NATHUNI SAH Vs. STATE OF BIHAR

JUDGEMENT

(1.) This writ petition is for issuing a direction to the Respondents directing them to pay interest in respect of the price of the essential commodities seized from the petitioner's custody and auction sold under their orders on the ground that since the petitioner has been acquitted and the confiscation order has been set aside by the State Government, he is entitled to not only the price of the auction-sold goods but also to the interest there on as contemplated by Section 6-C(2) of the Essential Commodities Act (here in after referred to as 'the Act').

(2.) It appears that during the course of a raid on 5-9-1989 certain essential commodities in the form of oilseeds, foodgrains and pulses were recovered and seized from the possession of the petitioner. The petitioner was, thus, prosecuted for an offence under Section 7 of the Act Confiscation proceedings were also started in respect to the said seized commodities under Section 6-A of the Act. The sei/ed commodities were auction-sold on 12-12-1989 for a total sum of Rs. 1,35,530.65 which was deposited in Government Treasury. The petitioner was acquitted by the Special Judge of the charge vide judgment and order dated 3()th November, 1992 and as a consequence thereof the Secretary, Food, Supply and Commerce Department, Government of Bihar vide order dated 12-3-1993 (Annexure-2) set aside the confiscation order of the Collector, in terms of Section 6-C of the Essential Commodities Act. Thereafter the Collector vide order dated 3-11-1993 (Annexure-3) ordered for payment of the sale proceeds of the seized commodities to the petitioner. As no interest was paid on the said amount, the petitioner fiied an application before the Collector, Vaishali for payment of interest to him on the aforesaid amount at the rate of 15 per cent per annum from the date of seizure, in terms of Section 6-C (2) of the Act, which application was dismissed.

(3.) I have heard the learned counsel for the petitioner and Junior Counsel to Government Advocate.