IN THE HIGH COURT OF ALLAHABAD
NALIN KUMAR SRIVASTAVA, J.
Pramit – Petitioner
Versus
State of Uttar Pradesh and Another – Respondents
Matters Under Article 227 No. 6929 of 2024
Decided On : 05-07-2024
EXCISE ACT - RELEASE OF SEIZED PROPERTY - Uttar Pradesh Excise Act, 1910 - Sections 60, 63, 72; Code of Criminal Procedure - Section 457 - The court discussed the provisions of the Uttar Pradesh Excise Act, particularly Section 72, which outlines the confiscation of items related to offenses under the Act. It emphasized that the Magistrate lacks jurisdiction to release seized property when confiscation proceedings are pending before the Collector. The court referenced previous judgments that clarified this legal position, ultimately concluding that the registered owner's claim does not grant the right to seek release of the vehicle while such proceedings are ongoing.
Fact of the Case:
Two individuals, Pramit and Surendra, were arrested for transporting illegal liquor, leading to the seizure of their vehicle. An application for the release of the vehicle was filed by Pramit, claiming ownership, but was rejected by the Chief Judicial Magistrate due to pending confiscation proceedings under the Excise Act. This rejection was upheld by the District Judge, prompting a petition under Article 227 of the Constitution.
Finding of the Court:
The court found that the Chief Judicial Magistrate and the District Judge correctly applied the law regarding the jurisdiction to release the vehicle. It reiterated that the Magistrate has no authority to release property under Section 457 of the Code of Criminal Procedure when confiscation proceedings are pending under Section 72 of the Excise Act.
Issues: The primary issue was whether the Judicial Magistrate had jurisdiction to release a vehicle seized under the Excise Act while confiscation proceedings were ongoing before the District Magistrate.
Ratio Decidendi: The court established that Section 72 of the Uttar Pradesh Excise Act does not provide for the release of seized property while confiscation proceedings are pending. The authority to release such property lies exclusively with the Collector, and the Magistrate is denuded of jurisdiction in this context.
Final Decision: The petition under Article 227 was dismissed, affirming the decisions of the Chief Judicial Magistrate and the District Judge, which correctly interpreted the law regarding the release of seized property under the Excise Act.
JUDGMENT :
NALIN KUMAR SRIVASTAVA, J.
1. Heard Sri Rajiv Sisodia, learned counsel for the petitioner, learned A.G.A. for the State and perused the record.
2. Criminal Misc. Exemption Application is allowed.
3. The factual matrix of the matter may be summarized in the manner that two persons Pramit and Surendra were intercepted by the police while engaged in transporting 12 bottles of illegal liquor having a wrapper with remark of 'Royal Stag Whisky for sale in Haryana and Delhi' endorsed upon it in a Ford Ecosport Car bearing registration No. HR 06AH -2718 on 25.10.2023 at 18:30 P.M. Both the accused persons were arrested and the liquor was seized and sample was taken by the police on spot and memo of recovery and arrest was also prepared and F.I.R. was lodged under Sections 60, 63, 72 of the Uttar Pradesh Excise Act, 1910 (hereinafter referred to as the 'Act').
4. Subsequently an application for release of Car No. HR 06AH -2718 claiming himself to be the registered owner of the said vehicle was moved by one of the accused Pramit, but the said application was rejected by the Chief Judicial Magistrate, Shamli vide order dated 19.12.2023 in case crime no. 591 of 2023 simply on the ground that since the confiscation proceedings are reported to be pending before the District Magistrate, the Judicial Magistrate has got no jurisdiction to entertain the application for release of the vehicle seized under the provisions of the Excise Act in respect thereof confiscation proceedings are pending before the District Magistrate. The said order was challenged by way of criminal revision no. 1 of 2024 before the District Judge, Shamli which on the same analogy was rejected by the revisional court as well vide judgment and order dated 6.4.2024, feeling aggrieved to which the present petition under article 227 of the Constitution of India has been preferred.
5. It is submitted by learned counsel for the petitioner that the impugned orders passed by the learned Chief Judicial Magistrate as well as by the District Judge are bad in law and have been passed without taking into account the correct legal position into the matter.
Another point of argument is that the release application was rejected by the Chief Judicial Magistrate, Shamli solely on the ground that since confiscation proceedings are going on before the District Magistrate, the case property could not be released under Section 72 of the Act and the said view was legally not sustainable.
It has been further urged by the learned counsel for the petitioner that the aforesaid wrong legal notion was affirmed by the District & Sessions Judge in criminal revision no. 1 of 2024 and the impugned order passed by the learned Magistrate was upheld and the revision was dismissed.
Another limb of argument is that the legal position in this regard is very explicit according to which even if the confiscation proceedings are going on before the District Magistrate in a case under the Act, the release of property cannot be refused on this ground alone. The petitioner before the Court is the registered owner of the vehicle in question and the Magistrate was fully empowered to pass an order for release of the said vehicle under Section 457 of the Code of Criminal Procedure.
Reliance has been placed by the learned counsel for the petitioner upon the decisions of the Single Bench of this Court rendered in Chandra Pal Vs. State of Uttar Pradesh and Another (Application u/s 482 No. 1325 of 2021) decided on 12.2.2021 and Vikas Kumar Vs. State of U.P and Another (Application u/s 482 No. 33012 of 2019) decided on 22.1.2020 by a learned Single Judge of this Court.
6. Per contra, learned A.G.A. vehemently opposed the prayer made in the petition. It has been urged that in the facts and circumstances of the present case, the Magistrate was seized of his power to release the vehicle in question under Section 457 Cr.P.C. In support of his contention, he has placed reliance on the following decisions rendered by the coordinate
G.N.C.T. of Delhi vs. Narender
Jai Prakash Vs. State of Uttar Pradesh 1992 AWC 1744
Nand vs. State of Uttar Pradesh 1997 (1) AWC 41
Rajiv Kumar Singh vs. State of Uttar Pradesh and others
Ved Prakash vs. State of Uttar Pradesh 1982 AWC 167 All
Virendra Gupta Vs. State of Uttar Pradesh 2018 (105) AllCriC 518
Virendra Gupta Vs. State of Uttar Pradesh 2019 (6) ADJ 432 (DB)
The main legal point established in the judgment is that the lower courts must determine their own jurisdiction under Section 457 Cr.P.C. to release a seized vehicle during pending confiscation proce....
The provisions contained under sub-sections (1) to (4) of Section 72 of the U.P. Excise Act, 1910, denude the Magistrate of his power to pass any order under Section 457 of the Code of Criminal Proce....
The provisions contained under sub-sections (1) to (4) of Section 72 of the U.P. Excise Act, 1910, clearly denude the Magistrate of his power to pass any order under Section 457 of the Code of Crimin....
Points of Law : Confiscation of vehicle - Provisions contained under subsection(1) to (4) of Section 72 of the Excise Act would have the effect of denuding the Magistrate of his power to pass any ord....
During confiscation proceeding, the Magistrate has no power under sections 451 or 457 Cr.P.C. to release the vehicle.
Point of Law : Only remedy remains available to the applicant is to challenge the validity of confiscation proceeding conducted by the District Magistrate.
The court established that an application for release of a seized vehicle during the pendency of confiscation proceedings under Section 6A of The Essential Commodities Act is not maintainable before ....
Judicial orders must reflect application of mind and provide reasons; the Magistrate has jurisdiction to release vehicles not used for transporting illicit goods.
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