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2006 (3) Crimes 620
CALCUTTA HIGH COURT (DB)
Debi Prasad Sengupta and Sadhan
Kumar Gupta, JJ.
Smt. Usha Agarwal — Appellant
versus
Union of India & Ors. — Respondents
W.P. No. 23908(W) of 2005
Decided on 21-04-2006

Counsel for the parties:
For the Petitioner:Shibdas Banerjee, Farook Rezzak, Arundhati Banerjee, Faisal Farook and Sutanu Chakra-borty, Advocates.
For the Respondent No. 1:Chandrima Bhattacharya, Biswanath Samaddar and Sucharita Ray, Advocates.
For the Respondent No. 2:S.K. Kapoor and Mintu Kr. Goswami, Advocates.

IMPORTANT POINTS
1.Supply of illegible copies virtually amounts to non supply of relevant documents, which vitiates order of detention.
2.There is no hard and fast rule that merely because there is a long gap between offending act and date of order of detention, the casual link must be taken to be broken and satisfaction arrived at by detaining authority must be regarded as in-genuine. It is ultimately question of satisfaction of Court to ascertain as to whether detaining authority has explained delay satisfactorily.


Headnote:Constitution of India, 1950 — Article 226 — Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 — Section 3(1) — Import of duty free goods by detenu under Annual Advance licences and thereby

       divert to different places without utili-zing the same in manufacture of resultant export products in contravention of exim Policy and Customs Act — Detention order — Habeas corpus petition there against — An order of detention vitiates if any relevant document is not placed before detaining authority — Documents however which were allegedly withheld, were not at all relevant documents and no wrong committed by sponsoring authorities in not placing those documents before detaining authority — Order of detention was passed on basis of materials which were very much existent — No Consideration of non-existent materials by detaining authority — Documents supplied being quite legible, detenu not deprived of making an effective representation on basis of such documents — Although there was a delay of about nine and half months between offending act and/or registration of case and date of passing order of detention, such delay was sufficiently explained — In view of nature of offending act, manner in which such act was continued for a considerable period, and conduct of accused who after his first appearance absconded for a long period, detaining authority rightly concluded that it was necessary to detain detenu to prevent him from indulging in any smuggling activity in future — No delay in supplying copies of relevant documents to detenu — Even a solitary incident may speak of volumes about potentialities of detenu and merely on ground that there was no antecedent, the detention order cannot be quashed — Contention that order of detention was vitiated as it was passed on basis of a solitary incident of non-fulfilment of export obligations under

       Advance licences was found unacceptable — No undue delay in delaying with representation of detenu — Offending act committed by detenu coming within ambit of smuggling — No ground to quash detention order — Petition dismissed.(Paras 14, 18, 20, 27, 28,

       30, 35, 37, 39, 44, 47)

       Facts of the case:

       1.The present application under Article 226 of the Constitution of India has been filed for issuance of a writ in nature of habeas corpus for setting aside order of detention passed against detenu. The detenu herein in the instant case

       imported duty free goods under Annual Advance Licenses and thereby diverted it to different places without utilising same in manufacture of resultant export products in contravention of exim policy and Customs Act.

       2.Findings of the Court: The Court held that an order of detention vitiates if any relevant document is not placed before detaining authority. Documents however which were allegedly withheld, were not at all relevant documents and no wrong was committed by sponsoring authorities in not placing those documents before detaining authority. Order of detention was passed on basis of materials which were very much existent. No consideration of non-existent materials by detaining authority. Documents supplied being quite legible, detenu was not deprived of making an effective representation on basis of such documents. Although there was a delay of about nine and half months between offending act and/or registration of case and date of passing order of detention, such delay was sufficiently explained. In view of nature of offending act, manner in which such act was continued for a considerable period, and conduct of accused who after his first appearance absconded for a long period, detaining authority rightly concluded that it was necessary to detain detenu to prevent him from indulging in any smuggling activity in future. There was no delay in supplying copies of relevant documents to detenu. Even a solitary incident may speak of volumes about potentialities of detenu and merely on ground that there was no antecedent, the detention order cannot be quashed. Contention that order of detention was vitiated as it was passed on basis of a solitary incident of non fulfilment of export obligations under

       Advance licences was found unacceptable. Since offending act committed by detenu coming within ambit of smuggling, no ground to quash detention order. Petition accordingly dismissed.

