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Gujarat High Court

Shree Ram Industries Thro' Anandkumar ... vs State Of Gujarat & 2 on 29 February, 2016

Author: Sonia Gokani

Bench: Sonia Gokani

                 R/SCR.A/908/2016                                               ORDER




                  IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

            SPECIAL CRIMINAL APPLICATION (QUASHING) NO. 908 of 2016
                                              TO
                  SPECIAL CRIMINAL APPLICATION NO. 911 of 2016
         ==========================================================

SHREE RAM INDUSTRIES THRO' ANANDKUMAR RAMBARAN SHARMA....Applicant(s) Versus STATE OF GUJARAT & 2....Respondent(s) ========================================================== Appearance :

MR VIRAT G POPAT, ADVOCATE for the Applicant(s) No. 1 NOTICE SERVED BY DS for the Respondent(s) No. 2 - 3 MR JK SHAH, ADDL.PUBLIC PROSECUTOR for the Respondent(s) No. 1 ========================================================== CORAM HONOURABLE MS JUSTICE SONIA GOKANI :
Date : 29/02/2016 ORAL COMMON ORDER
1. Since   the   present   petitions   arise   from   the  identical   questions   of   facts   and   law,   they   are  being decided by this common order. For the sake  of brevity and convenience, the facts are drawn  from Special Criminal Application No.908 of 2016. 
2. The   petitioner   is   engaged   in   production   of  different types of edible flours and cattle feed  since the year 1987. On the strength of the raw  Page 1 of 18 HC-NIC Page 1 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER material   in   the   form   of   wheat,   gram,   etc.  procured from the open market, the flour is being  made   after   removing   impure   seeds,   insects,   etc.  It is the say of the petitioner that fumigation  on regular basis is being done in the godowns and  thereafter, the godown is locked in an airtight  condition.

2.1 On   October   15,   2015,   the   respondent   No.3­ Food Safety Officer along with certain private  individuals and Government officers entered the  godown of the petitioner and opened the storage  room of the godown, which was under fumigation.  The samples of grains were drawn from the raw  material,   which   according   to   the   petitioner,  was   not   meant   for   human   consumption.   The  samples   were   drawn   by   some   of   the   private  individuals and as the godown was packed with  gunny   bags   full   of   grains,   the   samples   were  drawn   from   the   material   lying   on   the   floor.  Resultantly, the samples did not meet with the  standards and a spot seizure memo had also been  issued   to   the   petitioner.   The   report   of   the  Food   Analyst   in   that   respect   prepared   on  Page 2 of 18 HC-NIC Page 2 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER October   20,   2015,   indicated   therein   that   the  samples   were   unsafe   as  defined   under   section  3(1)(zz)(ix) of the Food Safety and Standards  Act,   2006   (hereinafter   referred   to   as   'the  Act')   and   the   rules   framed   thereunder,   was  given.

2.2 At   the   instance   of   the   petitioner,   who  preferred an appeal, the samples were analysed  by the Food Laboratory at Gaziabad, which also  indicated   that   the   sample   was   of   substandard  quality and the same was unsafe. 

2.3 In   pursuance   of   the   same,   the   petitioner  made a representation on November 24, 2015 to  the   respondent­authority   indicating   therein  that   the   process   of   sampling   and   the   act   of  opening   of   fumigated   godown   is   beyond   the  powers   of   the   respondent­authority.   It   had  objected   to   the   very   sampling   method   and   has  also   urged   that   the   unfinished   raw   material  which was valued at Rs.1.77 crore is lying in  the   storage   godown   would   be   severely   damaged  and   the   petitioner   will   be   saddled   with   the  Page 3 of 18 HC-NIC Page 3 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER irreversible damages. 

2.4 In view of aforesaid, a request is made in  this group of petitions to quash and set aside  the   process   undertaken   by   the   respondent­ authority   under   the   Act   and   rules   framed  thereunder, with a further request to release  the goods in the form of wheat and gram and to  permit the petitioner to manufacture the flour  accordingly.

