Facts of the Case

This is a criminal law matter concerning custody of seized goods, not a GST case — the petitioner's business being 'duly registered under GST' is mentioned only as one fact supporting his claim of being a genuine rice trader. The petitioner, Abdul Mannaf, a rice/paddy trader in Goalpara, Assam, had 144 bags of paddy (45 kg each) seized from his godown pursuant to an FIR registered under Sections 420/421/403/409 IPC read with Section 7 of the Essential Commodities Act, on the allegation that the paddy was stored illegally. The petitioner claimed lawful ownership, having purchased the paddy from Aamjonga Anchalik Unnayon Samiti, and sought interim custody (zimma) of the seized stock, which was rejected by the Judicial Magistrate, Goalpara, for want of adequate proof of ownership. The petitioner filed this revision under Sections 397/401 Cr.P.C.

Issues Involved

  1. Whether the Magistrate was justified in rejecting the petitioner's claim for interim custody (zimma) of the seized paddy for want of sufficient proof of ownership.
  2. Whether, given the perishable nature of the seized paddy, expedited disposal of the custody question was warranted.

Petitioner's Arguments

  • He was the lawful owner of the seized paddy, purchased from Aamjonga Anchalik Unnayon Samiti on 16 December 2022, evidenced by a purchase receipt.
  • He was a long-standing wholesale rice dealer, attorney holder of a rice mill, and a regular income-tax payer, none of which the investigating officer had properly examined.
  • The seized paddy, being perishable, would be at risk of damage if left in custody indefinitely, and ought to be released to him pending trial under Section 451 Cr.P.C.

Respondent's Arguments

  • The case diary contained no document establishing the petitioner as the lawful owner of the seized paddy.

Court Order / Findings

  • The Court noted that the case diary did not establish whether the godown from which the paddy was seized even belonged to the petitioner, and that the receipt relied upon did not disclose the location of the seller entity, with the investigating officer having failed to verify it.
  • Relying on Sunderbhai Ambalal Desai vs State of Gujarat, the Court reiterated that seized articles should not be left languishing in custody for long, and that the Magistrate should pass appropriate interim orders (with bond/security) promptly.
  • It directed the Magistrate to decide the question of lawful ownership and grant interim zimma as per Section 451 Cr.P.C., within two weeks of receipt of the order, after the petitioner files an appropriate application with supporting original documents.
  • The criminal revision was disposed of with these directions; the case diary was ordered returned.

Important Clarification

The order does not decide who actually owns the seized paddy — it merely directs the Magistrate to decide that question, and the interim custody application, expeditiously. It has no connection to GST law beyond the incidental mention of the petitioner's GST registration as evidence of his trading activity.

Sections Involved

  • Code of Criminal Procedure, 1973 — Sections 397, 401 and 451
  • Indian Penal Code — Sections 420, 421, 403, 409
  • Essential Commodities Act, 1955 — Section 7

Decision – In Favour of

Disposed of without a decision on merits regarding ownership; the petitioner secured only a direction for expedited determination of interim custody. Not a GST ruling.

Case Details

Court: Gauhati High Court (High Court of Assam, Nagaland, Mizoram and Arunachal Pradesh)
Case No.: Crl.Rev.P./225/2023
Coram: Hon'ble Mrs. Justice Malasri Nandi
Date of Order: 18 October 2023

Link to Download the Order

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