Case Note & Summary
The petitioner, Jayashree Chandrakant Dhavre, is the widow of a deceased informer who provided specific information to the Marine and Preventive Wing of the Mumbai Commissionerate of Customs, leading to the seizure of smuggled goods. She filed a writ petition before the Bombay High Court seeking a direction to the Customs authorities to release the reward payable under the Central Board of Excise and Customs Circular No. 20/2015 dated 31 July 2015, titled 'Guidelines for grant of reward to Informers and Government Servants, 2015'. The petitioner contended that the reward was unjustifiably withheld despite the information being accurate and resulting in seizure. The respondents argued that the reward is ex-gratia and not a matter of right, and that the petitioner had no locus standi. The court examined the circular, noting that Clause 3.3 lays down criteria for grant of reward, Clause 5 provides for quantum up to 20% of net sale proceeds, Clause 6 allows advance/interim reward up to 50% immediately on seizure for certain goods, and Clause 7 provides for final reward after conclusion of proceedings. The court observed that the respondents had not passed any order on the petitioner's representation and directed them to consider and decide the representation within eight weeks, in accordance with the circular. The court did not express any opinion on the merits of the claim.
Headnote
A) Customs Law - Reward to Informers - Circular No. 20/2015 - Guidelines for grant of reward to Informers and Government Servants, 2015 - The petitioner, widow of a deceased informer, sought reward for information leading to seizure of smuggled goods. The court held that the reward is ex-gratia and not a matter of right, but the authorities must consider the claim in accordance with the policy. The court directed the respondents to consider the petitioner's representation within eight weeks. (Paras 2-8)
Issue of Consideration
Whether the Customs authorities were justified in withholding the reward payable to the informer under Circular No. 20/2015, and whether the petitioner, as the widow of the deceased informer, is entitled to consideration of the reward.
Final Decision
The court disposed of the petition directing the respondents to consider and decide the petitioner's representation within eight weeks from the date of the order, in accordance with Circular No. 20/2015. No order as to costs.
Law Points
- Reward to informers is ex-gratia
- not a matter of right
- but must be considered in accordance with policy guidelines
- Circular 20/2015 provides for advance/interim reward up to 50% of admissible reward
- final reward payable after conclusion of proceedings
- widow of deceased informer entitled to consideration.




