IN THE HIGH COURT OF JAMMU AND KASHMIR AND LADAKH AT SRINAGAR
SANJAY DHAR, J.
Farooq Ahmad Magray – Petitioner
Versus
UT of J&K – Respondent
CRM (M) No. 17 of 2022
Decided On : 17-03-2022
Bank Guarantee - Confiscation of Vehicle - The court set aside the condition of furnishing a bank guarantee to the tune of Rs. 1.00 lac by the petitioner, as it was deemed superfluous and onerous due to the existence of an indemnity and surety bond requirement for the value of the vehicle.
Fact of the Case:
The petitioner contested the condition imposed by the learned Additional Sessions Judge for release of the vehicle, arguing that it was onerous and deprived him of possession of the vehicle, which was deteriorating in the police station premises without any confiscation proceedings pending.
Finding of the Court:
The court found the condition of furnishing a bank guarantee to be superfluous and onerous, as the petitioner was already required to furnish an indemnity and surety bond for the value of the vehicle.
Issues: The main issue was the imposition of an onerous condition for the release of the vehicle, which the petitioner argued deprived him of possession.
Ratio Decidendi: The court held that the condition of furnishing a bank guarantee was unnecessary in the presence of the requirement for an indemnity and surety bond for the value of the vehicle, and thus set it aside.
Final Decision: The petition was allowed, and the impugned order directing the petitioner to furnish a bank guarantee to the tune of Rs. 1.00 lac was set aside.
JUDGMENT :
SANJAY DHAR, J.
1. Petitioner is aggrieved of order dated 07.09.2018 passed by learned Additional Sessions Judge, Sopore, to the extent it directs the petitioner to furnish bank guarantee to the tune of Rs. 1.00 lac as a condition precedent for release of the vehicle bearing No. JK-03C-6054 in his favour.
2. It has been contended by the petitioner that the condition imposed by the learned Additional Sessions Judge for release of the vehicle in question in his favour is onerous which the petitioner is unable to fulfill, as a result of which he is being deprived of the possession of the vehicle of which he happens to be the registered owner. According to the petitioner, by imposing such an onerous condition, the petitioner has been denied possession of the vehicle, as a result of which it has been made to deteriorate in the premises of the police station without there being any confiscation proceedings pending in respect of the vehicle in question.
3. Reply on behalf of the respondent-State has been filed in which the respondent has narrated the facts leading to seizure of the vehicle bearing No. JK-03C-6054. As per the respondent, the aforesaid vehicle was seized in connection with investigation of FIR No. 33/2018 for offences under Section 8/20 of the NDPS Act registered with Police Station, Fruit Mandi, Sopore. It is alleged that charas weighing 830 grams was recovered from one Ghulam Qadir Malik and charas weighing 270 grams was recovered from the possession of Gowhar Ahmad Mir, the occupants of the vehicle in question. After investigation of the case, the challan has already been produced against the aforesaid two persons before the Court of Additional Sessions Judge, Sopore.
4. I have heard learned counsel for the parties and perused the record of the case.
5. According to the prosecution, the vehicle in question was seized as the persons who were found in possession of the charas were travelling in the said vehicle. The vehicle in question does not belong to the said persons but it is the petitioner who happens to be the registered owner of the vehicle.
6. As per Section 60(3) of the NDPS Act, any conveyance used in carrying any narcotic drug or psychotropic substance or any article liable to confiscation under sub-section (1) or sub-section (2) is liable to confiscation, unless the owner of the conveyance proves that it was so used without his knowledge or connivance.
7. Section 63 of the NDPS Act provides for procedure in making confiscation. As per provisions of this Section, it is the trial court which has to decide whether any article or thing seized under the Act is liable to confiscation.
8. Admittedly, no confiscation proceedings have been initiated by the trial court in respect of the seized vehicle. The learned trial court has, therefore, rightly, by exercising powers under Section 516-A of the J&K Code of Criminal Procedure, directed that the interim custody of the vehicle be handed over to the petitioner who happens to be its registered owner. This was necessary to prevent deterioration of the condition of the vehicle. But while releasing the vehicle in favour of the petitioner, the learned trial court has imposed a number of conditions upon the petitioner which are reproduced as under:
2. That the superdar will take necessary measures to upkeep the vehicle without changing its nature.
3. The superdar shall not transfer the vehicle to anybody else nor the possession of the same be parted with until the disposal of the prosecution case.
4. The superdar shall not use the vehicle in the commission of any offence.
5. The superdar shall furnish the bank guarantee to the tune of Rupees One Lakh.
6. That the value of the vehicle shall be got assessed by the Investigating Officer from competent Agency and indemnity and surety bond for indemnifying the valuation of the vehicle shall be filed by the
The court emphasized that the imposition of onerous and superfluous conditions for the release of the vehicle was unjustified and set aside the requirement for a bank guarantee.
The NDPS Act mandates strict conditions for the interim custody of seized vehicles, especially when the owner is implicated in the offence.
The central legal point established in the judgment is the balancing of the statutory mandate of confiscation under Section 60 of the NDPS Act with the practical considerations of the petitioner's ne....
An owner claiming innocence can request release of a seized vehicle under NDPS Act, provided they prove lack of knowledge about its illegal use, subject to security conditions.
The court can release a seized vehicle under strict conditions to balance ownership rights and ongoing criminal proceedings while safeguarding against future violations.
The main legal point established is that while a vehicle used in carrying narcotic drugs is liable to confiscation, the owner can prevent confiscation by proving lack of knowledge or connivance in it....
The main legal point established in the judgment is that the court has the discretion to release seized property under Section 457 of the Code of Criminal Procedure, taking into account the specific ....
The court has the discretion to modify onerous conditions for releasing confiscated property based on the hardship faced by the petitioner.
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