STATE OF M P Vs. S P SALES AGENCIES
LAWS(SC)-2004-3-24
SUPREME COURT OF INDIA (FROM: MADHYA PRADESH)
Decided on March 29,2004

STATE OF MADHYA PRADESH Appellant
VERSUS
S.P.SALES AGENCIES Respondents

JUDGEMENT

B. N. Agrawal, J. - (1.) These appeals by special leave have been filed against judgment rendered by Gwalior Bench of Madhya Pradesh High Court whereby two petitions filed under Section 482 of the Code of Criminal Procedure (hereinafter referred to as the Code) by respondent Nos. 1 and 3 have been allowed and seizure of stock of kattha and cutch under the provisions of Section 52 of the Indian Forest Act, 1927 (Act for short) for violation of provisions of Rule 3 of Madhya Pradesh Transit (Forest Produce) Rules, 1961 (hereinafter referred to as the Transit Rules) and the consequent proceedings have been quashed.
(2.) The short facts are that on 2-5-1988 a truck bearing No. USR-1147 was intercepted by the police near Shinde Police Outpost under Indra Ganj Police Station in the District of Gwalior within the State of Madhya Pradesh and it transpired that 281 cases of kattha manufactured by M/s. Harsh Wood Products (respondent No. 2) were loaded therein at their factory premises, the same having been purchased by M/s. K. S. Finance Corporation (respondent No. 3) without obtaining transit pass as required under Rule 3 of the Transit Rules. Thereafter, the matter was reported to the Sub-Divisional Forest Officer, Gwalior, who initiated a confiscation proceeding under Section 52 of the Act and on 23-5-1988 an order of confiscation was passed whereafter an appeal was taken to the Conservator of Forest under Section 52-A of the Act, who remitted the matter to the original authority. On remand, the original authority again passed order of confiscation of kattha seized which was confirmed in appeal whereafter a revision bearing No. 1147/88 was preferred under Section 52-B of the Act before the Sessions Judge, Gwalior, challenging order passed in appeal and the same was admitted. During the pendency of the revision application, the seized stock of kattha was released by way of interim measure.
(3.) On 15-8-1991 another truck bearing No. MP-07-A-8740 was found loaded with 160 bags of cutch which were purchased by M/s. S. P. Sales Agencies (respondent No. 1) from its manufacturer M/s. Harsh Wood Products (respondent No. 2) and as no transit pass, as required under the Rules, was obtained for its movement, it was seized and made over to the Sub-Divisional Forest Officer, Gwalior. Respondent No. 1 thereafter filed an application before the Chief Judicial Magistrate, Gwalior, for release of the seized articles, but the prayer was refused and the same was upheld by the Sessions Court whereafter respondent No. 1 preferred an application before the High Court of Madhya Pradesh under Section 482 of the Code which was allowed on 17-12-1991 and the seized cutch was ordered to be released by way of interim measure. Respondents Nos. 1 and 3 thereupon filed two separate applications under Section 482 of the Code before the High Court which were registered as Miscl. Criminal Case No. 2475 of 1995 and 2466 of 1995 respectively for quashing the seizure of aforesaid stock of kattha and cutch and consequent proceedings. The High Court by its order dated 7-9-1995 allowed both the applications and quashed the seizure and consequent proceedings on grounds, inter alia, that kattha and cutch were not forest produce within the meaning of Section 2(4) of the Act and confiscation proceeding could not have been initiated as no criminal prosecution was launched pursuant to the seizure. In view of the aforesaid order, Criminal Revision No. 1147/88 which was filed before the Sessions Court against the appellate order in relation to seized stock of kattha became infructuous and accordingly the same was withdrawn on 1-11-1995. Challenging the aforesaid order dated 7-9-1995 passed by the High Court, two petitions were filed before this Court for grant of special leave in which leave to appeal having been granted, the present appeals are before us.;


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