ELANTAS BECK INDIA LIMITED Vs. STATE OF GUJARAT

JUDGEMENT

(1.) The two petitions are cognate. They involve similar facts and identical issue, therefore are treated to be decided together by this common order.

(2.) In Special Civil Application No.7685 of 2011 the Collector, Bharuch, in exercise of powers under Sec. 6A of the Essential Commodities Act, 1955 (hereinafter referred to as 'the Act') directed to confiscate 171649.5 kg. Quantity of Neptha which was 15% of the total quantity of 1144330 kg. consumed by the petitioner on the ground that it was consumed in breach of the conditions of Neptha (Acquisition, Storage and Prevention of Use in Automobiles) Order, 2000. The petitioner was directed to deposit Rs.01,03,62,480.31 Ps. being the equivalent value of the said quantity confiscated. Appeal No.33 of 2009 was filed by the petitioner before learned 2nd Additional Sessions Judge, which was dismissed by judgment and order dated 11th May, 2011, leading the petitioner to file the present petition to challenge the said impugned orders.

(3.) The petitioner company is engaged in the business of manufacturing Wire Enamels, Electro- Insulating Varnishes, Resin and Thinners and solvent Neptha is used as raw-material. It is the case of the petitioner that in the process of manufacturing the solvent Neptha looses its identity by becoming part of the product. The petitioner obtained license in the year 2000 for storage of solvent Neptha under the Neptha (Acquisition, Sales, Storage, Prevention and Use in Automobiles) Order, 2000 which is issued in exercise of powers under Sec. 3 of the Act. In case of the first mentioned Special Civil Application No.7683 of 2011, the Licence Number was W-76 whereas the other licence involved in other petition was No.W- 75. It is the case of the petitioner that under the said licences petitioner is permitted to store the solvent in the storage tank for use in manufacturing process. The licence was renewed from time-to-time and lastly the same was applied for renewal in Sept., 2008.