(1.) THIS revision is directed against the order of the Appellate Authority (Sessions Judge), Madurai, confirming the order of the Additional Collector, Madurai, confiscating 40 quintals of paddy.
(2.) ON 9th October, 1978, the Inspector of Police, Civil Supplies, C.I.D., Madurai, inspected Sri Arumugha Vilas Rice Mill, Madurai, of which the first revision petitioner is the proprietor. It was found during inspection that there was unaccounted raw paddy of about 180 bags weighing 57 kgs. each. They were seized and a special report was submitted to the Collector recommending confiscation. The Additional Collector issued a show -cause notice under S. 6 -B of the Essential Commodities Act to the first revision petitioner and also to the second revision petitioner, who is the Accountant, who are alleged to have violated the provisions of Cls.14(2) and 16 (1) of the Tamil Nadu Paddy and Rice (Regulation of Trade) Order, 1974, punishable under S. 7 of the Essential Commodities Act. The revision petitioners contended that 180 bags of raw paddy were purchased at Chidambaram and were brought on the morning on 9th October, 1978 and entries were not made in the books as it was a Sunday. This defence did not find favour with the Additional Collector, who found that there has been a violation of Cls.14 (2) and 16 (1) of the Tamil Nadu Paddy and Rice (Regulation of Trade) Order, 1974 and passed an order confiscating forty quintals of paddy out of the seized stock. In appeal, the order was confirmed by the Appellate Authority. The revision petitioners are aggrieved and have filed this revision.
(3.) BUT , it is contended that the Inspector of Police has not stated in his report that "he had reason to believe that an offence had been or was being committed or was likely to be committed" and therefore, the seizure was illegal and the confiscation has to be set aside. In support, the counsel for appellant relied on M. Sivaraman, In re, : 1980 L.W. (Crl.) 271a ruling of this Court. That was a case where a hulling agent of the Civil Supplies Corporation hulled 12 bags of rice without getting the previous permission of the Corporation for hulling his private stock in the mill in accordance with Condition 14 of his licence. He transported 12 bags of rice to another wholesale dealer for the purpose of sale, in contravention of the license granted to him. The Inspector of Police stopped the double bullock -cart and checked the hags which were sought to be transported by the cart. He found 12 bags of rice in the cart and the cart -man produced a bill, but there was no seal of the check post on the bill and therefore, the 12 bags of rice were seized, and the premises of the petitioner's mill was also searched by the Inspector. Suryamurthi, J., observed that the Inspector has not stated in his report that he had "reason to believe" that the provisions of the Essential Commodities Act or the rules framed thereunder had been contravened or sought to be contravened at the time he stopped the cart and searched the same, that he had merely stated that he stopped the cart which had passed through the check post and thereafter he entertained merely a suspicion that an offence has been committed or might be committed and has not stated in his report that he had "reason to believe" that an offence has been committed or was likely to be committed and therefore, the seizure was illegal. In the end he set aside the confiscation. The ruling referred to does not show as to why the Inspector should say in his report that he has "reason to believe", nor does the learned counsel give any reason as to why such words should be found in the report of the searching officer. But, it would have been better had there been such a report in view of Cl.25 of the Tamil Nadu Paddy and Rice (Regulation of Trade) Order, 1974. Cl.25 (1) (e) states that if any competent officer has reason to believe that any contravention of the order has been committed or is being committed or is about to be committed such officer may seize the stock of paddy or rice along with the packages, coverings or receptacles in which such paddy or rice is found or the animals, vehicles, vessels, boats or other conveyances used in carrying such paddy or rice and thereafter send to the Collector of the district concerned a report in writing as required under S. 6A of the Essential Commodities Act, 1955.