3. An   affidavit­in­reply   has   been   filed   by   the  respondent   No.3­Food   Safety   Officer   contending  inter   alia  that   the   authority   concerned   has  powers   of   search,   seizure,   investigation,  prosecution and to undertake procedure thereof as  provided   under   section   41   of   the   Act.   The  definition   of   'food'   as   provided   under   section  3(j) of the Act has also been relied upon to urge  that the petitioner is holding licence under the  said Act and, therefore, the Food Safety Officer  would be entitled to take sample of the food and  also   search   the   premises   under   the   Food   Safety  and Standards (Licensing and Registration of Fod  Page 4 of 18 HC-NIC Page 4 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER Business) Regulation, 2011 (hereinafter referred  to as 'the Regulations'). Moreover, there is no  licence   obtained   for  cattle   feed   and,   therefore  also, the competent authority can take samples to  ascertain whether the sample which is for cattle  feed is in proper condition. It is further urged  that the premises had been inspected and as per  the   message   and   instructions   received   by   the  District   Supply   Officer,   Panchmahals   at   Godhra,  regarding rotten and bad quality of food grains  in petitioners' premises, as the primary concern  of the officer is as to whether the food stored  in different godowns for production of flour is  fit   for   human   consumption.   In   the   interest   of  public   health   and   larger   public   interest,   the  samples   have   been   drawn   and   eventually   the  Director   of   Food   Laboratory   declared   the   sample  unsafe and substandard as per Rule 2.4.6(1). It  is also their say that the sample was tested by  the Food Analyst and the report of Food Analyst  dated   October   20,   2015,   which   was   received   on  October   26,   2015,   was   referred   to   the   Food  Laboratory,   Gaziabad   and   the   certificate   was  Page 5 of 18 HC-NIC Page 5 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER received from the Director of Food Laboratory on  January   27,   2016,   which   was   stated   to   be  despatched on January 15, 2016.

4. As   one   year   is   the   time   for   launching   the  prosecution as per section 77 of the Act from the  date of commission of the offence, the launching  of the prosecution is awaited as the sanction of  the   Food   Safety   Commissioner   is   yet   to   be  obtained. It is also the say of the respondent­ authority that in some cases like raid at hotel  and restaurant, the samples of chilly powder as  well   as   turmeric   powder   with   cooked   food   is  obtained.   However,   it   is   misconception   on   the  part of the petitioner that the result of sample  would   have   been   different   if   the   sample   would  have been taken after final product.

5. Both the sides have been heard at length. Various  submissions have been made as to whether the raw  material   wheat   and   gram   could   be   said   to   be  covered by the definition of food under section  3(j)   of   the   Act.   The   manner   and   method   of  sampling,   the   timings   chosen   for   raid   by   the  Page 6 of 18 HC-NIC Page 6 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER respondent   No.3,   the   reports   of   both   the  laboratories, etc. had been at length argued by  raising rival contentions.

6. It   is   to   be   noted   that   during   the   course   of  hearing, what weighed with the Court is the fact  that the petitioner had possessed the licence for  selling   flour   of   wheat   and   gram   both   and   the  sample had been drawn not from the final product,  but   from   the   raw   material   which   undergoes   the  entire   process   of   cleansing.   Before   the   actual  process   had   been   carried   out,   the   samples   had  been drawn by the respondent No.3. This Court on  February 17, 2016 inter alia passed the following  order :

"2.  During   the   course   of   hearing,   the  Report   of   Food   Analyst   as   per   regulations 
(ii) of 2.3.1 dated 20th October, 2015 giving  the Analysis and opinion in respect of wheat   is as follows : 
"Opinion   :­   In   respect   of   the   tests  performed   above   the   sample   of   Ghau   (wheat)   is  substandard  as   it   do   not   comply   to   the   standards   and   provisions   laid   down   under  Regulation   No.   2.4.6(2)   of   Food   safety   and   Page 7 of 18 HC-NIC Page 7 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER standards   (Food   products   and   food  additive)Regulations   2011   and   provision   of  FSSA   2006   and   rules   made   there   under   in  respect of Damaged grains, Weevil led grains  and   Uric   acid   and   also  Unsafe   food  as  defined   under   Section   3(1)(zz)(ix)   and  provision   of   Food   safety   and   Standard   Act  2006   and  rules  made   there   under   in   respect   of  presence  of  living   and   dead   insects  and   insects parts." 

