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1984 Supreme(AP) 436

Andhra Pradesh High Court
Judges : SRIRAMULU
TGL Groundnut Corporation, Groundnut Merchants, Door No XV/1-B TGL Road, Adoni - Appellant
Versus
Agricultural Market Committee, Adoni, Assistant Secretary - Respondent
Crl.M.P.No.751 of 1984 and Batch
Decided On : 11-19-84
Advocates Appeared :
Mr. V. Jagannadha Rao,Mr. M. S. Prasad

Headnote:Andhra Pradesh (Agricultural Produce & Live Stock) Market Rules 1969 - Sub-rule 2 of Rule 70 - Criminal Procedure Code - Section 482 - Partnership film represented by its manager or managing partner - Violation of terms and conditions of licence - No specific averments in complaint against partners - Liability cannot be extended to partners - Power under Sections 482 has to be exercised sparingly by only when no other remedy available - Complaint does not make out prima facie case - Proceedings quashed.

       Held: If any licensed person falls, that person is made personally liable for the offence committed under the rule and the liability cannot be extended to any other person merely by virtue of any office or position he holds in a company or a firm, In the instant case the licenced person being the first accused company alone represented by its manager or managing Partner as the case may be will be liable for the violation of rule 70 and the liability cannot be extended to the partner of the company. In order to extend the liability for violation of rule 70 to the partners it has to be specifically averred in the complaint that each of the partners is personally guilty of the act of Commission or omission which tontamounts to an offence under rule 70. In the Complaint the petitioners were sought to be made liable by virtue of an assumption that they were the partners of the firm and as such were responsible of the company for the conduct of its business at the relative time when the offence is alleged to have been c.1mmitted. There is no averment in the complaint that notices were served on all or any of the petitioners and that they are guilty of any specific act which would tantamount to the violation of rule 70 of Andhra Pradess (Agricultural Produce & Live Stock) Market Rule 1969. Complaint in the present case taken at its face value does not make out a prime facie case against the petitioners. It is well settle principle of law the inherent powers under sec. 482 of the code can be exercised only when no other remedy is available and not when a specific remedy is provided by the statute. The power under section 482 of Criminal Procedure Code being an extraordinary one it has to be exercised sparingly. When the complaint taken at its face value dose not make out a prima facie case the proceedings can be quashed.

SRIRAMULU, J.

( 1 ) THESE four petitions involve the common questions of law, viz , (1) whether the partners of a firm are liable for prosecution in addition to the firm represented by its Manager or Managing partner for violation of the terms and conditions of the licence read with the provisions of sub-rule 2 of Rule 70 of the andhra Pradesh (Agricultural Produce and Live-Stock) Markets Rules, 1969 for non-compliance of the direction given to the firm to produce the account books and other documents, (2 ). Whether the partners of the firm can be impleaded as accused in a Criminal Prosecution against the firm and (3) Whether this court is entitled to quash the proceedings against such partners who are impleaded as accused in such criminal prosecution in exercise of its power under section 482 of the Criminal Procedure Code of 1973.

( 2 ) IT is well settled principle of law that the inherent powers under section 482 of the Code can be exercised only when no other remedy is available to the litigant and not where any specific remedy is provided by the Statute. Further the power being an extraordinary one, it has to be exercised sparingly. The limits of the power under Section 482 of Criminal Procedure Code were clearly defined by the Supreme Court in raj Kapoor vs State (1) A I R 1980 S C. 258. Where Kiishna Iyer, J. has observed as follows :"even so, a general principle pervades this branch of law when a specific provision is made; easy resort to inherent power is not right except under compelling circumstances. Not that there is absence of jurisdiction but that inherent power should not invade areas set apart for specific power under the same Code". Another important consideration which is to be kept in mind is as to when the High Court acting under the provisions of Section 482 should exercise the inherent power in so far as quashing of criminal proceedings are concerned. This matterwas gone into by the Supreme court in greater detail in Smt. Nagawwa vs. Veeranna Shivalingappa Konjalgi (2) a I R 1976 S. C. 1947. Where the scope of Section 202 and 204 of the code was considered and while laying down the guidelines and the grounds on which proceedings Could be quashed the supreme Court observed as follows:"thus it may be safely held that in the following cases an order of the magistrate issuing process against the accused can be quashed or set aside; (1) Where the allegations made in the complaint or the statements of the witnesses recoided in support of the same taken at their face value make out absolutely no case against the accused or the complaint does not disclose the essential ingredients of an offence which is alleged against the accused; (2) Where the allegations made in the complaint are patently absured and inherently improbable so that no prudent person can over reach a conclusion that there is sufficient ground for proceedings against the accused; (3) Where the discretion exercised by the Magistrate in issuing process is capricious and arbitrary having been based either on no evidence or on materials which are wholly irrelevant or inadmissible; and (4) Where the complaint suffers from fundamental legal defects, such PS, want of sanction or absence of a complaint by legally competent authority and the like. The cases mentioned by us are purely illustrative and provide sufficient guidelines to indicate contingencies where the High Court can quash the proceedings. "same view was taken in a later decision by the Supreme Court in Sharda prasad Sinha, vs. State of Bihar AIR 1977 sc 1754 where Bhagwati J. speaking for the court has observed as follows :"it is, now settled law that where the allegations set out in the complaint or the charge-sheet do not constitute any offence, it is competent to the High Court exercising its inherent jurisdiction under section 482 of the Code of Criminal procedure to quash the order passed by the Magistrate taking cognizance of the offence. "these cases have been, relied on and approved b












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