High Court Karnataka High Court

M/S. Karthik Agro Industries vs The Deputy Commissioner … on 11 August, 2009

Karnataka High Court
M/S. Karthik Agro Industries vs The Deputy Commissioner … on 11 August, 2009
Author: Ajit J Gunjal
IN THE HIGH COURT OF KARNATAKA AT BANGALORE

DATED THIS THE 1 1114 DAY 01:' AUGUST 2009i

BEFORE

THE HON'BLE MRJUSTICE_As.I1f1"J.GUNJ§1. :  j  

WRIT PETITION NO.1225i';!v2£}0§§(C§M';E('§) 

BETWEEN:

M/S.Karthik  mdusirit-:3,    ' '
Partwrship    %    % 
530.113/1, 25% %      
   

Bangaltbsre R1n'a1"IJi$t!'ict, -- I
Bangalofs; 4 .562. 133.'    
Represented by its " ' "  '
Parmer  
A2et11is'day,"'thc Court made the
foIlowi;ng:_ _   v  . '

 ooaomz

 pet:itiohcr------is questioning Annexure 'F' and 3.

 Vcwjfder at Anncxurc 'G'. Ammxum 'F' is a.

  7:notice and Annoxuro 'G' is an order

  which the food gains, which were seized

'    petitiozaer, were sold and the amount is kept in

V.   the District Treasury. %

E

 



.3-

2. The matter arises in the following manner:  

The case of the petitioner is that ~ 
mrtnemhip firm in the business of   K 
poultry feed and Wheat Flour.  fix;  
the Petitioner has obtained  is  
reflstered with the local    
the Kaz-me  M2003 and
other allied pre\'fi$iens."VV_I1§' i$'  e:3§;_'. petitioner
that it has  " from one
was  Transport to the

premises «ef  a copy of which is

 _  at  'A'. In the said invoice,

 petitioner, it is clearly mentioned that

  gunny bags are damaged, the

 is; in gunny bag of 50 kg capacity and

&  instead of 190 bags of 1 quintal wch, 380

 ef 50 kgs each are despatched by transport. The

.  V  Vu eonsigunent reached the premises of the petitioner

at 11.30 am. on 12.03.2009.

42



3. It appears the petitioner had gone 
pilgrimage and he received a message on 4' 
that a Food Inspector has come   K V'
stock of the wheat in the factoIV;3I.Ve£.%'_1:ci
requested to returri hack.   
returned. The petitioner _ "imk..~Ei 



.5-

i.e., 06.04.2009, the respondent was of the View ihat

the wheat would amount to perishable ”

exposed to the vagaries of weather, is ‘fox

unusable, proposed to distribute _
at the rate fixed by ti:1e__
Distribution system. A sum of 68, feaiizedi

and is kept in the _

4. Mr. appearing
for the ‘ petition was
enterteineti’ ” interim order was
g’anted:”on” the respondents not to

precipitate ‘tine Vmatiaef “for period of ten days.

isfinotieed that the said interim order was

ccm;me:’ie:sriifa;:¢mcr period of six weeks and later on

–V this» order was not oontinued for obvious

inasmuch as even bairtre the interim order was

Annexure ‘G’ was Qven effect to inasmuch as

fiie food gains were sold. ,fi

Z’

-5-

6. Mr. P.S.Manjunath, learned counsel appearing

for the petitioner vehemently submits that there
finding recorded by the Competent Authority ”
the Food Grains, which are seized is 1
commodity. He further submits

as to Whether there is any cieas violation of
the issue of the show cause as of

the seized Articles is the

Food gsins are__so1d .vs.t…};i1e selling in

favour of submits that

in all its’ % m %%% gumsmesisugm to have sold the

food g’eIiI1§”at ‘_Aiiotion and then the amount

cou1d;}1av_e giseniifoéflie suooessfiii party.

‘Ir’. Prasad, learned HCGP supports

Pie submits that indeed the Food

Graiiis, are seized, attract, the Essential

H K He further submits that the Wheat Flour

perishable commodity if not used within time,

” iiiasmuch as it would loose its efiicacy, it was sold at

the rate given to the Public Distribution System. He fl

nu’

Z

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further submits that the matter is pending adjudicafion
inasmuch as it is yet to be decided that Whether t§j1e3§e–«i;’s- 2

vielation ef the Essential Commodities Act or A *

8. I have perused the

‘ the respondents. Section 2(2)’ wfouki relate .

Commodities decimation em; * ifurther
classified as classes of
with Section 2(e.}{v), foodstufis,
including ‘V the wheat
flour 5,45%? foodstufi’. If any
deeisio¥ 1.A’is’–.1eg;’;a1’d, one can refer to the

decision of £136 the case of Satpal Gupta

reported in 1982(1) 800 610

is also considered to be a foodstuff and

it”. its’ tiierefere an essential commodity. The

‘spomencieyeje ‘foodstufl’ itself would indicate that one

V’ isconsumable in the nature of food. Whatever is

by the respondent is wheat flour, which is

consumable as food. Hence, I am of the View that the

seized article satisfies the requirement of an essential

fie

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commodity as contemplated under Section 2(a)(v) of the

Act. ‘ _

9. This takes us to the next question as_ %

the nature of the order, which would A
favour of the petitioner in these
dispute that the food
already been sold. The iieu 1 stage
inasmuch as the mateef on

merits, having regard “oaziee °no1;ioe issued

and joefitioners. The Show

cause fiotiee the Wheat flour bags

weI’eVe§{amo1t1ed it’ 1a= of Food Corporation of

. ,4,I:1d’i§sa5’2~ .:1-af.=:1j1ee,AV”Vit’**”W’as prima facie found that the

belonged to the Food Corporation of

that is a matteer which is roqmred’ to be

‘-once thrashed out dialog’ the enquiry as

under Section 6-13 of the Act. Indeed

K fielcfion 6-B wouid refer to the issuance of a Show cause

‘ notice before confiscation of fjssential Commodity.

Section 6-B(1)(c) would indicate that reasonable fi

%

opportunity should be given to the person from wéjem
the articles are seized. The authorities are yet ”
a finding as to whether the seized ‘

the petitioner or that they «L ta} eetné, e e

Corporation of India. Having sgid am pf A”
that notwithstanding the seme-
lacuna in the iSSI1ance;:’_:(“jf and
aiso the order ftpd gfamgt.

at the rate, Distribution
System, ” éefiefifies in the

circumsifazxeesx te[ i1aa_;\-.’e I invoked Section 6—A(ii)

i.nasmuch’es the’ to be sold by public

V auctripzjfi “fer maximum amount inasmuch as

aired to be paid to the petitioner in the

eifeiiifpf hie”_~,=s.§;eeess.

wexgacimd identical View is taken by this Court in

of &S fi V/S. State of
% and others mponed in Am 1935 KAI!

L161 where this Court was of the View that durm’ g the

pendency of the writ petifion, the food articles Wersefl

i”

for t}t1§;’pt,ttitiéi”1erV_’s<1i¥afiits; that a direction he issued to

at the earliest

montlls from the date of receipt of this

V V ' ~ of accordingly. %

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sold. Hence, it was required that the wd proceaedings

itseif should be concluded within a limited period.

II. In so far the damages which is
the petitioner is concexned, assuming.
itself was bad, the respondent
decision rendered by . sjof
Mariappa V/s.state pf
reported in 193913; fsaid so, I am

of the View that. to the

12. M;iP, ” “ieamed counsel appearing

V ings shall be concluded within’ a

With this above observation, petition stands

14. Mr.Narendra Prasad, learned HCGP appcétring

for responcients 1 and 2 is; permitted to

appearance within four weeks. ‘

SP8