TEJMAL MEHTA Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) The petitioner is a detenu, detained under Section 3(l)(iii) of the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974 ('COFEPOSA Act' for short), by an order dated 4-5-1991 made by the first respondent.

(2.) On 15-3-1991, Officers of the Directorate of Revenue Intelligence ('DRI' forshort), Bangalore, along with two witnesses followed the petitioner to his premises, after he came out of an autorickshaw. Petitioner was shown the search warrant and his suitcase was searched. Thereafter, person of the petitioner was searched. A brownish cloth strip tied around the waist of the petitioner was removed; it was found to be a cloth pouch; it had a zip fastener and eight pockets, each containing a paper packet. These packets contained gold biscuits with foreign markings. In all, 17 gold biscuits were recovered from the cloth pouch. The total weight of the gold biscuits was 1982.200 gins, valued at Rs. 7,05,500/-. One of the witnesses who was an expert in gold trade opined the gold to be of foreign origin; each biscuit was tested for its purity. The petitioner had no explanation as to the legality of his possession of these gold biscuits; hence they were seized. Petitioner's statement was recorded. Petitioner stated that he had a jeweller's shop at C.T. Street, Bangalore. Petitioner also stated that on three earlier occasions he had been to Bombay and brought foreign marked gold. Those gold biscuits were given to him by one Rokhce at Bombay, who in turn collected them from the petitioner at Bangalore. The present 17 gold biscuits were also given lo him by the said Rokhee at Bombay on 14-3-1991. According to the petitioner he was being paid Rs. 200/- as commission, per gold bis- cuit, for carrying them, in addition to the expenses. This statement shows that the petitioner had transported in ail 23 gold biscuits on earlier three occasions.

(3.) Usual follow-up actions were continued. On 4-5-1991 the impugned detention order was made, which was served on the petitioner, on 9-5-1991 and ever since then he is under detention.