THE HON'BLE SRI JUSTICE C.V.NAGARJUNA REDDY WRIT PETITION No.31106 of 2010 Date: 10.12.2010 Between: P. Nageswara Rao ..... Petitioner AND The Joint Collector, Visakhapatnam and others .....Respondents Counsel for the Petitioner: Sri B. Devanand Counsel for Respondents: Assistant Government Pleader for Civil Supplies The Court made the following: ORDER: This writ petition is filed for a Mandamus to set aside the memo dated 30.11.2010 of respondent No.1 to the extent of stipulation of condition of furnishing bank guarantee for Rs.1,00,000/-. I have heard Sri B. Devanand, the learned counsel for the petitioner and the learned Assistant Government Pleader for Civil Supplies. The petitioner is the owner of an auto bearing No.AP 31 TW 5042, which was seized on 07.11.2010 at 1800 hours on suspicion that the said auto was used on 5/6.11.2010 at 0400 hours for carrying 200 litters of kerosene, which was allegedly sold at Daimond Petrol bunk, Payakaraopeta Village, for being mixed up with petrol and diesel. On the petitioner’s application for release of the vehicle, respondent No.1 has passed the impugned memo, whereby he has directed release of the seized vehicle subject to the petitioner furnishing bank guarantee for Rs.1,00,000/-. The quantum of amount for which the bank guarantee was directed to be furnished is assailed in this writ petition on the ground that even if the allegations on which the vehicle was seized are proved, the petitioner will be liable to pay the cost of 200 litters of kerosene in terms of second proviso to Section 6-A(1) of the Essential Commodities Act, 1955. On a perusal of this provision, I find merit in the submission of the learned counsel for the petitioner that even if in the ultimate eventuality of confiscation, the petitioner has an option to pay the value of the confiscated goods. As the commodity liable to be confiscated is 200 litters of kerosene, the petitioner is liable to pay bank guarantee only for the value of the said commodity. In this view of the matter, the impugned memo is modified by directing respondent No.1 to release the petitioner’s vehicle to him subject to his furnishing bank guarantee for the value of 200 litters of kerosene. Subject to the above direction, the Writ Petition is disposed of. As a sequel to disposal of the writ petition, W.P.M.P.No.39576 of 2010 filed by the petitioner for interim relief is disposed of as infructuous. ________________________ C.V.NAGARJUNA REDDY, J 10th December, 2010 GHN