Bombay court quashes customs order citing non-existent judgments

The Bombay High Court has set aside a customs order against Quanta Logistics after the company showed that it relied on two Supreme Court judgments that cannot be found in any database, Bar & Bench reported. The case is Quanta Logistics Pvt Ltd v Commissioner of Customs (Import-I). A bench of Justices MS Karnik and Sandesh D Patil quashed the commissioner's order of 11 August 2026. For Quanta, Senior Advocate Venkatesh Dhond argued that the order was produced with artificial intelligence and without independent consideration, and described the two citations as possible AI hallucinations; the department had not supplied copies when asked. Quanta relied on the Supreme Court's 2026 decision in Vijay Ghanshyam Gadiya v Union of India, which called for zero tolerance of unverified AI-generated precedents. The customs department agreed that the order could be quashed and reconsidered. The court set it aside by consent and told the company to appear before the authority for a fresh hearing. It is the second such case before the same bench in weeks. On 28 October it quashed an order against Asahi India Glass in which the adjudicating authority had relied on untraceable precedents to treat a fifteen-day statutory time limit as directory. The department admitted in an affidavit that the citations could not be traced, and the case was sent back for a decision within four weeks.