RAMRATAN HEMRAJ MANTRI Vs. UNION OF INDIA

JUDGEMENT

(1.) THIS is a petition under Article 226 of the Constitution of India seeking a writ of certiorari for quashing the orders passed by the Central Excise authorities and the Union Government (Annexures C. H. K. and M. of the petition) and a writ of mandamus for release and delivery of two gold KADAS seized and confiscated by the respondents.

(2.) ON 10-2-1974 Ujjain police raided the premises of the petitioner and seized two gold KADAS weighing 233. 700 grams valued at about 11,000/ -. This raid was made by the police in connection with an investigation of some offence. The police, however, closed the case but informed the Central Excise authorities for appropriate action in respect of the gold KADAS on the ground that they appeared to be primary gold. On 4th March 1974 Superintendent (Preventive) Central Excise seized the said KADAS (described as round bars) and prepared Panchanama in that behalf because in his opinion the KADAS constituted primary gold. A show cause tice was issued to the petitioner on 25-4-1974 as to why the gold seized under Section 66 of the Gold Control Act should t be confiscated under Section 71 of the Act and why penalty should t be imposed under Section 74 abid for contravention of Section 8 of the Gold Control Act. After repeated attempts the tice was served on the petitioner on 22-6-1974 and reply thereto was filed on 1-7-1974. In his reply the petitioner submitted that the gold KADAS in question were ornaments and not primary gold and, therefore, the provisions of the Gold Control Act were not contravened. It was pleaded that these ornaments were inherited by the petitioner from his father about 28 years ago when the ancestral property was partitioned amongst the brothers.

(3.) THE Assistant Collector, Central Excise after hearing the petitioner passed an order of adjudication under Section 78 of the Act for confiscation of the seized gold and also imposed a penalty of Rs. 1500/-vide Annexure-H dated 19-11-1975. Petitioner filed an appeal before the Collector, Central Excise under Section 80 of the Act (Annexure-I) which was dismissed vide order Annexure-K. Petitioner then filed a revision before the Union Govern- ment, Ministry of Finance but the revision was also dismissed vide order dated 17th January 1981 (Annexure-M ).