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Ravikindi Lakshminarayana v. the State of Andhra Pradesh

Andhra Pradesh HC7 Jan 2025WP/385/2025

Case brief

AI extract

What is this about?

PDS rice; seizure of 184 Qtls; release of seized stock; lorry AP 16 TW 6324; public auction; Rc.CS1/6A/144/2024; Collector (CS) Prakasam; Tahsildar Thallur; Essential Commodities Act 1955; Section 6-A E.C. Act; interim custody; security of immovable property; non-alienation undertaking; Article 226; Articles 14 and 19(1)(g); writ of mandamus; civil supplies; Joint Collector Prakasam; Mediatornama 07.11.2024

What did the court decide?

Release of the seized 184 Qtls PDS rice stock and lorry AP 16 TW 6324 to the petitioner upon furnishing security of immovable property (self or third party) equivalent to the value of the stock/vehicle, with an undertaking that the secured property shall not be alienated or charged pending disposal of proceedings under Section 6-A of the E.C. Act; no order as to costs. ¶36

Ravikindi Lakshminarayana Vs the State of… — Writ and Judicial Review | Andhra Pradesh HC (2025)

What the court decided

AI extract

Outcome

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Issue for consideration

Whether the seizure of 184 Qtls of PDS rice along with the lorry and the direction to the Tahsildar, Thallur to dispose of the seized stock through public auction are illegal, arbitrary and without any authority of law or jurisdiction. +1 more

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Ratio / Principle

Writ petition disposed of with a direction to the concerned respondent authority to release the petitioner's seized stock on furnishing security of immovable property of self or third party equivalent to the value of the seized stock, to the satisfaction of the concerned authority, who shall intimate acceptance of the security to the concerned District Registrar/Sub-Registrar for record purposes.

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Key takeaways

Direction to release vehicle AP 16 TW 6324 to the petitioner on furnishing separately personal or third-party immovable property as security equivalent to the value of the seized stock or the vehicle, with a further undertaking that the secured property shall not be alienated or subjected to any charge pending disposal of proceedings under Section 6-A of the E.C. Act; acceptance of the security and undertaking to be intimated to the concerned District Registrar or Sub-Registrar for record purposes.ratio¶41
No order as to costs; pending miscellaneous applications, if any, shall stand closed.ratio¶42

Detailed headnote1 paragraphs

Writ petition under Article 226 by Ravikindi Lakshminarayana seeking a writ of Mandamus against the seizure of 184 Qtls of PDS rice - earlier released to him by the Collector (CS), Prakasam vide order dt.06.08.2024 - along with lorry AP 16 TW 6324 under Mediatornama dt.07.11.2024, and against the order dt.30.12.2024 in Rc.CS1/6A/144/2024 directing the Tahsildar, Thallur to dispose of the seized stock through public auction, pleaded as illegal, arbitrary, without authority of law and violative of Articles 14 and 19(1)(g) of the Constitution and the Essential Commodities Act, 1955. B S Bhanumathi, J. disposed of the petition with directions to release the stock on furnishing security of immovable property of self or third party equivalent to its value, and to release the vehicle on separate immovable-property security with an undertaking that the secured property shall not be alienated or subjected to any charge pending disposal of proceedings under Section 6-A of the E.C. Act, acceptance to be intimated to the concerned District Registrar/Sub-Registrar; no order as to costs; pending miscellaneous applications closed.

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[3311]

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sAPHC010006412025

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IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI

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(Special Original Jurisdiction)

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WEDNESDAY, THE EIGHTH DAY OF JANUARY TWO THOUSAND AND TWENTY FIVE

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PRESENT

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THE HONOURABLE MS JUSTICE B S BHANUMATHI

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WRIT PETITION NO: 385/2025

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Between:

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Ravikindi Lakshminarayana

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...PETITIONER

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AND

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The State Of Andhra Pradesh and Others

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...RESPONDENT(S)

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Counsel for the Petitioner:

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1.V SUDHAKAR REDDY

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Counsel for the Respondent(S):

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1.GP FOR CIVIL SUPPLIES

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The Court made the following Order:

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This Writ Petition is filed under Article 226 of Constitution of India seeking the following relief:

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“…to issue an order, direction or writ, more particularly one in the nature of writ of Mandamus declaring the action of 3^rd respondent in seizing 184.00Qtls of PDS rice (which was earlier released to the petitioner by the orders of Collector (CS), Prakasam vide orders dt.06.08.2024) along with lorry bearing No.AP16 TW 6324 belongs to the petitioner under cover of Mediatornama, dt.07.11.2024 and further orders passed by the 2^nd respondent in Rc.CS1/6A/144/2024, dt.30.12.2024 not considering the request of

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W.P.No.385 of 2025 Dt:08.01.2025

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the petitioner for the release of the seized stock and the lorry and directing the Tahsildar, Thallur, Prakasam Distrcit, the 4^th respondent herein to dispose the seized stock of 184 Qtls of PDS rice through public auction as illegal, arbitrary, without any authority of law or jurisdiction and violative of Articles 14 and 19(1)(g) of the Constitution of India and contrary to the provisions of the Essential Commodities Act, 1955 and the Orders made there under and set aside the orders of the 2^nd respondent dt.30.12.2024 and consequently direct the respondents to release the seized stock and the lorry to the petitioner and not to take any action in pursuance of the illegal seizure and pass …”

