SUPERINTENDENT OF CENTREAL EXCISE Vs. A GOVINDARAJAN

JUDGEMENT

(1.) This is an appeal from the order of Jagannatha Shetty, J. in WP.3222 of 1972. The appellants were respondents and the respondent herein was the petitioner therein. In the writ petition he had prayed for. (i) To issue a writ of Certiorari or any other appropriate writ, order or direction quashing the seizure proceedings conducted by the respondents on 15-12-1972; (ii) To issue a writ of mandamus or any other appropriate writ, order or direction, directing the respondents to return the sum of Rs.3,15,000 seized by them from the petitioner on 15-12-1972.

(2.) Certain material facts, which are not in dispute, may be stated. On 15-12-1972, the writ petitioner was proceeding in the car bearing Registration No.MDD 6575, near Venkataramanappa Choultry in Palace, Road, Bangalore. The Central Excise Authorities stopped the car and searched. He wos found to be in possession of a large number of currency notes. He was taken to the Office of the Collector, Central Excise, Bangalore. There the currency notes of Rs.3,15,000 were seized from him under a mahazar. His statement was also recorded. The next day he was produced before the Judicial Magistrate, who remanded him to judicial custody.

(3.) In the writ petition, the petitioner's case was briefly as follows: He was a partner of a firm in Madras. Un 15-12-72, he was carrying currency notes of Rs.3,15,000 for the purpose of the firm's business. Mere possession Off currency notes could not form the basis of a reasonable benef in the mind of appellant 2 (The Assistant Collector of Central Excise, Preventive, Head Quarters, Bangalore) that they were the, sale proceeds of smuggled goods. The search and the seizure of those currency notes from him, were illegal. In the office of the Collector of Central Excise, Bangalore, he was compelled to make a statement according to the dictation of the officials. He is entitled to return of those currency notes.