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2026 Supreme(Ker) 105

IN THE HIGH COURT OF KERALA AT ERNAKULAM
SUSHRUT ARVIND DHARMADHIKARI, P.V.BALAKRISHNAN
State Of Kerala Represented By The Secretary, Food And Civil Supplies Department – Appellant
Versus
Niradeepam Roller Flour Mill – Respondent


Advocates Appeared:
For the Petitioner: Spl. Government Pleader Sri Renjith S
For the Respondent: Sri.Sanil Jose, Sri.Bonny Benny, Sri.P.G. Sudheesh, Sri.K.P. Antony Binu, Shri.Amaljith

Judgement Key Points

The ratio of the judgment is that an acquittal in a criminal trial does not automatically entitle the respondent to claim compensation under the provisions of the Essential Commodities Act unless the specific statutory pre-conditions for such compensation are met. The court clarified that the benefit under Section 6C(2) of the Act is only applicable when the acquittal pertains to an offence under Section 6A of the Act, which involves the contravention leading to confiscation. In this case, since the respondent was acquitted of charges under Section 3(1) of the Act and not under Section 6A, the statutory conditions for invoking Section 6C(2) were not satisfied. Consequently, the court held that the respondent was only entitled to the proceeds from the sale of the seized commodity under the applicable sections, and not to any additional compensation or interest under Section 6C(2).


Table of Content
1. description of case facts and context. (Para 1 , 3 , 4)
2. arguments presented by both parties. (Para 5 , 6)
3. court's analysis of statutory provisions. (Para 7 , 8 , 9)
4. court's rationale regarding statutory applicability. (Para 10 , 12)
5. final ruling and conclusion of the court. (Para 13 , 14)

JUDGMENT :

Sushrut Arvind Dharmadhikari, J.

The present intra-court appeal under Section 5 of the Kerala High Court Act, 1958 assails the judgment dated 08.04.2025 passed in W.P.(C) No. 31340 of 2019, whereby the writ petition filed by the respondent was allowed.

2. The appellants herein were respondent Nos. 1 to 4 in the writ petition, while the respondent herein was the petitioner therein.

Facts

3. The brief facts of the case are that the respondent is the owner of a roller flour mill engaged in processing wheat products. On 20.04.2007, a raid was conducted by the Taluk Supply Officer and the Rationing Inspectors at the instance of the District Collector/second appellant, which led to the seizure of 2,34,610 kgs of wheat from the firm’s godown, alleging that the said wheat was exclusively meant for distribution through the Public Distribution System and that the respondent w

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