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2025 Supreme(Online)(KAR) 5159

HIGH COURT OF KARNATAKA
S. Vishwajith Shetty, J
Shivasharanappa Dandappagoals – Appellant
Versus
State of Karnataka – Respondent
CRIMINAL PETITION NO. 200132 OF 2025(482(Cr.PC)/528(BNSS))



Advocates:
For the Appellants/Petitioners: Sanjay S. Kulkarni
For the Respondents: Veerangouda Malipatil

A valid license holder for the sale of liquor under the Karnataka Excise Act cannot be prosecuted for the illegal subsequent resale of that liquor by the purchaser to the general public.

Headnote:The petitioner, a holder of a valid CL-2 license under the Karnataka Excise Act, sought the quashing of an FIR and charge sheet registered for offences under Section 32 and 34 of the Karnataka Excise Act. The case arose when a third party was apprehended selling liquor in public and alleged that the liquor had been purchased from the petitioner's licensed shop. The central issue was whether a licensed liquor vendor can be prosecuted for selling liquor to an individual who subsequently sells it illegally in a public place. The court observed that since the petitioner held a valid license for the sale of liquor, the mere act of selling the product to another person does not constitute an offence under the cited sections. The criminal petition is allowed.

Table of Content
1. procedural background and factual matrix of the excise offense. (Para 1 , 5)
2. submissions regarding license validity and opposition by the state. (Para 2 , 3 , 4)
3. protection of licensed vendors from liability for subsequent illegal resale by purchasers. (Para 6 , 7)

THIS CRL.P IS FILED U/S.482 OF CR.P.C.(OLD) U/SEC 528 OF BNSS, PRAYING TO, A) QUASH THE COMPLIANT AND FIR IN CRIME NO. 220/2023 DATED 31.08.2023 REGISTERED BY THE 1ST RESPONDENT POLICE STATION AGAINST THE PETITIONER HEREIN FOR OFFENCES PUNISHABLE U/SEC 32 AND 34 OF KARNATAKA EXCISE ACT 1961 AND ALSO QUASH THE CHARGE SHEET IN C.C NO. 740/2024 FILED BY THE 1ST RESPONDENT POLICE AS AGAINST THE PETITIONER HEREIN FOR OFFENCES PUNISHABLE UNDER SECTION 32 AND 34 OF KARNATAKA EXCISE ACT 1961 AND FURTHER QUASH ALL FURTHER PROCEEDINGS PURSUANT TO REGISTRATION OF CASE INCLUDING ORDRE DATED 20.02.2024 i.e., TAKING COGNIZANCE FOR THE OFFENCE U/SEC 32 AND 34 OF KARNATAKA EXCISE ACT 1961, WHICH IS PENDING ON THE FILE OF III ADDL. JMFC, KALABURAGI. B) GRANT SUCH OTHER RELIEF OR RELIEFS AS THIS HON’BLE COURT DEEMS FIT IN WITH FACTS AND CIRCUMSTANCES OF THE CASE.

THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE MR. JUSTICE S.VISHWAJITH SHETTY

ORAL ORDER

(PER: HON'BLE MR. JUSTICE S.VISHWAJITH SHETTY)

1. Accused No.2 is before this Court under Section 482 of Cr.P.C with a prayer to quash the entire proceedings in C.C.No.740/2024 pending before the court of III Addl. JMFC, Kalaburagi arising out of Crime No.220/2023 registered by University Police Station for offences punishable under Sections 32 & 34 of Karnataka Excise Act.

2. Heard the learned counsel for the parties.

3. Learned counsel for the petitioner submits that petitioner is a CL-2 licence holder issued under the provisions of Karnataka Excise Act. Allegation against the petitioner is that, he had sold the liquor seized in the present case to accused No.1 who in turn was selling the same to public. He submits that, based on such allegation, petitioner cannot be prosecuted for the alleged offences.

4. Per contra, learned High Court Government Pleader has opposed the petition.

5. First information was submitted in the present case by Nijalingappa, the Assistant Sub Inspector of Police attached to University Police Station, Kalaburagi on 31.08.2023 wherein it is alleged that based on credible information received that a lady was selling liquor to general public in a public place, a raid was conducted and the said lady was apprehended. It is stated that the said lady revealed her name as Parvati and informed to the first informant that she had purchased the liquor which was in her possession from the shop of accused No.2 for the purpose of selling the same to public. It is in this background FIR was registered against accused No.1-Parvati and the petitioner herein. After investigation, charge sheet has been filed against accused Nos.1 & 2 for the aforesaid offences and Trial Court after taking cognizance of the charge sheeted offences has issued summons to the accused. Being aggrieved by the same, petitioner is before this Court.

6. Undisputedly, the petitioner holds a valid CL-2 licence issued under the provisions of the Karnataka Excise Act. Accused No.1 from whose possession the Police have seized the liquor which she was attempting to sell to general public in a public place, appears to have stated during the course of her enquiry that, she had purchased the liquor which was found in her possession from the liquor shop of the petitioner. Since the petitioner holds a valid CL-2 licence issued under the provisions of the Karnataka Excise Act for sale of liquor, he cannot be prosecuted for the alleged offences for having sold the liquor to accused No.1.

7. Under the circumstances, I am of the opinion that the impugned criminal proceedings as against the petitioner cannot be sustained. Accordingly, the following:

ORDER

The criminal petition is allowed.

The en

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