Appeal No 1597 of 1967
Appeal from the judgment and order dated March 31 1967 of the Bombay High Court in Appeal No 11 of 1967
Jethmalani N H Hingorani and K Hingorani for the appellant
K G Khandalawala H R Khanna and section P Nayar for the respondents
The Judgment of the Court was delivered by Bachawat J
This is an appeal by certificate against an order of the Bombay High Court on Letters Patent appeal confirming an order of dismissal of a writ petition by which the appellant Tukaram G Gaokar asked for a writ of prohibition restraining proceedings for imposition of a penalty on him for alleged complicity in the smuggling of gold in pursuance of a notice dated November 16 1966 issued under section 112 of the Sea 
The appellant s contention is that the threatened proceedings amount to contempt of the magistrate before whom hi  trial for offences in connection with the smuggling of gold is imminent are and in violation of the constitutional protection of article 203 of the Constitution
The High Court rejected these contentions
The main facts may be stated briefly
On September 14 and 17 1966 the customs officers raided a number of premises in the city of Bombay and seized 65860 tolas of foreign gold and some cold bangles worth about Rs 11420270
On September 14
1966 the appellant was arrested on charges of complicity in the smuggling of old and other articles
After several remands
424 he was released on bail
On October 6 1966 the customs officers lodged a first information report charging the appellant one John D Sa and other persons with offences in connection with the smuggling of gold under section 120B of the Indian Penal Code read with section 1 3 5 of the Sea  r 1 3 1 B of the Defence of India Rules and section 8 of the Foreign Exchange Regulation Act
The trial of the appellant on these charges before a magistrate is imminent
On November 16 1966 the Assistant Collector of Customs Preventive Department Bombay issued a notice to the appellant to show cause why the gold should not he confiscated under section 111 of the Sea and why a penalty should not be imposed on him under section 112 of the same Act
The notice alleged that he acquired possession of and was concerned in carrying removing depositing harbouring keeping concealing and dealing with gold which he knew or had reason to believe was liable to confiscation under section III and that in relation to such gold he was knowingly concerned in fraudulent evasion of customs duties and of the prohibitions imposed under the laws in force
The notice relied on several documents and the statement of John D Sa
The appellant disclaims any interest in the gold seized by the customs officers
He resists the imposition of penalty on him for alleged complicity in the smuggling
It is quite clear that identical issues arise in proceedings for imposition of penalty under section 112b of the Sea and in a trial for an offence punishable under section 135b of the same Act
If any
person acquires possession of or is in any way concerned in carrying removing depositing harbouring
keeping concealing selling or purchasing or in any other manner dealing with any goods which he knows or has reason to believe are liable to confiscation under section 1 1 1 he may be proceeded against under section 1 1 2  b and also under section 135b
On the same set of facts a penalty may be imposed on the offender under section II 2 b and he maybe punished with imprisonment and fine under section 135b
Similar issues arise in the trial of offences for contravention of r 131 B of the Defence of India Rules and section 8 of the Foreign Exchange Regulation Act
The customs officers will have to enquire into these issues though the same issues will later be tried by the criminal court
The Sea contemplates parallel proceedings of this kind Section 127 expressly provides that the award of a penalty under section 112 is not a bar to the infliction of punishment under section 135
The offender may be punished under section 135 without prejudice to any other action that may be taken under the Act
The customs officers are empowered to confiscate smuggled
goods and to levy penalties on persons concerned with the smuggling
They may initiate proceedings for confiscation of the goods and for imposition of the 425 penalty though the trial of those persons in a criminal court for connected offences is imminent
The initiation and continuance of those proceedings in good faith cannot amount to contempt of the criminal court
To constitute contempt of court there must be involved some act done or writing published calculated to bring a court or a judge of the court into contempt or to lower his authority or something calculated to obstruct or interfere with the due course of justice or the lawful process of the courts see Reg v Gray  Arthur Reginald Perera vs The King 2 
The customs officers did nothing of this kind
They are acting bone fide and discharging their statutory duties under sections III and 112
The power of adjudicating penalty and confiscation under those sections is vested in them alone The criminal court cannot make this adjudication
The issue of the show cause notice and proceedings thereunder are authorised by the Act and are not calculated to obstruct the course of justice in any court
We see no justifycation for holding that the proceedings amount to contempt of court
The decided cases do not support the appellant s contention
In Saibal Kumar Gupta vs B K Sen 3 it was held that an enquiry by a special committee appointed by the Corporation of Calcutta to enquire in to the conduct of the Commissioner in the matter of appointment of municipal officers pending criminal proceedings against him in respect of certain offences did not amount to contempt of court
The special committee could not be said to hold a parallel enquiry on matters pending before the court though the enquiry might extend to those matters incidentally
It may be noted that there was no express provision in the Calcutta Municipal Act authorising a special committee to hold an enquiry into any matter in issue before a Court
In section section Roy vs State of Orissa 4  a magistrate issued an order restraining the execution of a warrant of arrest issued by a civil court
The order was in excess of his jurisdiction and was not warranted by section 144 of the Code of Criminal Procedure
The court held that he could not be punished for contempt of court in the absence of wilful error proceeding from improper or corrupt motives In the present case also the customs officers are not actuated by any oblique motive
Moreover their action is authorised by sections 111 and 112 and is not in excess of their jurisdiction
The customs officers have a discretion to stay the proceedings under sections 111 and 112 during the pendency Of the trial in the 1 1900 2QB36
2 488
3 1961 3SCR460
4 AIR 1960 SC 190 426 criminal court
