BEOPRI MAL Vs. UNION OF INDIA

JUDGEMENT

(1.) Both these appeals arise from the decision off Mahajan, J. In Civil Writ Petition, No.300-D of 1958 on the file of the Delhi Circuit Bench of the High Court of Punjab. That was a petition presented under Article 226 of the Constitution by Beopri Ml, the appellant in L.P.A, No.33-D of 1965, seeking to get quashed the order of the Collector of Central Excise and land Customs. New Delhi made on July 25, 1958, in C.No.VIII (hrqs) DLH/10/26/58/56774 on his file where in the Collector not only confiscated the sum of Rs.56,225-6-0 seized from two G.R.P. constables Jethusingh and Hari Singh on January 3, 1957 but also imposed a penalty of Rs.1,00,000 on Beopri, Mal and Rs.1000 on each of the two remaining accused Jethusingh and Hari Singh The learned single judge sustained the order of confiscation and quashed that order imposing penalty on Beopri Mal in L.P.A. No.33-D, of 1965 Beopri Mal challenges the correctness as well as the legality of the order the learned single judge sustaining the confiscation of Rs.56,225-6-0. In L.P.A. No.48-D of 1965, the Union of India and the Collector of Central Excise and Land Customs, new Delhi, seeks to get rid of the order of the learned single judge quashing the order relating to penalty.

(2.) In this Court, Sri B.R.L. Iyengar who appeared for Beopri Mal by and large did not contest the correctness of the facts found by the collector. But his submission was that on the basis of the facts found by him, there is no bias for his conclusion that Jethusing and Hari Singh were attempting to export Indian Currency to Pakistan, His further contention was that even if it is held that the collector was justified in concluding that Jethusing and Hari Singh were attempting to export Indian currency to Pakistan in that event also, no order under Section 167(8) of the Sea Customs Act, 1878 (to be hereinafter referred to as the Sea Customs Act) could have been passed.

(3.) the facts found by the Collector, the correctness of which was not disputed before us, are these: Acting on reliable information, the Superintendent, Land Customs, Barmer, organised a raid on the incoming Jodhpur Barmer train on the early morning of January 3, 1957. During that raid, he recovered Rs.56,225-6-0 from the two G.R.P. constables Jethusing and Hari Singh. He also recovered from them a multi-pocket jacket containing a number of account slips and letters. On the basis of the information got from those slips, raids were carried out on the business and residential premises of Beopari Mal. During those raids, incriminating articles were recovered which showed that Beopari, Mal in collusion with the two constables mentioned above was smuggling gold from Pakistan and selling the same in India. On the basis of the above facts, the Collector, came to the conclusion that the constables were attempting to clandestinely export Indian currency to Pakistan. He accordingly ordered the confiscation of the currency seized under Section 23-A of the Foreign Exchange Regulation Act, 1947, red with Section 19 and Section 167(8) of the Sea Customs Act