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1998 Supreme(Ker) 379

Judges : K.NARAYANA KURUP
Palakkapalliyalil Alimohammed - Appellant
Versus
Union Of India And Others - Respondent
Case No : O.P. No. 3092 of 1998-R
Decided On : 09/07/1998
Advocates Appeared :
For the Petitioner: M/s. T. P. Kelu Nambiar (Sr.) O. V. Maniprasad and S. Mammu, Advocates. For the Respondent: C. A. Majeed, Addl. Central Govt. Standing Counsel; Addl. Advocate General.

Important Points

The judgment emphasizes that a detention order must be supported by evidence, executed without inordinate delay, and not influenced by mala fides or bias.

Subject

Criminal Law - Preventive Detention

Headnote

Preventive Detention - Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 - S. 3

Fact of the Case:

The petitioner sought the quashing of a Preventive Detention Order passed under S. 3 of the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 (the Act). The detention order was based on three incidents involving currency seizures, which the petitioner claimed were false implications.

Finding of the Court:

The court found that the detention order was liable to be quashed on various grounds, including the lack of evidence supporting the allegations, inordinate delay in execution of the order, and allegations of mala fides and bias against the detaining authority.

Issues: The issues included the validity of the detention order, the delay in execution, and the alleged mala fides and bias of the detaining authority.

Ratio Decidendi: The court held that a detention order not supported by evidence is liable to be quashed, and that inordinate delay in execution of the order raises serious doubts about the necessity of detention. The court also emphasized that allegations of mala fides and bias, when uncontroverted, render the detention order unsustainable.

Final Decision: The Original Petition was allowed, and the Preventive Detention Order was quashed.

Judgment :-

The prayer in this Original Petition is for the issuance of a writ of certiorari quashing Ext. R2(a) Preventive Detention Order passed by the 2nd respondent Commissioner and Secretary to Government (Home), Trivandrum against the petitioner under S. 3 of the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 (for short 'the Act'). Ext. R2(a) order is under challenge in this Original Petition on various grounds. At the admission stage Mr. T. P. Kelu Nambiar, learned Senior Advocate and the learned Additional Advocate General entered appearance for the petitioner and State respectively and the O.P. itself was heard at length. Though it is mentioned in the statement dated 10-3-1998 filed on behalf of the 2nd respondent that "the 2nd respondent craves leave to file a detailed counter-affidavit in due course", neither any leave was sought after filing the statement nor any affidavit filed till date.

2. From the statement of facts of the Original Petition and from a scrutiny of the files produced by the Additional Advocate General, it can be seen that the order of detention is passed based on three incidents. The first incident took place on 16-11-1991 in which Indian Currency to the tune of Rs. 9.5 lakhs was seized from the petitioner by the 4th respondent, the Superintendent of Central Excise & Customs, Kozhikode Airport Special Squad who is impleaded herein in his personal capacity. According to the petitioner, the money is the sale proceeds of air tickets sold and due from various customers of M/s. Jeddah Travels in which he is employed as a Collecting Agent, to be handed over to M/s. Air Travel Enterprises (K) Pvt. Ltd., Kozhikode. In spite of the fact that the petitioner had given the names of persons from whom the amount was collected including the copies of their passports, the 4th respondent was stubborn and obstinate in his stand that the currency was the sale proceeds of smuggled goods. Ext. P5 is the claim petition preferred by the petitioner for the release of the amount seized which is the subject matter of O.R. 39/91 charged against him by the 4th respondent. While so, Ext. P6 notice to show cause as to why the Indian Currency of Rs. 9.5 lakhs shall not be confiscated u/S. 121 of the Customs Act, 1962 was issued to the petitioner by the Collector of Central Excise and Customs, Kochi to which the petitioner gave Ext. P7 reply reiterating his stand mentioned above. After hearing parties, the Deputy Collector (Customs) passed Ext. P8 order directing confiscation of currency under S. 121 of the Customs Act. However, in appeal, the Collector (Appeals) as per Ext. P9 order reversed Ext. P8 directing to release the amount ordered to be confiscated to the petitioner. The Collector (Appeals) did not place any reliance on the statement made by the petitioner as it was found to be made out of duress and uncorroborated and the statements themselves have been retracted. The findings of the Collector (Appeals) in this regard is as follows :

"In short the whole case has been built up on the statement of 3 persons namely Shri Mohammed Ali Haji, Shri Abdul Nazar and Shri Ali Mohammed. All the three statements have been retracted at the earliest opportunity. No evidence to corroborate the confession statement has been brought on record. Both Shri Mohammed Ali Haji and Ali Mohammed have furnished an explanation that the currency belonged to M/s. Jeddan Travels and it was being taken for payment at Air Travel Enterprises. No investigation was conducted regarding the veracity of this claim. Shri A. C. Rayin, the alleged recipient of the currency and the persons who alleged to have supplied the gold denied any connection with the currency or the gold. No investigation was conducted to find the correctness of Shri A. C. Rayin's statement. No attempt has been made to implicate Shri A. C. Rayin in the alleged smuggling and sale of smuggled gold. In view of these circumstances, I am convinced that the



















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