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1997 Supreme(All) 1180

IN THE HIGH COURT OF ALLAHABAD
G. P. MATHUR, I. M. QUDDUSI
KRISHNA KUMAR - Appellant
Versus
SR.SUPDT.OF POLICE, BULANDSHAHR - Respondents
CRI. M. W. P. 2398 Of 1996
Decided On : 09/29/1997

Advocates Appeared:
N.C.RAJVANSHI, R.G.PADIYA, S.P.TEWARY, U.N.Sharma

The Control Order, 1990, is a valid and applicable law governing the prevention of malpractices in the supply and distribution of motor spirit and high-speed diesel. Adulteration of these products is defined as the introduction of any foreign substance illegally/unauthorisedly, resulting in non-conformity with the requirements specified in Schedule I of the Control Order.

Headnote:

ESSENTIAL COMMODITIES ACT - [SECTION 3/7] - [CONTROL ORDER, 1990] - [SCHEDULE I] - ADULTERATION OF PETROL AND DIESEL - INTERPRETATION OF STATUTORY PROVISIONS - SCOPE AND APPLICABILITY OF CONTROL ORDER - PROCEDURE FOR INSPECTION, TAKING OF SAMPLES AND ANALYSIS - ROLE OF LABORATORIES - INTERPRETATION OF ANALYSIS REPORT - EXTENT OF ADULTERATION - ROLE OF GOVERNMENT ORDERS AND CIRCULARS - AUTHORITY TO ISSUE ORDERS AND CIRCULARS - DISTINCTION BETWEEN LAW, ORDERS HAVING FORCE OF LAW AND ADMINISTRATIVE INSTRUCTIONS - EFFECT OF GOVERNMENT ORDERS ON CONTROL ORDERS - POWER OF STATE GOVERNMENT TO DIRECT NON-REGISTRATION OF CASES OR WITHDRAWAL OF PROSECUTIONS - RIGHT TO SECOND ANALYSIS OF SAMPLE - VIOLATION OF ARTICLE 21 OF THE CONSTITUTION - SCOPE OF JUDICIAL REVIEW - DIRECTIONS TO STRICTLY ENFORCE CONTROL ORDERS.

Fact of the Case:

Numerous writ petitions were filed challenging the First Information Reports (FIRs) lodged under Sections 3/7 of the Essential Commodities Act (E.C. Act) for adulteration of petrol and diesel. The petitioners contended that the FIRs were vague as they did not specify the extent of adulteration and that the prosecution was liable to be quashed. The Court directed the submission of reports from the Forensic Science Laboratory and the Indian Oil Corporation regarding the procedure and tests carried out for analyzing samples of petrol and diesel.

Finding of the Court:

1. The Control Order, 1990, made under Section 3 of the E.C. Act, governs the prevention of malpractices in the supply and distribution of motor spirit and high-speed diesel. Adulteration of these products is defined as the introduction of any foreign substance illegally/unauthorisedly, resulting in non-conformity with the requirements specified in Schedule I of the Control Order. 2. The density of the product at the dealer's tank or retail point is a crucial factor in determining adulteration. Variation in density beyond the prescribed limit from the density recorded in the morning or after the last receipt indicates adulteration. 3. The procedure for inspection, taking of samples, and analysis is laid down in the Control Order. Authorized officers can inspect and take samples, and the analysis report from laboratories specified in Schedule III is conclusive and admissible without formal proof. 4. Administrative or executive orders issued by the State Government or circulars issued by oil companies regarding inspection, sampling, and analysis are without legal authority and cannot be taken into consideration. 5. A petition to quash an FIR or investigation under Article 226 of the Constitution or Section 482 of the Code of Criminal Procedure cannot be entertained if the FIR alleges that the analysis report showed adulteration. 6. The State Government cannot direct non-registration of cases or withdrawal of prosecutions involving breach or violation of a Control Order made by the Central Government. 7. A Control Order issued by the State Government cannot be stayed or suspended by an administrative or executive order. 8. The petitioners' contention that the FIRs were vague was rejected as the analysis reports showed adulteration, which is sufficient to establish a breach of the Control Order. 9. The Court observed that adulteration of diesel with kerosene is widespread and amounts to cheating under Section 420 of the Indian Penal Code.

Issues: 1. Whether the FIRs were vague due to the lack of specification of the extent of adulteration. 2. Whether the Control Order, 1990, and its provisions, including the definition of adulteration and the procedure for inspection, sampling, and analysis, were valid and applicable. 3. Whether administrative or executive orders issued by the State Government or circulars issued by oil companies could override or modify the provisions of the Control Order. 4. Whether the State Government had the authority to direct non-registration of cases or withdrawal of prosecutions involving breach or violation of a Control Order made by the Central Government. 5. Whether the petitioners' right to a second analysis of the sample was violated, and whether this violated Article 21 of the Constitution. 6. Whether the scope of judicial review extended to quashing FIRs or investigations based on allegations of adulteration in the analysis report.

