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2024 Supreme(Bom) 1085

IN THE HIGH COURT OF BOMBAY, NAGPUR BENCH
Bharat P. Deshpande, J.
M/s Mahesh Enterprises - Petitioner
Versus
State of Maharashtra and Others - Respondents
Writ Petition No. 1612 of 2024
Decided On : 26-03-2024

Advocates:
Advocate Appeared:
For the Petitioner:Ms. A.P. Gupta, Advocate h/f Mr. J.M. Gandhi, Advocate
For the Respondent: Mr. Alap Palshikar, AGP
For the Intervenor :Mr. A.J. Pathak, Advocate

A licensed dealer of insecticides is protected under Section 30(3) of the Insecticides Act, 1968, and cannot be penalized without evidence of wrongdoing.

Headnote:(A) Insecticides Act, 1968 - Sections 12, 13, 18, 30(3) - The petitioner, a licensed dealer of insecticides, challenged an order prohibiting the sale of insecticides, alleging violations of licensing conditions. The court found that the petitioner was protected under Section 30(3) as he was neither an importer nor a manufacturer and had acquired insecticides from licensed sources. The order was quashed for lack of proper application of mind by the authorities. (Paras 7, 30, 38, 41)

(B) Natural Justice - The order was issued without giving the petitioner an opportunity to be heard, violating principles of natural justice. (Paras 12, 41)

Facts of the case:
The petitioner, a licensed insecticide dealer, was accused of selling insecticides beyond the jurisdiction of his license. An inspector's order prohibited sales without proper justification or opportunity for the petitioner to respond.

Findings of Court:
The court ruled that the order was issued without proper grounds and violated the principles of natural justice. The petitioner was entitled to protection under Section 30(3) of the Act.

Issues: The main issues were whether the petitioner violated licensing conditions and whether the order was legally justified.

Ratio Decidendi: The court held that the petitioner, as a dealer, was protected under Section 30(3) of the Act, and the order was quashed due to lack of evidence and violation of natural justice principles.

Result: The impugned order dated 21.02.2024 is hereby quashed and set aside.

JUDGMENT :

Bharat P. Deshpande, J.

Heard.

2. Rule. Rule is made returnable forthwith.

3. Heard finally with the consent of learned counsel for the respective parties for final disposal at the admission stage itself.

4. The petitioner is a proprietor concern dealing in business of insecticides and fertilizers on a license granted by the concerned Authority. The respondent No.3/Inspector visited the commercial premises of the petitioner on 21.02.2024 and on inspection submitted a report. The respondent No. 3/Inspector alleged that the petitioner though obtained license, selling insecticides illegally out of the District and the State and some of the insecticides are being sold without necessary permission. He also observed, that some of the clauses mentioned in the license are stands violated. The respondent No. 3/Inspector, while submitted the report, called upon the petitioner to give his say within a period of 7 days. However, on the same day, he delivered an order directing the petitioner not to dispose of any stock in his possession and also issued order to stop the sale, distribution or use of the subject insecticides mentioned in the list annexed with the said order for a period of 21 days therefrom.

5. On 27.02.2024, the petitioner submitted his explanation in writing to the respondent No. 3/Inspector with a request to revoke the order of stopping of sale and distribution of the insecticides. Since no action was taken, the petitioner preferred the present petition with the following prayer.

    "Prayer:- It is, therefore, most humbly prayed that this Hon'ble Court may kindly be pleased to:

    i. issue writ of certiorari or any other appropriate writ, order or direction calling upon the record of proceeding wherein the impugned order dated 21.02.2024 is passed by the Learned Respondent No.3 and after examining the same, further may kindly be pleased to issue the Writ declaring that the Learned respondent No.3 has not proceeded as per the Law and acted in contravention of the provisions of Law and further be pleased to declare the impugned Order dt.21.02.2024 a nullity;

    ii. quash and set aside the impugned order dated 21.02.2024 passed by respondent No.3 vide Annexure-1;

    iii. stay the effect, operation and execution of impugned Order dated 21.02.2024 during the pendency of petition to enable the petitioner to continue with his business;

    iv. saddle the cost of the petition upon the respondents;

    v. grant any other relief which this Hon'ble Court deems fit and proper, in the interest of justice."

6. During the pendency of the present petition, the respondents brought to the notice that another order was passed against the petitioner thereby stopping him from selling the insecticides and fertilizers till further orders. It is the contention of the petitioner, that the second order was not served on him till date. However, the petition is filed with regard to the earlier orders on specific grounds as disclosed in the petition.

7. It is the contention of the petitioner, that he obtained a valid license for the purpose of sale of insecticides and fertilizers and that he is purchasing agro products validly and lawfully manufactured by the renowned and prestigious manufacturers, which are authorised distributors/dealers under valid invoices in bulk and selling it in the local market. It is the contention, that he did not violate any provisions of the license or the one which is mentioned in the report as well as the order passed by the respondents. It is further his contention, that the person not being an importer or manufacturer of an insecticide or is the agent for distribution thereof cannot be liable for contravention of any provisions of the Insecticides Act, 1968 (for short "the Act of 1968" hereinafter), if he had acquired the insecticide from an importer or a duly licensed manufacturer, distributor or a dealer thereof and was absolutely unaware, could not, with reasonable diligence have ascertained that the insecticide in any way contravened

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