JUDGEMENT
A.K.CHATTERJEE,J. -
(1.) IS Rule issued under article 227 of the Constitution of India raises a short and an interesting question
regarding the permissible extent of confiscation, if any under section 6A
of the Essential Commodities Act if a dealer licenced under the West
Bengal Pulses. Edible Oilseeds Edible Oils (Dealers Licensing) Order,
1978 made under section 3 of the said Act, is found to have in stock a quantity of essential commodity less than what he was supposed to have in
violation of the condition of licence granted to him under the said
order. Relevant facts are that on the 29th May, 1981 when the place of
business of the petitioner a dealer licenced under the aforesaid order,
was searched, he had in his stock 99 quintals of 'Arhar dal' while
according to the stock board displayed by him, he had 110 quintals of
this commodity as the opening stock on the said date. The petitioner
could not explain the difference of 11 quintals, which, according to the
police was sold without issuing cash memo in violation of a condition
subject to which licence was issued to him. In these circumstances, the
entire quantity of 99 quintals of the said commodity was seized by the
police and confiscated by the learned Collector under the provisions of
section 6A of the Essential Commodity Act.
(2.) THE learned Advocate for the petitioner has argued that a Collector in authorised to confiscate only such part of the essential
commodity in respect of which there has been a contravention of the
order, under which it has been seized and he has no jurisdiction to
confiscate any essential commodity which does not offend the order. A
plain persual of section 6A referred to above will show that it provides,
inter alia that if any essential commodity is seized in pursuance of any
order made under section 3 of the Act relating to such commodity, the
Collector, if he is satisfied that there has been a contravention of
order, may confiscate the essential commodity so seized. Therefore, there
is no doubt that the Collector has power to confiscate only such
essential commodity which has been validly and legally seized in exercise
of power under an order made under section 3 of the Act. In the instant
case clause 13 (1) (e) of the West Bengal Pulses, Edible Oil seeds &
Edible Oils (Dealers Licensing) Order, 1978 empowers certain authorities
to seize the entire quantity of any stock of pulses etc. If there is any
reason to believe that any provision of this order has been, is being or
is about to be contravened in respect of such stock or any part thereof.
The learned Advocate for the petitioner has argued, and very rightly,
that the words "any part thereof" are not without significance and the
sensible conclusion is that only that part of the essential commodity can
be seized in respect of which there has been a contravention of the
order. He has relied in this connection upon a decision of this court in
Shyam Sunder Khaitan v. State of West Bengal.1 In that case, a dealer
held in stock 213 tins of 'Vanaspati' though he was supposed to have only
206 tins with him, in this situation it was held that it was only in respect of 7 tins that it could be said that there was reason to believe
that an order has been contravened and, therefore, only this quantity was
liable to confiscation and not the entire stock of 213 tins as done by
the learned Collector in, that case. This decision is also consistent
with the view taken by a Division Bench of this court in Abdul Rahman v.
The State2, In that case Their Lordships were considering the question of
forfeiture under section 7(1) of the Essential Supplies (Temporary
Powers) Act, 1946, when a dealer licenced under the West Bengal Cotton
Cloth and Yarn Control Order, 1948 was found to have sold a quantity of
yarn without issuing cash memo and after such sale was found in
possession of 34 bundles of cotton yarn. Clause 29 of the said order
empowered the court to direct forfeiture of any cotton yarn in respect of
which it was satisfied that there has been a contravention of the order.
The language of this clause is pari materia with clause 13(1) (e) of the
West Bengal Pulses, Edible Oil seeds & Edible Oils (Dealers Licensing
Order, 1978 and therefore, the analogy of the decision of Division Bench
applies with all force in the instant case. This view was also followed
by Karnataka High Court in Subhas Motichand Sheth v. The State of
Karnataka3. That was a case under section 6A of the Essential Commodities
Act in which the petitioner was charged for violation of the condition of
a certain clause of Karnataka Sugar Dealers Licensing Order, (1962) made
under section 3 of the Act and was found to bold 33 bags of sugar in
stock and was said to have sold away another 51 bags in transit which
constituted contravention of the order. In this situation it was held
that there was contravention of the order in respect of 51 bags only and
the balance of 33 bags could not be seized or confiscated. Without
multiplying precedents it may be noted that similar view has been taken
by Madhya Pradesh High Court in State of Madhya Pradesh v. Swaladas
Brothers4. The learned Advocate for the State, on the other hand, in
opposing this rule has relied heavily upon the contrary view taken by
Patna High Court in Narendra Kumar v. State of Bihar5. It is no doubt
true that the decision of the Patna High Court referred to above supports
the contention of the learned Advocate for the State that the learned
Collector was within his power to confiscate 99 quintals of "arhar dal"
but considering the weight of judicial authorities on the point and on my
own reading of the relevant provisions of the Act and the order in
question, I hold that the law permits the Collector to confiscate only
that portion of the commodity which offends the order under which it was
seized and, therefore, in the instant case, the learned Collector was not
right in confiscating 99 quintals of the said commodity since this stock
does not contravene any of the provisions of the order".
For foregoing reasons the Rule is made absolute and the order passed by the learned Judicial authority and the learned Collector
confiscating 99 quintals of 'arhar dal' are set aside.
Rule made absolute.
1. 1982 (H) C.R N. 279. 2. A.I.R. 1985 Cal. 631. 3. 1978 Crl. L.J. 136.
(3.) 1981 M.R.L.J. Notes of cases 27.;
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