In the exercise of their discretion they have refused to stay the proceedings
It is not shown that their action is mala fide or arbitrary
The court will not issue a mandamus to control this exercise of their discretion
The appellant then claims that the proceedings under sections 111 and 112 are in violation of article 203 of the Constitution
He says that unless the proceedings are stayed he will be compelled to enter the witness box to rebut the evidence of John D Sa and will be forced in cross examination to give answers incriminating himself
Article 203 affirms that no person accused of any offence shall be compelled to be a witness against himself
first information report has been lodged and formal accusation has been made in it against the appellant charging him with offences in connection with the smuggling of gold
The appellant is therefore a person accused of an offence
But it is not possible at this stage to say that he is compelled to be a witness against himself
There is no compulsion on him to enter the witness box
He may if he chooses not appear as a witness in the proceedings under sections I I I and 1 12
The necessity to enter the witness box for substantiating his defence is not such a compulsion as would attract the protection of Art
203
Even in a criminal trial any person accused of an offence is a competent witness for the defence under section 342 A of the Criminal Procedure Code and may give evidence on oath in disproof of the charges made against him
n It may be very necessary for the accused person to enter the witness box for substantiating his defence
But this is no reason for saying that the criminal trial compels him to be a witness against himself and is in violation of article 203
Compulsion in the context of article 203 must proceed from another person or authority
The appellant is not compelled to be a witness if he voluntarily gives evidence in his defence
Different considerations may arise if he is
summoned by the customs authorities under s i 108 to give evidence in the proceedings under sections I I 1 and 1 1 2
But he has not yet been summoned to give evidence in those proceedings
We express no opinion on the question whether in the event of his being summoned he can claim the protection under article 203 and whether in the event Of his being then compelled to give incriminating answers he can invoke the protection of the proviso to section 132 of the Indian Evidence Act against the use of those answers in the criminal proceedings
It may be noted that counsel for the customs authorities gave an undertaking in the High Court that they would not use in any criminal proceedings the statement if any that might be made by the appellant during the course of the adjudication proceedings
Before the High Court the appellant took the further point that the proceedings under sections Ill and 112 were in violation of 427 article 14 of the Constitution
The High Court repelled this contention
That point has now been abandoned by the appellant and does not survive
In the result the appeal is dismissed
There will be no order as to costs
GC Appeal dismissed


Summary:
In September 1966 the Customs authorities seized certain contraband  gold from the possession of the appellant
Thereafter the appellant along with certain other persons was charged before
a Magistrate for offences in connection with the smuggling of gold under section 120 B of the Indian Penal Code read with section 135 of the Sea  r 131 B of the Defence of India Rules and section 8 of the Foreign Exchange Regulation Act
Before the commencement of the trial the Assistant Collector of Customs issued a notice to the appellant to bow cause why the gold should not be confiscated under section III of the Sea and why a penalty should not be imposed on him under section 112 of the same Act
Thereupon the appellant under article 226 of the Constitution asked the High Court for a writ of prohibition restraining proceedings for imposition of penalty on him in pursuance of the aforesaid notice
The contention was that the threatened proceedings i amounted to contempt of the Magistrate before whom the trial was imminent and ii were in violation of article 203 inasmuch as he would be compelled to go into the witness box to rebut the evidence of an accomplice witness
The High Court rejected these contentions but granted a certificate to appeal to this Court
HELD  i Identical issues arise in proceedings for imposition of penalty under section 112b of the Sea and in a trial for an offence punishable under section 135b of the same Act
If a person incurs liability under section 1 1 1 he may be proceeded against under section 112b and also under section 135b
Similar issues arise in the trial for contravention of r 131B of the Defence of India Rules and section 8 of the Foreign Exchange Regulation Act
The customs officers will have to enquire into these issues though the same issues will later be tried by the criminal court
Section 127 expressly provides that the award of a penalty under section 112 is not bar to the infliction of punishment under section 135
The offender may be punished under section 135 without prejudice to any other action that may be taken under the Act
424 E H The Customs Officers were acting bona fide and discharging their statutory duties under sections 111 and 112
The power of adjudicating penalty and confiscation under those sections is vested in them alone
The criminal court cannot make this adjudication
The issue of the show cause notice and proceedings thereunder were authorised by the Act and were not calculated to obstruct the course of justice in any Court
There was no justification for holding that the proceedings amounted to contempt of Court
425 C 423 Reg vs Gray  Arthur Reginald Perera vs the King  Saibal Kumar Gupta vs B K Sen  and section section Roy vs State of Orissa AIR  referred to
ii The customs officers have a discretion to stay the proceedings under sections III and 112 during the pendency of the trial in the criminal court
In the exercise of their discretion they had refused to stay the proceedings
It was not shown that their action was mala fide or arbitrary
The Court would not issue a mandamus to control this exercise of their discretion
425 H iii The proceedings under sections 111 and 112 could not be said to be in Violation of article 203 of he Constitution
The possibility of having to enter the witness box to rebut the evidence of an accomplice was not such a compulsion as would attract the Provisions of proceedings from another person or authority
If an accused voluntarily gives evidence in his defence he is not being compelled to be a witness against himself
The Court however observed that different considerations might arise if the appellant was summoned by the customs authorities under section 108 to give evidence in the proceedings under sections III and 1121 426 D F