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2021 Supreme(Raj) 708

IN THE HIGH COURT OF RAJASTHAN
Sandeep Mehta, J.
Arvind Agarwal - Appellant
Versus
State Of Rajasthan - Respondent
S.B. Criminal Misc(Pet.) No. 2681/2018
Decided on : 29-04-2021

Advocates appeared:
Mr. Deepak Menaria, for the Appellant; Mr. Mahipal Bishnoi, PP, for the Respondent.

The court emphasized the need for proper authorization for registering non-cognizable offenses and the requirement to establish the ingredients of the offense under IPC Section 420.

Headnote:

Trademark Misuse - Trade & Merchandise Marks Act, 1958 - Sections 103, 104, IPC Section 420

Fact of the Case:

The petitioner sought quashing of an FIR for offenses under Trade & Merchandise Marks Act, 1958 and IPC Section 420. The police alleged the petitioner of selling spurious oil using trademarks of recognized brands.

Finding of the Court:

The court found that the food articles tested conformed to standards and no evidence of cheating was presented. The offenses under Trade & Merchandise Marks Act are non-cognizable and the FIR was registered without proper authorization.

Issues: Alleged trademark misuse and cheating under IPC Section 420.

Ratio Decidendi: The court held that the ingredients of the offense under IPC Section 420 were not made out and the FIR was registered without proper authorization for offenses under Trade & Merchandise Marks Act.

Final Decision: The petition was allowed, and the impugned FIR and proceedings were quashed.

JUDGMENT

1. The instant misc. petition under Section 482 Cr.P.C. has been filed by the petitioner Arvind Agarwal seeking quashing of the FIR No.224/2018 registered at the Police Station Abu Road City, District Sirohi, for the offences under Sections 103 and 104 of the Trade & Merchandise Marks Act, 1958 and Section 420 of the IPC.

2. Facts relevant and essential for disposal of the misc. petition are noted herein below:-

3. Sub-Inspector Chhaganlal who was posted at the Police Station, Abu Road City, lodged a typed report to the SHO, Police Station, Abu Road City on 10.08.2018 alleging inter-alia that on 09.08.2018, one Nirmal Khatri, member of the special team constituted by the Superintendent of Police, Sirohi, gave an information to him regarding irregularities in manufacture of spurious oil by the operator of a unit at Plot No. "G-131", Arbuda Industrial Area, Abu Road. It was also alleged in the report that the operator was indulged in misusing the trademarks of recognized brands and was attempting to sell the spurious oil as genuine branded product. When Chaganlal reached the spot, Shri Nirmal Khatri, met him at the spot. Two boys namely Suresh Rajput, R/o Panchala, Police Station Sanchore, and Mitthu, R/o Ram Nagar, District Gonda, Uttar Pradesh were present in the unit. They introduced themselves as employees of the present petitioner. Members of the special team and the Sub-inspector conducted search of the premises and found various packaging materials of different brands lying there. A big hall was constructed in the premises where a refinery machine was installed and oil was stored in tanks. While the search was being undertaken, a person named Arvind Agarwal came there, who on enquiry, stated that the first and the second tanks contained mustard oil, the third and the fourth tanks contained palmolein oil, the fifth and the sixth tanks contained soyabean oil. A number of tins of Balaji Sarso Oil, Balaji Soyabean Oil, Palmolein Oil and other packagings of various brands were also found there. Cartons of Dalda Ghee, gunny bags of Raj Company Tea and old empty tins with brand stickers of various companies like Fortune etc. were also found in the premises. On enquiry, Arvind Agarwal admitted to be the person incharge of the unit and admitted that the food oils were being packed in the branded tins of different manufacturers and then they would be sold off in the market as original branded food product. The firm was existing in the name of Pradeep Kumar Sagarmal and his elder brother was the proprietor thereof. While the search was being undertaken, the DSO Sirohi, namely Sushil Kothari, the Dy. Superintendent of Police, Hiralal, and the SHO Police Station Abu Road City also reached there. Samples were collected from various oil tanks etc. The spurious packaging material, tins etc., were seized and thereafter, the Sub-Inspector proceeded to the police station and lodged the aforestated report on the basis whereof, an FIR (No.224/2018) came to be registered against the present petitioner. The petitioner has approached this Court by way of this instant misc. petition seeking quashing of the impugned FIR by invoking the inherent jurisdiction of this Court under Section 482 Cr.P.C.

4. Learned counsel Shri Menaria submits that ex-facie, the allegation of the prosecution agency that the petitioner was indulged in selling spurious oil is falsified from the fact that when the oils' samples were forwarded to the public analyst, a report has been received with a conclusion that the oil samples conformed to the standards prescribed in the Prevention of Food Adulteration Act, 1954 (hereinafter to be referred as, "The PF Act") and its schedule. He further submits that there is no complaint whatsoever of any individual or any trademark holder that the petitioner was misusing the trademark or copyright of any other person/body incorporate by selling oil packed in their branded packages. He submits that ex-facie, the ingredients of the off

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