HON’BLE SRI JUSTICE NOUSHAD ALI WRIT PETITION No.27584 of 2011 Date: 30.09.2011 Between : Darsi Hazarath Kumar … Petitioner and The Joint Collector (CS Wing), Prakasam District, Ongole and another. … Respondents HON’BLE SRI JUSTICE NOUSHAD ALI WRIT PETITION No.27584 of 2011 ORDER: Heard Sri I.Koti Reddy, learned counsel appearing for the petitioner as well as the learned Government Pleader for Civil Supplies appearing for the respondents and with their consent, the writ petition is being disposed of at the stage of admission. 2. This writ petition has been filed challenging the proceedings in Rc.CS1/6A/156/2011-2, dated 19.9.2011 of the 1st respondent-Joint Collector (CS Wing), Prakasam district, Ongole, directing the release of the vehicle TATA Ace Auto bearing No.AP 27 TT 2750 on condition of the petitioner furnishing bank guarantee for an amount of Rs.2,73,794/- pending enquiry under Section 6-A of the Essential Commodities Act, 1955 (for short ‘the Act’), as arbitrary and illegal. 3. Petitioner claims to be the owner of TATA Ace Auto bearing No.AP 27 TT 2750. It was found transporting 1200 litres of kerosene oil in six drums. The said stock was seized by the 2nd respondent- Tahsildar, Chirala Mandal, Prakasam District, under the cover of panchanama dated 28.8.2011 and submitted a report to the 1st respondent for eventual action for confiscation under Section 6-A of the Act. The petitioner submitted a petition dated 12.9.2011 before the 1st respondent contending that he had no knowledge about the transportation of kerosene and the driver carried kerosene oil believing the version of a stranger that it was diesel oil. The 1st respondent, on a consideration of the fact that the contraband was kerosene oil meant for Public Distribution System, has initiated action for confiscation. However, insofar as the vehicle is concerned, he has directed to release the same on condition of furnishing bank guarantee for a sum of Rs.2,73,794/-. Aggrieved by the same, the petitioner has filed the present writ petition for the aforesaid relief. 4. Learned counsel for the petitioner submits that the petitioner is innocent that the contraband was meant for Public Distribution System. He submits that even if an order is passed confiscating the vehicle, owner of the vehicle has an option to agree for a fine not exceeding the market price of the seized stock. He submits that the value of the seized stock even in the open market does not exceed Rs.36,000/-. The learned counsel, therefore, submits that the impugned order be modified directing to furnish bank guarantee for the value of the seized stock. 5. The question whether the petitioner is innocent and had no knowledge about the contraband are the matters, which are to be gone into in the enquiry and no conclusive finding can be recorded in that regard at this stage. As rightly contended, under the second proviso to Section 6-A of the Act, even if confiscation is directed, owner of a vehicle is entitled to pay fine not exceeding the market price at his option. The market price of 1200 litres of kerosene oil at the most would be Rs.50,000/-. 6. Having regard to the said provision, I deem it appropriate to modify the impugned order dated 19.9.2011 of the 1st respondent directing that the TATA Ace Auto bearing No.AP 27 TT 2750 be released in favour of the petitioner on furnishing bank guarantee for a sum of Rs.50,000/- (Rupees fifty thousand only) and filing an undertaking that he would not transfer or alienate the vehicle in question till appropriate final orders are passed by the competent authority pursuant to the proceedings under Section 6-A of the Act and would produce the same whenever required for enquiry. 7. The writ petition is accordingly disposed of. No order as to costs. ________________________ JUSTICE NOUSHAD ALI 30.09.2011. NOTE: Issue C.C. by tomorrow. (B/O) Msr HON’BLE SRI JUSTICE NOUSHAD ALI WRIT PETITION No.27584 of 2011 30.09.2011 (Msr)