Ratio Decidendi: 1. The Control Order, 1990, is a valid and applicable law governing the prevention of malpractices in the supply and distribution of motor spirit and high-speed diesel. 2. Adulteration of these products is defined as the introduction of any foreign substance illegally/unauthorisedly, resulting in non-conformity with the requirements specified in Schedule I of the Control Order. 3. The density of the product at the dealer's tank or retail point is a crucial factor in determining adulteration. Variation in density beyond the prescribed limit from the density recorded in the morning or after the last receipt indicates adulteration. 4. The procedure for inspection, taking of samples, and analysis is laid down in the Control Order. Authorized officers can inspect and take samples, and the analysis report from laboratories specified in Schedule III is conclusive and admissible without formal proof. 5. Administrative or executive orders issued by the State Government or circulars issued by oil companies regarding inspection, sampling, and analysis are without legal authority and cannot be taken into consideration. 6. A petition to quash an FIR or investigation under Article 226 of the Constitution or Section 482 of the Code of Criminal Procedure cannot be entertained if the FIR alleges that the analysis report showed adulteration. 7. The State Government cannot direct non-registration of cases or withdrawal of prosecutions involving breach or violation of a Control Order made by the Central Government. 8. A Control Order issued by the State Government cannot be stayed or suspended by an administrative or executive order. 9. The petitioners' contention that the FIRs were vague was rejected as the analysis reports showed adulteration, which is sufficient to establish a breach of the Control Order. 10. The Court observed that adulteration of diesel with kerosene is widespread and amounts to cheating under Section 420 of the Indian Penal Code.

Final Decision: The writ petitions were dismissed. The respondents were commanded by a writ of mandamus to strictly enforce all the Control Orders issued with regard to petroleum products.

G. P. MATHUR, J.

( 1 ) LARGE number of Writ Petitions have been filed for quashing the First Information Reports which have been lodged under Sections 3/7 Essential Commodities Act (hereinafter referred to as the Act ). Two such petitions in which leading arguments have been advanced are being disposed of by this order.

( 2 ) THE Petrol Pump of M/s. Bhagwandin Gayaprasad situate at Ghatampur district Kanpur Dehat was inspected on 2-4-96 and sample of petrol and diesel was taken which was sent to Forensic Science Laboratory, Lucknow. The report of analysis showed that the sample of diesel was adulterated with Kerosene. Thereafter, a first information report was lodged by Dinesh Kumar Misra, Supply Inspector, Ghatampur against the proprietor of M/s. Bhagwandin Gaya Prasad and the Manager Sardar Husain under Sections 3/7 E. C. Act and Sections 406, 409, 417, 419 and 420 IPC at P. S. Ghatampur on the basis of which a case was registered as Crime No. 623/96. Writ Petition No. 127 of 1997 has been filed by M/s. Bhagwandin Gaya Prasad through its Partner Devi Prasad for quashing the F. I. R. The retail outlet of M/s. Khurja Highway Service Station G. T. Road, Khurja was inspected on 10-1-96 and sample of petrol and diesel was taken which was sent for analysis to Forensic Science Laboratory, Agra. The report of analysis showed that diesel was adulterated with kerosene. Shri Kunwar Pal Singh, Supply Inspector lodged a first information report against Khurja Highway Service Station under Sections 3/7 E. C. Act at P. S. Khurja Nagar on the basis of which a case was registered as Crime No. 290/96. Krishna Kumar and Manoj Kumar Partners of M/s. Khurja Highway Service Station have filed writ petition No. 2398 of 1996 for quashing the F. I. R. lodged against them.

( 3 ) SHRI Ramendra Asthana learned counsel for the petitioner has submitted that the F. I. R. contains only an allegation that High Speed Diesel, the sample of which was taken from the petitioners Petrol Pump was found to be adulterated but the extent or the exact quantity of adulteration is not mentioned and the allegation being vague the prosecution of the petitioners and the proceedings taken in pursuance thereof are liable to be quashed. In order to examine the contention raised, it will be useful first to refer to the statutory provisions.

( 4 ) THE Central Government in exercise of power conferred by Section 3 of the E. C. Act has made the Motor Spirit and High Speed Diesel (Prevention of Malpractices in Supply and Distribution) Order, 1990 on 22-9-1990 (hereinafter referred to as the Control Order) which by virtue of Clause 1 (3) came into force on Ist October, 1990 in respect of High Speed Diesel (for short H. S. D.) and on Ist January, 1991 in respect of Motor Spirit (M. S. ). The Control Order was amended on 5-8-1993. It is this Control Order which makes adulteration in petrol and diesel a criminal offence and will govern the controversy in hand. For convenience some of the relevant provisions of the Control Order are being reproduced below;clause-2 In this Order, unless the context otherwise requires :- (g) "adulteration" means the introduction of any foreign substance into motor spirit/high speed diesel illegally/unauthorisedly with the result that the product does not conform to the requirements indicted in Schedule I, (c) "dealer" means a person appointed by an Oil Company to purchase, receive, store and sell motor spirit and high speed diesel oil whether or not in conjunction with any other business, and shall include his representatives, employees or agents; (d) "high speed diesel" means any hydrocarbon oil (excluding mineral colze oil and turpentine substitute) which has its flashpoint at or above 25 degree celsius and is suitable for use as fuel in compression ignition engines; (e) "malpractices" shall include the following acts of omission and commission in respect of motor spirit and high speed diesel; (i) adulteration, (ii) pilferage, (iii) stock variation, (i




























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