ALANKAR Vs. UNION OF INDIA (UOI) AND ANR.

JUDGEMENT

(1.) THIS is an application for a writ of certiorari asking for quashing of the order dated 12 -7 -1973 passed by the Assistant Collector, Central Excise. Cuttack (opposite party No. 2) imposing on the Petitioner a penalty of Rs. 1,000/ - under Section 74 of the Gold (Control) Act of 1968 (hereinafter referred to as the "Act").

(2.) PETITIONER is a dealer in silver and gold and is duly licensed as a dealer in gold under the Defence of India Rules, 1963 and thereafter under the Act. Prior to the Act, there was no statutory provision regarding precautions to be taken by a licensed dealer in gold in the matter of purchase of gold. For the first time under the Act, provision was made under Section 100 to the following effect:

(3.) ACCORDING to Petitioner, opposite party No. 2 misconstrued the provisions of Section 100 and the Rules made thereunder and committed a grave error apparent on the record in casting an additional liability on Petitioner in excess of the requirement of the Rules. Since the relevant provisions of the statute were penal; a strict view of the law had to be taken and the impugned order, therefore, is not tenable in law. Opposite party No. 2 has, as a fact, found in paragraph 5 of the impugned order: