Judgment

L. M. SHARMA, J. :- K. Madhava Rao, husband of the petitioner, has been detained under S.3 of the Prevention of Blackmarketing and Maintenance of Supplies of Essential Commodities Act, 1980. The petitioner filed an application under Art. 226 of the Constitution before the Andhra Pradesh High Court for a writ of habeas corpus which was dismissed on 18-7-1987. The Special Leave Petition is directed against the said order. The petitioner has also challenged the detention order by the application under Art. 32 of the Constitution before this Court in Writ Petition (Criminal) No. 529 of 1987.

2. The grounds served on the detenu for making the detention order dt. 15-5-1987 alleged that he (the detenu Madhava Rao) undertakes contract works of various types under South Central Railway (SCR) and indulged in clandestine business of diversion of levy cement meant for use in the Masonry Ballast Wall along with the railway track on the suburban section between Kachiguda and Falaknuma Railway Stations, and thus acted in a manner prejudicial to the maintenance of supplies of cement, an essential commodity. The facts mentioned are that on receipt of an information on 18-12-1986 that levy cement was being transferred into non-levy cement bags for its diversion to works not intended, the Inspector of Police, Vigilance Cell with his staff made a surprise visit in presence of witnesses at about 1 p.m. the same day, to the site of a private building under construction, and found the information passed on to him to be correct. On inquiry it was discovered that a house belonging to one Smt. Mahati Singh, daughter of Y. Krishna Murthy, Divisional Railway Manager, was under construction under the supervision of the detenu, and the levy cement transferred into non-levy cement bags was being stored in a nearby shed for use in the construction of the said house. The watchman of Y. Krishna Murthy, named Varala Vollaiah, was kept there as guard. The detenu was supervising the construction of the house through his employee James George. The workmen engaged in the work were also examined by the police. The facts which came to light indicated that two days earlier, that is, on 16-12-1986, 200 bags of levy cement reached the site and were unloaded in the shed. James George instructed the labourers to transfer the cement into non-levy cement bags, and his instruction was carried out on the following day, the 17th of Dec. 1986 and non-levy cement bags were restitched. Yollaiah, the watchman, further stated that the cement was sent by the detenu through James George who had informed the witness that cement on two other lorries had also been unloaded in the nearby Kakatiyanagar and stored in a room belonging to the Nageshwar Rao for similar misuse. On receiving this information the Police Inspector raided the plot in Kakatiyanagar mentioned by the witness and recovered 400 bags of levy cement. A criminal case under Cls. 12 and 13 of the A.P. Levy Cement Distribution (Licensing and Regulation) Order, 1982, read with Ss. 7 and 8 of the Essential Commodities Act, 1955 was commenced, and further investigation proceeded.

3. The investigation continued for three months till 18-3-1987. Smt. Mahati Singh and her father Y. Krishna Murthy were also examined by the police and they confirmed that the detenu Madhava Rao was looking after the construction of Smt. Mahati Singhs house. The evidence collected by the police indicated that 1000 bags of levy cement was handed over to the detenu through his employee Babu on 16-12-1986 and out of this stock 600 bags on three lorries were despatched to Habshiguda, which were discovered by the Inspector on the 18th of Dec. 1986. Both Madhava Rao and his servant James absconded and were ultimately arrested on 18-3-1987, when the detenu is alleged to have confessed before the Inspector of Police. The detenu was released on bail the following day, that is, 19-3-1987. All these facts were mentioned in the grounds and it was stated that