Section 16 in The Smugglers And Foreign Exchange Manipulators (Receipt, Management And Disposal Of Forfeited Property) Rules, 2006
16. Disposal of valuables
.Subject to the sale proceeds being credited into the account of the Central Government, the competent authority shall dispose of the valuables mentioned below in the following manner, namely:-(1)Gold, gold jewellery, silver and silver jewellery. The valuables, namely, gold, gold jewellery, silver and silver jewellery shall be deposited in the Government of India Mints which shall credit the value of such property to the Central Government.(2)Diamonds and precious and semi-precious stones shall be sold by public auction failing which by tender after valuation by Government approved valuer.
