requisite documents and the transit declaration Forms - The goods were seized on 2.3.2012 from the aforesaid godown on the ground that they have not been sent to the ultimate destination and have been retained in the State of U.P., giving rise to presumption u/s 52 of the Act that they are meant for sale in U.P. - Held that:- Legislature is quite competent to create a legal fiction by providing assumption of certain facts which does not really exist - Such a legal fiction or assumption of fact may also be created by court as a basis for deciding an issue before it. Therefore, in the peculiar nature of transport business even if the goods have not technically crossed the border of the State of U.P. nonetheless if the goods have reached the godown of the opposite party situate in the area which has been declared to be "no men's land" near the U.P. Delhi border in District Ghaziabad by way of legal fiction, it would mean that they have actually reached the border otherwise the inter-state movement of goods would be impossible and the very purpose of establishing transhipment area would become redundant - Thus, if the goods reaches the godown situate in the said area within the time prescribed, the authorities cannot take any exception to it and seize the goods on the pretext that they have not actually passed out of U.P. - The goods which have reached the godown of the opposite party situate in the "no men's land" at the border within the time prescribed would be deemed to have reached the border for passing out from the State of U.P., and are not liable to be seized on the ground that they have over stayed within the State unless they are actually found to be so sold within the State or there is a finding that they are being removed from there for sale in U.P. - Tribunal has not erred in directing for the release of the seized goods - No merit in the revision and same is dismissed – Decided against revenue.
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