The Regulatory Overreach – Questionable Proportionality and the Threat to Worker Livelihoods

Published

On the regulatory side, customs authorities suspended the facility under Rule 11(2) of the Handling of Cargo in Customs Areas Regulations, 2009, an emergency clause meant for immediate public protection during an active investigation. However, the suspension has dragged on for over 80 days without a final verdict, turning a temporary preventive measure into a harsh, permanent financial punishment for the company. The maritime industry is heavily debating the fairness of this action, arguing that punishing an entire critical infrastructure asset for an individual’s alleged wrongdoing is completely out of proportion. This ongoing legal deadlock has not only damaged investor confidence regarding the “ease of doing business” in India but has also created a severe humanitarian crisis, directly threatening the daily earnings and employment of more than 800 innocent workers, drivers, and terminal staff.

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