Mumbai, September 26, 2026: The Bombay High Court has permitted the provisional release of a pharmaceutical company’s consignment of 200 kg Ketamine Hydrochloride seized by Customs, observing that the delay in obtaining a valid export authorisation appeared to be a technical lapse in the circumstances of the case.
Court Allows Provisional Release
A bench of Justices MS Karnik and Sandesh Patil directed Supriya Lifescience Ltd to deposit Rs 72 lakh with the Customs Department within a week for release of the 200 kg consignment. The court, however, clarified that the ongoing adjudication and criminal proceedings against the company could continue in accordance with law.
The court was hearing a petition filed by the company, represented by senior advocate Darius Shroff and advocate Sujay Kantawala, challenging an August 10 order of the Assistant Commissioner of Customs, which had rejected its request for provisional release of the seized goods.
Export Authorisation Expired
The company had received an export authorisation from the Central Bureau of Narcotics (CBN) on April 16, 2026, valid until May 31. It had received an order for 200 kg of Ketamine Hydrochloride from a South Korean buyer.
However, after the buyer raised a query regarding the shipment batch, the company arranged a fresh batch and submitted revised documents on June 1. By then, the earlier export authorisation had expired. The company filed the shipping bill on June 2 and the consignment was sent to the Air Cargo Complex, Sahar, on June 4.
Customs subsequently raised a query regarding the expired authorisation. The consignment was later seized on July 2 under the Narcotic Drugs and Psychotropic Substances Act. Two persons associated with the shipment were also arrested.
Fresh Authorisation Obtained
Meanwhile, the company obtained a fresh export authorisation from the CBN in July, valid until October 9. The CBN informed Customs that the fresh authorisation was valid for the same purchase order and suggested that the authorities take an appropriate view.
Customs nevertheless rejected the company’s request, holding that the fresh authorisation could not be used for release of goods seized under the NDPS Act.
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Court Terms Lapse Technical
The High Court noted that the goods had not actually been exported during the period when the authorisation was unavailable. It also noted that the company had earlier exported the substance with valid authorisations and had subsequently obtained a fresh authorisation for the consignment.
The bench held that, in the peculiar facts of the case, the delay in obtaining the authorisation had to be treated as technical and allowed provisional release of the goods.
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