India, Oct. 7 -- Observing that the conditions imposed by the Additional Commissioner of Customs (export assessment) for the provisional release of a barge intercepted in June were "excessive and unreasonable", the Bombay High Court last week reduced the bank guarantee sought by the customs from Rs.6 crore to Rs.50 lakh.

The barge, MT Bay III, was intercepted by the customs on June 13 for allegedly illegally carrying 208 kilolitres (KL) of fuel.

A division bench of justices MS Karnik and Sandesh Patil said that while the customs had the discretion to impose conditions for the provisional release of seized goods, "such discretion has to be exercised reasonably".

The court was hearing a petition filed by Richa Shipping Private Limited (R...