NALI BALAIAH Vs. GOVERNMENT OF ANDHRA PRADESH

JUDGEMENT

(1.) On 23/04/1991, the Collector and District Magistrate, Kurnool passed an order in Rc. Cl. 1178/M/91 in exercise of his powers under sub-sec. (2)(a) of S. 3 read with S. 3(1)(a) of the Prevention of Black marketing and Maintenance of Supplies of Essential Commodities Act, 1980 (Act VII of 1980) directing detention of one Nali Balaiah, a businessman of Veldurthi village, Kurnool District, for a period of six months, after being satisfied that the detention was necessary in order to prevent the said Balaiah from further acting in any manner prejudicial to the maintenance of supplies of commodities essential to the community. The detention order recites that the detaining authority (second respondent) received credible information that Balaiah taking advantage of the Gulf crisis : "........ indulged in clandestine trade by hoarding huge stocks of 2,225 quintals of Groundnut pod and 464 quintals of Groundnut seed in authorised and unauthorised godowns of Sri Venkateswara Swamy Shelling and Oils Mills, Veldurthi, without maintaining true and correct accounts and exceeding the storage limit of 500 quintals of groundnut pod and indulging in speculative business in a manner prejudicial to the maintenance and easy availability of supplies of groundnut pods and seeds in the market by causing scarcity of the said commodity, resulting in price rise of groundnut oil, thereby causing great hardship to the public, with a view to making pecuniary gain ......" and thus, contravened conditions 2(b), 3(i) and 7(1) of the licence issued under the A.P. Scheduled Commodities Dealers (Licensing and Distribution) Order, 1982 and clause 4 of Pulses, Edible Oil Seeds, and Oils (Storage Control) Order 1979.

(2.) The dealer Balaiah was taken into custody on 10-5-91 and lodged in the District Jail, Secunderabad. On the same day the grounds of detention were served on him. The detenu made a representation to the State Government on 28-5-91 and the same was rejected on 19-6-1991. The Advisory Board constituted under the Act VII of 1980, after considering the material placed before it was of the opinion that there was sufficient cause for the detention.

(3.) The wife of the detenu filed this writ petition seeking a writ of Habeas Corpus for release of the detenu after setting aside the order of Detention passed by the second respondent - Collector and District Magistrate, Kurnool.