3. From the Certificate of Analysis by the   Referral   Food   Laboratory,   Gaziabad   (U.P.)  for the sample of wheat opinion given is as  follows :­ "Opinion­   The   sample   of   Ghau   (Wheat)   does   not conform to the standards laid down under   Regulation   2.4.6(2)   of   Food   Safety   and  Standards (Food Products Standards and Food  Additives)   Regulations   2011,   as   the   sample  shows Foreign matter (extraneous matter) and   Weevilled   grains   above   the   maximum  prescribed   limit.   The   sample   also   shows  presence   of   large   number   of   live   and   dead   insects   /larvae.   The   sample   is   thus   unsafe   under   section   3(1)(zz)(ix)(xi)   of   FSS   Act,  2006." 

4. All along the emphasis on the part of the  common   applicant   (in   all   the   above  Page 8 of 18 HC-NIC Page 8 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER applications)   is   that   the   applicant   is   not   selling   wheat/gram,   but   wheat/gram   flours  and   admittedly,   no   sample   of   wheat/gram  flour is taken. The flow­chart of the Wheat   and   Gram   Cleaning   Process   at   Annexure   H  would be necessary to be reproduced which is   as hereinunder:­  "Flow   Chart   of   Wheat   and   Gram   Cleaning  Process First Stage of Cleaning Wheat Gram Intake 1st Round Reel Machine 2nd Round Reel Machine Scouring Machine Screen Separator Machine Washer Vizer First silos Scouring Machine Screen Seperator Machine 3 Brush Machine Second Silos Dry Stoner Round Reel Machine Third and Final Silos All   machines   are   connected   to   separately  high   pressure   fan   which   collects   all   small   and medium impurities, power, dust and live  and dead insects to dust collector room.  

5. It   is   the   case   of   the   applicant   that   the seized items are not meant for sale and  what is being sold is wheat/gram flour. The  applicant   is   in   the   business   of   production   of wheat/gram flour from the year 1987 and  Page 9 of 18 HC-NIC Page 9 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER at   no   stage,   any   irregularities/  adulteration   is   noticed   by   the   authority  much   less   any   illegality.   Decision   of   this   Court   rendered   in   case   of   Cargill   India  Private   Limited   Vs.   Union   of   India   through   Secretary   reported   in   2012(4)   GLR   3485  [Coram:   Mr.Justice   Bhaskar   Bhattacharya,  Chief Justice(as he then was) and Mr.Justice   J.B.Pardiwala] is also pressed into service.

6. Considering the fact that the bags from   which   the   samples   were   drawn   had   not   been  cleaned   for   the   purpose   of   preparation   of  wheat/gram   flour   and   admittedly,   the   applicant is not in the business of selling  either   gram   or   wheat,   before   this   Court  adjudicates   the   issue   of   handing   over   the  seized   articles,   it   would   be   necessary   to  find   out   as   to   whether   the   quality   of  wheat/gram   as   such   is   not   sub­standard  rendering   them   as   unfit   for   human  consumption, even when converted into wheat  flour. It is the case of the applicant that  in   the   flow   chart   up   to   the   process   of  wheat/gram   going   to   the   third   silos,   basic   material   would   be   completely   clean.   No  sample   thereafter   can   contain   Weevilled  grains   above   prescribed   limit   or   for   that  matter insect live or dead or any extraneous   matter.  





                              Page 10 of 18

HC-NIC                      Page 10 of 18     Created On Sun Mar 06 00:27:35 IST 2016
          R/SCR.A/908/2016                                             ORDER



7.   Bearing   in   mind,   the   dimension   of   the  machine, it would be necessary as submitted  by the learned advocate for the applicant on   seeking instructions before this Court that  minimum   200   gunny   bags   of   wheat   shall   be  released for the process of cleaning . 

8. Food Safety Officers, Godhara as named by   the learned APP shall remain present . They  shall be :­  

1.     Mr.I.V.Patel,   Food   Safety   Officer,  Godhara 

2. Mr.R.B.Raj, Food Safety Officer, Godhara 

3.   Mr.   U.S.Patil,   Food   Safety   Officer,  Godhara 

4. Mr.Y.C.Shah, Food Safety Officer, Godhara 

9.   These   Officers   shall   remain   present   to  select and identify 200 gunny bags of wheat  and   gram   at   random   and   shall   hand   over   to   the   applicant.   Such   samples   shall   be  processed up to third and final silos by the  applicant in the presence of these officers.   No   further   process   thereafter   shall   be  undertaken   without   permission   of   the   Court  and before any report is received from the  Food Analyst.  