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The petitioner was engaged in the rice business. While he was transporting 200 Qtls of rice to Kavali in a lorry bearing No.AP 27 TW 4892, it was illegally seized by the Sub-Inspector of Police, Ulavapadu P.S. on 11.06.2015 on suspicion that it was PDS rice. Subsequently, the Collector (CS) of Prakasam District, Ongole, issued an order through proceedings Rc.CS1/6A/163/2015, dated 21.04.2016, confiscating the entire seized stock. Against the said order, Crl.Appeal. No.109/2016 was filed before the Court of the Principal Sessions Judge, Ongole. The appeal was allowed vide judgment dated 19.04.2017, holding that the petitioner is entitled to receive back the seized stock. Similarly, another quantity of 100 Qtls of rice was seized and the same was also directed to be returned to the petitioner vide orders dated 04.05.2017 in Crl. Appeal No.92 of 2016 on the file of Court of Principal Sessions Judge, Ongole. There upon, proceeding was issued by the Collector (CS) Prakasam District, Ongole, dated 06.08.2024 for release of both the stocks of 200 Qtls and 100 Qtls of rice to the petitioner. As such, the petitioner lifted the said stock, and out of the same, sold 184 Qtls of rice to D. Sudheer Babu of Dommanapalli Village, Porumamilla Mandal who has registered his firm in GST. The petitioner raised a bill No.1, dated 06.11.2024 mentioning that the stock was released from Singarayakonda Godown in

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Rc.CS1/6A/163/2015 and Rc.CS1/6A/208/2015. Copy of the bill was kept in the lorry bearing No.AP 16 TW 6324 in which the rice was loaded for transportation. Again while the commodity was being transported, the same was seized ignoring the bill. As such, the petitioner filed the petition dated 28.11.2024 before the 2^nd respondent narrating the entire facts and enclosing the necessary documents. However, without considering the petitioner’s contentions, an order was passed on 30.12.2024, through proceeding Rc.CS1/6A/144/2024, authorizing the disposal of the seized stock through public auction. On the same date, another order was passed by the Joint Collector of Prakasam, refusing to release both the seized stock and the vehicle. As a result, the petitioner filed the present writ petition.

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The learned counsel for the petitioner submitted that the very case of the petitioner is that the seized rice is PDS rice and it was given to the petitioner by virtue of the above said order. The Collector (CS), Prakasam District erred in rejecting the contentions of the petitioner on the ground that the report of analysis shows that the seized stock is PDS rice and further, the petitioner failed to submit the documents such as (i) original invoice of FRK from a FRK manufacturer/ FRK manufacturer shall have valid FSSAI license/ Registration for food category 99.5 or any revision by FSSAI at the time of FRK manufactured (ii) Food Business Operator (FBO)/ rice miller who is blending FRK with normal rice should have valid FSSAI license (iii) FBO/ rice miller shall have FRK blending unit as per BIS-IS 17854:2022 or amended from time to time (iv) FBO/ rice miller should have valid +F logo endorsement from FSSAI (v) purchased FRK should have certificate of Analysis (CoA) of FRK (vi) CoAs shall have QR code which can be scanned using any QC scanning mobile application (vii) The CoAs of FRK/ Premix of FRK shall have 3 micronutrients i.e., Iron, Folic Acid and Vitamin B12 results as per FSSAI guidelines (viii) CoAs shall have source of Iron which is used in FRK, from whom rice is seized/rice owned by Enforcement Authorities. But, the respondent (petitioner herein) have not produced (i) original Invoice of

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Purchase (ii) valid FSSAI license (iii) document in support of having FRK blending unit as per BIS-IS 17854:2022 or amended from time to time (iv) valid +F logo endorsement from FSSAI and envisaged documents as stipulated by DCSM, APSCSCL, Ongole. The learned counsel vehemently contended that the documents in question are only required if the petitioner claims to have procured kernels from any manufacturer and got his own rice. However, in the present case, the petitioner sought the release of PDS rice that was previously seized. Therefore, there is no need for the petitioner to produce such documents. Despite this, the concerned authority passed the impugned orders solely based on this requirement, without considering any other relevant grounds.

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The learned Assistant Government Pleader for Civil Supplies placed on record the written instructions of the 2^nd respondent, dated 06.01.2025 and contended that the petitioner failed to produce any way bill and sought time to file the counter-affidavit.

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In response, the learned counsel for the petitioner submitted that a way bill is no longer required in this case. He further submitted that the seized stock and vehicle be released to the petitioner, subject to certain conditions, such as the furnishing of security.

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The learned Assistant Government Pleader submitted that if the petitioner challenges the impugned order, time is required to file counteraffidavit, where as if the petitioner is prepared to furnish security for interim custody of the stock and the vehicle, this Court may pass appropriate order.

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Under these facts and circumstances and upon considering the submissions of both the leaned counsels, the writ petition is disposed of with the following directions:

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i. The concerned respondent authority is directed to release the stock of the petitioner on furnishing security of immovable property of self or

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third party equivalent to the value of the seized stock, to the satisfaction of the concerned authority, whereupon the concerned authority shall forthwith intimate the acceptance of the security to the concerned District Registrar/Sub-Registrar for their record purpose.

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ii. The concerned respondent authority is directed to release the vehicle bearing No.AP 16 TW 6324 to the petitioner on furnishing separately personal or third party immovable property as security equivalent to the value of the seized stock or the vehicle, as the case may be, to the satisfaction of the concerned authority, with a further undertaking that the property secured shall not be alienated or subjected to any charge over the property, pending disposal of proceedings under Section 6-A of the E.C.Act, whereupon the concerned authority shall forthwith intimate the acceptance of the security and the undertaking to the concerned District Registrar or Sub-Registrar concerned for their record purpose.

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There shall be no order as to costs.

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Pending miscellaneous applications, if any, shall stand closed.

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________________________ JUSTICE B.S.BHANUMATHI

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Date: 08.01.2025

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SCH

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W.P.No.385 of 2025 Dt:08.01.2025