September 13, 2026

Section 150. Procedure for Sale of Goods and Application of Sale Proceeds – Customs Act, 1962

Customs Act, 1962 — Chapter XVII: Miscellaneous

150. Procedure for sale of goods and application of sale proceeds

  1. Where any goods not being confiscated goods are to be sold under this Act, they shall, after notice to the owner (unless he cannot be found/refuses to accept notice/his address is unknown), be sold by public auction/tender, or, with the Central Government’s consent, in any other manner.
  2. The proceeds of any such sale are applied in the following order: (a) payment of expenses of the sale; (b) payment of freight and other charges (if payable by the owner and not already recovered) and any charges payable to the person having custody of the goods; (c) payment of duty (if any) on the goods sold; (d) payment of charges due for storage/removal/other services rendered in respect of the goods; (e) payment of duty, and other sums due from the owner in relation to those goods, or otherwise; the balance, if any, is paid to the owner.