HINDUSTAN CIBA GEIGY LTD Vs. STATE

JUDGEMENT

(1.) This petition u/s. 482 Cr. P.C. is directed for quashing the proceedings relating to the prosecution of the petitioners for the offence u/s. 13/29 of the Insecticides Act 1968.

(2.) A complaint was filed against the petitioners by the Inspector Insecticides Sri Ganganagar for the offence u/s. 13/29 of the Insecticides Act 1968 with the allegations that on 24-9-83 he visited the shop of M/s. Ganga Sahai Badrinath, Ganganagar and a sample of Dye-macron manufactured by the petitioners company was taken and when a bill was obtained it came to the notice that the petitioner company is stocking the insecticides without license. The representative of the petitioner company Shri R.P. Parashar petitioner No. 4 expressed that the petitioner company has got no license for stocking the insecticides. The petitioner No. 2 Shri H.P. Panwani is the Chief Executive Officer and petitioner No.3 Shri R.R.Bhatnagar is the Area Manager of the petitioner company. The stock was seized and a complaint was filed on the ground that the petitioner had stocked the insecticides without licence.

(3.) The petitioners case is that there is an agreement between the petitioner company and its stockist distributor M/s. Ganga Sahai Badrinath. A copy of the agreement has been placed on the record. It is agreed upon between the parties that the petitioner company has allowed the distributor to hold the stocks on the terms and conditions mentioned in the agreement. The distributor was permitted to raise invoices in the name of the customers but in every invoice delivered to the customer a rubber stamp would be put bearing the words.:- "The goods listed on this invoice are sold from stocks being the property of Ciba Giegy of India Ltd." There are further conditions agreed upon with regard to the payment of money realised from the sale proceeds of the stock. The godown would be of the distributor and the distributor will store the stocks in his godown although the company will insure the stocks and a certain limit has been fixed between the parties regarding maximum value of stock, which will be supplied by the petitioner company to the distributor.