10.   Once   the   process   of   cleaning   shown   in  the flow chart is made, the sample shall be  Page 11 of 18 HC-NIC Page 11 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER sent   to   the   Food   and   Drugs   Laboratory,  Vadodara for the purpose of analysis to be  carried out expeditiously but not later than   one week. 

11. The concerned officer for earmarking the   seized goods for the aforesaid purpose shall   visit   the   place   of   the   applicant   tomorrow  i.e. on 18th February, 2016 at 11.00 a.m. . 

12. Copy of this order shall be provided to  learned   APP   Mr.J.K.Shah   for   onward  communication   and   necessary   follow­up  action.  

13. Let the matter appear on 29th  February,  2016   along   with   the   report   of   the   Laboratory. 

  Direct service is permitted today."

7. Today when the report has been produced on record  which is forwarded by the Food Analyst, Food and  Drugs   Laboratory   at   Vadodara,   addressed   to   the  Designated   Officer,   Food   and   Drugs   Control  Administration,   Godhra,   it   transpires   that   the  test   performed   on   the   sample   of   the   processed  wheat   and   gram   conforms   to   the   standards   and  Page 12 of 18 HC-NIC Page 12 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER provisions laid down under Regulation 2.4.6(2) of  the Food Safety and Standards (Food Products and  Food Additive) Regulations, 2011 as well as the  Food   Safety   and   Standards   Act   and   rules   framed  thereunder.   It   would   be   worthwhile   to   reproduce  the   report   of   Food   Analyst   in   tabular   form   qua  wheat and gram respectively, which reads as under 

:
Sr. Quality Name of the Method of Results Prescribed std. as No. Characte- the test used per regulation ristics No.2.4.6.(2) & as per provision of the Act, Rules & Regulations 1 Moisture DGHS Lab Manual 10.84% Max.14.0% by 3:2005 weight (Cereals and cereal products) Method 2.0 2 Other edible Visible separation Absent Max.6.0% by grains method weight.

Ref.: DGHS Manual methods-2005 3 Foreign DGHS Lab Manual 3 : Absent Max.1.0% by matter 2005 (Cereals and weight.

cereal products) Method 1.2.1 4 Damaged DGHS Lab Manual 3 : 2.39% Max.6.0% by grains 2005 (Cereals and weight.

cereal products) Method 1.1.2.3 5 Weevil led DGHS Lab Manual 3 : Absent Max.10.0% by grains 2005 (Cereals and count.

                               cereal products)
                               Method 1.2.3
         6   Uric acid              DGHS Lab Manual 3 :           8.0           Max.100 mg/Kg
                                     2005 (Cereals and           mg/Kg
                                      cereal products)
                                       Method 1.2.3



                                             Page 13 of 18

HC-NIC                                     Page 13 of 18     Created On Sun Mar 06 00:27:35 IST 2016
                       R/SCR.A/908/2016                                                   ORDER



             7     Added                 DGHS Lab Manual 3 :          Absent        As per Regulation
                   Colouring              2005 (Cereals and                             No.3.1.2
                   matter                  cereal products)
                                             Method 4.2




         Sr. Quality          Name of the Method of the              Results       Prescribed std. as
         No Characte                  test used                                      per regulation
         .   -ristics                                                               No.2.4.6(9) & as
                                                                                  per provision of the
                                                                                      Act, Rules &
                                                                                      Regulations
         1       Moisture DGHS Lab Manual 3:2005                      9.15%          Max.16.0% by
                          (Cereals and cereal products)                                 weight
                          Method 2.0
         2       Other      Visible separation method                Absent           Max.4.0% by
                 edible     Ref.: DGHS Manual methods-                                  weight.
                 grains     2005
         3       Foreign    DGHS Lab Manual 3 :2005                  Absent           Max.1.0% by
                 matter     (Cereals and cereal products)                               weight.
                            Method 1.1.2.1
         4       Damage DGHS Lab Manual 3 :2005                       0.09%           Max.5.0% by
                 d grains (Cereals and cereal products)                                 weight.
                          Method 1.1.2.3
         5       Weevil     DGHS Lab Manual 3 :2005                   0.20%          Max.10.0% by
                 led        (Cereals and cereal products)                               count.
                 grains     Method 1.1.2.3
         6       Uric acid DGHS Lab Manual 3 :2005                    28.0          Max.100 mg/Kg
                           (Cereals and cereal products)             mg/Kg
                           Method 3.0
         7       Added    DGHS Lab Manual 3 :2005                    Absent               Absent

