SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Audio Icon Pause Audio Icon
judgment-img

2007 Supreme(Cal) 617

High Court Of Calcutta
Before Ashim Kumar Roy, J.
MILAN KUMAR PAL - Appellant
Versus
STATE - Respondent
C. Z. A.  498  Of  1998
Decided On : 08/13/2007

Advocates Appeared:
Tapandeb Nandy, TAPAS MIDDYA

The mere storage of essential commodities in a separate room without maintaining separate accounts or displaying a Rate cum Stock Board does not constitute an offense under the Essential Commodities Act unless the storage is for the purpose of any business involving sale or purchase for sale or storage for sale of the essential commodity.

Headnote:

ESSENTIAL COMMODITIES ACT - SECTION 7(1)(A)(II) - WEST BENGAL LICENSING OF DEALERS OF CEMENT AND DISTRIBUTION OF LEVY CEMENT ORDER, 1982 - PARAGRAPH 5(2) - Storage of cement in a separate room without maintaining separate accounts or displaying Rate cum Stock Board does not constitute an offense under the Essential Commodities Act.

Fact of the Case:

The appellant, a licensed dealer of cement, was accused of violating Paragraph 5(2) of the West Bengal Licensing of Dealers of Cement and Distribution of Levy Cement Order, 1982, by failing to maintain separate accounts for a separate place of business where he stored 1200 bags of cement.

Finding of the Court:

The court found that the appellant had temporarily shifted the 1200 bags of cement to another room to avoid damage from rain, and that he had disclosed this fact to the investigating officer at the time of the raid. The court also found that the appellant had produced all relevant books relating to his business and that the Stock cum Rate Board was found to be displayed in his shop.

Issues: 1. Whether the appellant had violated Paragraph 5(2) of the West Bengal Licensing of Dealers of Cement and Distribution of Levy Cement Order, 1982, by failing to maintain separate accounts for a separate place of business where he stored 1200 bags of cement. 2. Whether the appellant had the necessary mens rea to be convicted under Section 7(1)(a)(ii) of the Essential Commodities Act.

Ratio Decidendi: 1. The court held that the appellant was not required to maintain separate accounts for the room where he had temporarily stored the 1200 bags of cement, as that room did not constitute a place of business within the meaning of Paragraph 5(2) of the West Bengal Licensing of Dealers of Cement and Distribution of Levy Cement Order, 1982. 2. The court held that the appellant did not have the necessary mens rea to be convicted under Section 7(1)(a)(ii) of the Essential Commodities Act, as he had acted in good faith and had not intended to violate the provisions of the Control Order.

Final Decision: The court allowed the appeal, set aside the conviction and sentence, and ordered the appellant's release.

( 1 ) THIS is an appeal against the order of conviction of the appellant under section 7 (1) (a) (ii) of the Essential Commodities Act for alleged violation of the provisions of Paragraph 5 (2) of the West Bengal Licensing of Dealers of cement and Distribution of Levy Cement Order, 1982 and sentence of rigorous imprisonment for 2 years and a fine of Rs. 2,000/-, in default to suffer rigorous imprisonment for a further period of 6 months, passed in a trial held before the learned Judge, Special Court under E, C. Act, Nadia, Krishnanagar.

( 2 ) DURING the trial while the appellant was examined under Section 251 of the Code of Criminal Procedure, the accusation made against him was as follows : "on June 24, 1988 in between 12 noon to 4. 30 P. M. the complainant of the case, inspected the cement shop of the appellant when he was found running the shop, at the time the Stock Register and Sale Register was verified and 1200 bags of cement was found shortage. On being asked the appellant could not give any explanation for such shortage. Besides that the appellant was running a cement business from another godown for which he has neither any separate account nor any license. Thus, he has contravened the provisions of Paragraph 5 (2) of the West Bemgal Licensing Dealers of Cement and distribution of levy Cement Order, 1982. "

( 3 ) THE provisions of the Paragraph 5 (2) of the West Bengal Licensing dealers of Cement and Distribution of Levy Cement Order, 1982 for alleged contravention whereof the appellant has been placed on the aforesaid trial read as follows :

"5 (2) Every license shall maintain separately for each place of business, a register containing correct and true accounts of purchase, sale and storage of cement at premises or places, to be written up at the end of each day. The register shall show- (a) the opening stock of the clay, (a) the opening stock of the day, (b) the quantity received during the day, (c) the quantity delivered or otherwise disposed of during the day, (d) the closing stock of the day, and (e) such other particulars as the licensing authority may, by order in writing, specify. "

( 4 ) THE case of the prosecution as against the appellant are as follows : "on 24. 06. 1988 between 12 noon to 4. 30 P. M. the complainant, district Enforcement Officer, Kalyani inspected the cement shop of the accused when he was found running his cement business. On demand the accused produced the Stock Register, Sale Register, Cash Memo Book etc. before the concerned officer and the Rate cum Stook Board was found displayed properly inside the shop. However, after verifying the physical stock 1200 bags of cement were found short. Against such shortage the accused gave an explanation that the said stock of cement i. e. 1200 hags have been temporarily shifted to a room near the Administrative Building, Kalyani as the rain water seeped inside the godown, due to heavy rain, where such stock of cement was kept. Thereafter the Investigating Officer was taken to the said godown, near Administrative building, which was half a kilometre away and was found under lock and key. Although after opening of the lock inside the godown 1200 bags of cement was found but the accused on demand could not produce any stock register or stock book showing the true and correct account of such stock. "

( 5 ) THE defence of the appellant in the trial was that 1200 bags of cement which was allegedly found to be short, was temporarily removed to some other room to avoid possible damage from rain, as there was huge seepage of rain water inside the godown and if both the stock of cement found in the shop room and those found in the room near the Administrative Building are taken together there would be no shortage.

( 6 ) IN course of the trial prosecution examined as many as 5 witnesses. Out of those witnesses P. W. 2 and P. W. 3 were declared hostile, whereas the p. W. 5 Radha Ranjan Biswas is the complainant-cum-lnvestigating Officer of this case and the











Click Here to Read the rest of this document

1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
logo-black

An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers

Please visit our Training & Support
Center or Contact Us for assistance

qr

Scan Me!

India’s Legal research and Law Firm App, Download now!

For Daily Legal Updates, Join us on :

whatsapp-icon Back to top