Customs and Excise Act, 1964 (Act No. 91 of 1964)Chapter IV : Customs and Excise Warehouses; Storage and Manufacture of goods in Customs and Excise Warehouses26. Transfer of ownership or pledging or hypothecation of warehoused goods |
| (1) | Except with the prior permission of the Commissioner and subject to such conditions as may be prescribed by rule— |
| (a) | the owner of any dutiable goods in a customs and excise warehouse may not enter into any agreement whereby— |
| (i) | his ownership of such goods is transferred to any other person; |
| (ii) | such goods are pledged or otherwise hypothecated in favour of any other person; |
| (b) | any person in whose favour such goods have been pledged or hypothecated may not enter into any agreement whereby any rights obtained by him by virtue of such pledging or hypothecation are ceded to any other person. |
| (2) | Any agreement entered into contrary to the provisions of subsection (1) shall for the purposes of this Act be deemed to be null and void. |