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2025 Supreme(Telangana) 159

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD
J SREENIVAS RAO, J.
Rajith Kumar Mamidishetti - Appellant
Versus
State of Telangana - Respondent
Writ Petition No.15102 Of 2025
Decided On : 14-05-2025

Advocates:
Advocate Appeared:
For the Appellant : PALLE SRIHARINATH
For the Respondent: GP FOR HOME

The court ruled that failure to provide reasons for the seizure of a vehicle, under the NDPS Act, constitutes a violation of natural justice, warranting its release to the owner.

Headnote:(A) Narcotic Drugs and Psychotropic Substances Act, 1985 - Sections 8(c) and 22(a) - NDPS Rules, 1985 - Confiscation of vehicle - Writ petition seeking release of vehicle unlawfully seized, argued on basis of lack of offense by vehicle owner - Court finds that impugned order was passed without reasons, violating natural justice principles. (Paras 1, 5, 8)

(B) Natural Justice - The failure to assign reasons constitutes a violation of the principles of natural justice, which the court emphasizes must be observed in administrative actions affecting private rights. (Para 6)

Facts of the case:
The petitioner, owner of a vehicle, challenged the confiscation order under the NDPS Act, claiming no involvement in the alleged offense, which related to a contraband seizure from a third party.

Findings of Court:
The court ordered the release of the vehicle upon fulfillment of specified conditions, particularly emphasizing the lack of evidence against the petitioner for any crime.

Issues: The main issue was whether the vehicle owner was entitled to release of the vehicle despite its use in a crime by another individual.

Ratio Decidendi: The court concluded that the lack of reasons in the confiscation ruling indicated a failure to adhere to principles of natural justice and thus warranted the vehicle's release.

Result: The writ petition is allowed subject to terms.

Table of Content
1. petition filed for vehicle release. (Para 1)
2. details of the vehicle's seizure and previous events (Para 4)
3. arguments on both sides presented. (Para 5)
4. counterarguments regarding the vehicle's involvement in crime (Para 6 , 7)
5. nature of the evidence and procedural notice given to petitioner (Para 8)
6. conditions for release of the vehicle (Para 9)
7. final order issued. (Para 10)

ORDER :

1. This writ petition has been filed seeking the following relief:

“For the reasons stated in the accompanying affidavit, it is hereby prayed that this Hon’ble Court may be pleased to issue an order or direction more particularly one in the nature of writ of mandamus questioning the impugned proceedings Cr.No.B/21/2022/DCM, Dt.29.04.2025 served on the Petitioner on 07.05.2025 by the 2nd Respondent for confiscating the Mahindra Thar vehicle bearing No.TS 08-JZ-0005 in favour of Government which was seized in COR No.06 of 2025 dt.20.01.2025 on the file of Proh. and Excise Police Station Sangarereddy by rejecting to grant interim custody in favour of the Petitioner without concluding the trial is ex facie erroneous, illegal, arbitrary and unjust and consequently set aside the impugned Proceedings Cr.No.B/21/2022/ DCM, dt.29.04.2025 (served on the Petitioner on 07.05.2025) issued by the 2nd Respondent and forthwith release the vehicle in favour the Petitioner and pass such other order or orders as deem fit and proper in the interest of justice.”

2. Heard Sri Palle Sriharinath, learned counsel for the petitioner; Sri R.Laxmikanth Reddy, learned Assistant Government Pleader for Home Department, appearing for respondent No.1 and Sri P.Vishal, learned Assistant Government Pleader for Prohibition and Excise Department, appearing for respondent Nos.2 and 3.

3. With the consent of the learned counsel for the parties, the writ petition is disposed of at the stage of admission.

4. Brief facts of the case:

4.1. The petitioner averred that he is the owner of the Mahindra Thar vehicle bearing No.TS-08-JZ-0005 (hereinafter referred to as, “the subject vehicle”) which was purchased by availing financial assistance from a private financier. It is further averred that five months back, he placed the subject vehicle in “Zoom Car” which is car sharing market place. The “Zoom Car” connects hosts with guests, who choose from the selection of cars for use at affordable prices, promoting smart transportation solutions in India. For each booking on “Zoom Car”, the aggregate amount was charged from the guest who booked the car. Accordingly, the “Zoom Car” platform provides hosts. On 17.01.2025, one person, namely Harjoth Singh, has booked the petitioner’s subject vehicle through “Zoom Car” for four days through booking number ID-JPSNOQ80D and he had to return the same by 20.01.2025. However, he did not return the subject vehicle to the petitioner.

4.2. It is further averred that on 20.01.2025, the Assistant Commissioner, Enforcement Team, Medak Division, checked the subject vehicle at Malkapur Flyover in the presence of panchas and during the said checking, they detected contraband i.e., 0.12 grams of Methylenedioxymethamphetamine (MDMA) Crystals from the possession of Harjoth Singh under cover of a panchanama and accordingly a crime in COR No.6 of 2025 was registered for the offences under Sections 8(c) read with Section 22(a) of the Narcotic Drugs and Psychotropic Substances Act, 1985 (hereinafter referred to as, “the NDPS Act”), against Harjoth Singh and seized the subject vehicle. It is further averred that a Drug Disposal Committee was constituted for the purpose of disposal of the seized items. Accordingly, the Drug Disposal Committee has issued notice dated 11.03.2025 directing the petitioner to submit explanation, if any, within a period of 15 days from the date of receipt of the notice. Pursuant to the same, the petitioner submitted explanation on 03.04.2025 stating that he has no knowledge about the alleged transportation of MDMA and he has not

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