The Prevention of Food Adulteration Act does not apply to food products exclusively manufactured for export, and the initiation of prosecution in such cases is invalid.

ORDER :

VAKITI RAMAKRISHNA REDDY, J.

The present writ petition has been filed under Article 226 of the Constitution of India by the writ petitioners, calling in question the sanction for prosecution accorded by the third respondent vide proceedings No.10556/F3/2004 dated 19.1.2005 and the consequential prosecution launched thereto, culminating in CC No.195 of 2005 on the file of the Judicial First Class Magistrate (JFCM), Gajwel, Toopran Mandal, Medak District. The petitioners seek quahsment of the aforesaid proceedings and consequential reliefs as prayed for.

I. FACTUAL BACKGROUND:

2. The Petitioner No.1 is employed as a Stenographer in the Instant Coffee Division of M/s. Tata Coffee Ltd., formerly known as Consolidated Coffee Ltd., a Public Limited Company having its registered office at Pollibetta, Kodagu, Karnataka, and the Petitioner No.2 is the Licensee of M/s. Tata Coffee Ltd. The prosecution was initiated by in C.C. No.195 of 2005, against the Petitioners and is pending on the file of learned Judicial First Class Magistrate, Gajwel, Medak District, Telangana. The Respondent No.2 is a Gazetted Food Inspector and the Respondent No.3 is the competent Food Authority under the Prevention of Food Adulteration Act, 1954 (for short ‘the PFA Act’), who has accorded the impugned sanction for prosecution, pursuant to which, the said criminal proceeds have been launched. Therefore, all the respondents are arrayed as parties to the present writ petition.

3. M/s. Tata Coffee Limited is engaged in the cultivation, sale and export of coffee and had acquired a 100% Export Oriented Undertaking (100% EOU) situated at Brahmanapally, Toopran Mandal, Medak District, Telangana, which was originally established by Asian Coffee Limited. Pursuant to a scheme of amalgamation between Asian Coffee Ltd., Coffee Lands Limited and Veerarajendra Estates Ltd. with Consolidated Coffee Limited, as approved by the composite High Court of Andhra Pradesh in Company Petition No.199/98 dated 7.9.1999 with effect from 11.8.2000, the said 100% EOU stood transferred to Consolidated Coffee Limited. Thereafter, the name of the Company was changed to M/s. Tata Coffee Limited, as evidenced by the fresh Certificate of Incorporation dated 11.08.2000. The Industrial Licence of the said 100% EOU, acknowledging the change of name, was approved by the Government of India, Ministry of Company Affairs and Industry, vide proceedings dated 12.09.2000. The Development Commissioner, Visakhapatnam Export Processing Zone, extended the EOU status for a period of five years from 8.04.2000 to 07.04.2005, and further extended the same from 8.04.2005 to 07.04.2010. It is stated that from 03.10.1986, when the Letter of Intent was originally granted by the Ministry of Commerce, Government of India, the Unit has at all times been engaged in 100% export of its product, namely, Grand Instant Coffee – Export Quality, strictly in accordance with the Import and Export Policy in force.

4. On 25.05.2004, the Food Inspector, Medak District, collected samples of Grand Instant Coffee – Export Quality, Mysore Gold Coffee Beans and Roasted Coffee Beans from the first Petitioner. Thereafter, Respondent No.3 issued a show cause notice dated 4.1.2005 stating that the Public Analyst, State Food Laboratory, Nacharam, Hyderabad, declared the sample as misbranded on the ground that the label did not contain the complete address of the manufacturer in English or Hindi, alleging violation of Rule 33 of the Prevention of Food Adulteration Rules, 1955. The petitioners submitted their exp