       Result : Petition dismissed.

       

JUDGMENT

Debi Prasad Sengupta, J. — The present application under Article 226 of the Constitution of India has been filed for issuance of a writ in the nature of Habeas Corpus for setting aside the order of detention passed by the Joint Secretary to the Government of India, Ministry of Finance, Department of Revenue in terms of the provision of Section 3(1) of the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 (in short COFEPOSA).

2.Before considering the matter on merit, we may refer to the facts of the case and the chronological events, which will appear from the order of detention itself.

3.There was a source information that one Sandip Agarwal, Director of the Company M/s. Sandip Exports Limited under two Licences issued in his favour imported different types of polyester and silk yarn/fabric duty free under DEEC Scheme and instead of utilising the said goods in the manufacture of resultant export products disposed of the said duty free imported goods in the market without fulfilling the export obligation in terms of the condition of Advance Licences. On the basis of such information, the office premises of M/s. Sandip Exports Limited at 220, A.J.C. Bose Road, Calcutta was searched on 7.11.2003 and some documents were seized.

4.Voluntary statement of Sri Sandip Agarwal was recorded under Section 108 of the Customs Act on 7.11.2003, wherein he stated that he was one of three Directors and he used to look after the business of the Company. They used to take help of the job-workers for manufacturing the export product although there was no such permission given in the Advance Licences. It was stated that in respect of the imports through Chennai Port, instruction was given to M/s. Sinu Kargo Ways to deliver the imported goods to job-workers in Proddatur namely M/s. Mohan Silk Fabrics,

M/s. Balaji Handlooms and M/s. Maruthi Silk Fabrics. The imported materials were not sent to the manufacturing unit as mentioned in the Advance Licences, but those were directly sent to the job workers of Proddatur who used to send the export product to Calcutta office of

M/s. Sandip Exports Limited. It was further stated that imported goods were sent to the job-workers at Bhagalpur through transporters namely M/s. Bhagalpur Transport, M/s. Maa Kali Transport and M/s. Prime Transport and goods were sent to Proddatur through M/s. Patel Transport.

5.To verify the genuineness of the statement of the detenu an enquiry was conducted by the Directorate of Revenue Intelligence, Patna in the office of M/s. Sandip Exports Limited at 23, M. N. Das Road, Bhagalpur and the statement of the owner of the house was recorded, which revealed that M/s. Sandip Exports Limited took one room on rental basis in the month of May, 1999 and vacated the same in July, 2000 and no person ever stayed in the tenanted room permanently nor any article was kept in the said room. It was further revealed from the statement of the owner of the house that the said room was used as a transit office of one person named Dilip Kundu, manager of M/s. Sandip Exports Limited. Dilip Kundu used to collect woven fabrics from the local weavers and after dying the same used to send it to his Kolkata office.

6.Statement of Dilip Kundu was recorded under Section 108 of the Customs Act on 11.11.2003. He also provided a list of job-workers, namely Lakhan Ram, Bahram raw silk, Z.R. Fashion World — all of Bhagalpur and Balaji Silk Fabrics, Mohan Silk Fabrics and Maruthi Silk Fabrics at Proddatur, Andhra Pradesh. Enquiry was conducted in respect of the job workers at Bhagalpur and their statements were also recorded under Section 108 of the Customs Act. They stated that they were not engaged by

M/s. Sandip Exports Limited as their job-workers. All of them stated that they sold silk and cotton fabrics to M/s. Sandip Exports Limited, but they did not receive any raw material from the said company.

7.Similarly enquiry was conducted in respect of other three workers

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