The Supreme Court on Tuesday pushed for an expedited hearing in the long-running customs valuation dispute involving Pernod Ricard India. The Court asked the Delhi High Court to take up the company’s writ petition within days and conclude proceedings quickly.
A Bench of Justices Sanjay Karol and Nongmeikapam Kotiswar Singh took note that the matter before the Delhi High Court was listed for July 28, 2026. The Court found that timeline unsuitable, especially since the dispute traces back more than a decade.
“We are of the considered view, more so, for the fact that where controversy in issue inter se the very same parties is pending final adjudication since the year 2011, it would be only prudent that the High Court takes up the matter at the earliest and endeavour to decide the same expeditiously.”
The Bench directed both sides to appear before the Delhi High Court on May 15, 2026. It requested that the matter be taken up around May 19 and decided within two weeks thereafter. The Court also asked the Chief Justice of the Delhi High Court to constitute an appropriate Bench for this purpose.
The dispute arises from a September 12, 2025 adjudication order passed by the Assistant Commissioner of Customs (Import). The order relates to the valuation of alcoholic beverage concentrates imported by Pernod Ricard from its UK affiliate, Chivas Brothers.
The issue goes back to a Directorate of Revenue Intelligence investigation initiated in 2014. Authorities examined whether the imports were undervalued. During the probe, the company deposited Rs 60 crore with the DRI.
The Special Valuation Branch later concluded that the declared transaction values could not be accepted. It recommended a loading of 67.49 per cent on invoice values for imports made from January 1, 2021 onwards. This finding significantly increased the potential duty liability.
Pernod Ricard challenged the customs adjudication before the Delhi High Court. That writ petition remains pending. The company also faced earlier litigation on provisional assessments. In 2022, the Bombay High Court upheld the customs authorities’ power to insist on 100 per cent bank guarantees under Section 18(1) of the Customs Act, following the SVB findings.