Colourin (Cereals and cereal products) g matter Method 4.2

8. At this stage, Shri Virat Popat,  learned counsel  appearing for the petitioner, does not press the  prayer   clauses   8(b)   and   8(c)   with   liberty   to  agitate   these   issues   at   an   appropriate   stage  before   appropriate   forum,   bearing   in   mind,   the  Page 14 of 18 HC-NIC Page 14 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER report of analysis dated February 25, 2016, where  loose processed wheat and gram are said to have  conformed   to   the   standards   and   provisions   laid  down under Regulation 2.4.6(2) of Food Safety and  Standards   (Food   Products   and   Food   Additive)  Regulations, 2011, and the provisions of the Food  Safety and Standards Act, 2006 and Rules framed  thereunder.

9. Without entering into the issues and contentions  raised by both the sides, only on the ground that  the   reports   of   both   the   laboratories   after   the  wheat   and   gram   having   been   permitted   to   be  cleansed   and   processed   when   conforms   to   the  standards,   request   of   petitioner   to   allow   the  process of flour deserves consideration. What has  weighed with the Court is that huge quantity of  wheat and gram has been seized by the respondent­ authority which is valued in lakhs of rupees and  if   the   same   is   allowed   to   lie   in   the   godown  without any further process, it is surely  going  to   be   the   national   wastage.   Had   this   been   the  case   where   end   product   rendered   itself   inedible  Page 15 of 18 HC-NIC Page 15 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER or   unfit   for   human   consumption,   the   petition  would   have   been   dismissed   in   limine.   However,  when   on   undertaking   process   of   cleansing   as  prescribed hereinbefore when the samples of flour  conform   to   the   standards   prescribed   under   the  rules and regulations, it is a fit case for the  Court   to   invoke   extraordinary   jurisdiction   with  inherent powers for the cause of justice.

10. On   reiterative   questioning   to   the   learned  Additional Public Prosecutor who, on instructions  from the team of officers, has submitted to the  Court that the sample of flour of both i.e. wheat  and   gram,   conforms   to   the   prescribed   standards  and   there   is   not   the   slightest   doubt   in   the  report, which has been obtained from the Food and  Drugs   Laboratory   pursuant   to   the   order   dated  February 17, 2016.

11. In   view   of   aforesaid   the   following  directions   are   issued   without   interfering   with  the   process   of   prosecution,   which   is   otherwise  contemplated   to   be   initiated   by   the   respondent­ Page 16 of 18 HC-NIC Page 16 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER authority :

(i) The   respondents   at   this   stage   are   directed  to   release   the   goods   which   are   in   the   form   of  wheat and gram forthwith qua all the petitioners.
(ii) The respondents shall permit the petitioners  to   continue   the   manufacturing   process   for  manufacturing   flour   from   both   these   commodities  i.e. wheat and gram, lying in six lots and four  godowns of the petitioners.
(iii) On the petitioners completing the process of  manufacturing,   they   shall   communicate   the   said  aspect to the respondent No.3 in writing. If the  respondent­authority   is   desirous   of   taking  sample, it shall take the same within a week from  the date of receipt of a communication from the  respective petitioner and the report qua the same  shall   be   supplied   to   the   respective   petitioner  within a week thereafter.
(iv) If  such   sample  so  obtained  conforms  to  the  prescribed standards, the petitioners will be at  liberty to sell the same, keeping detailed record  Page 17 of 18 HC-NIC Page 17 of 18 Created On Sun Mar 06 00:27:35 IST 2016 R/SCR.A/908/2016 ORDER of everything which shall be produced before the  respondent   Nos.2   and   3   as   well   as   before   the  concerned Court by way of an affidavit and annual  record be maintained in the course of process.
(v) All   legal   issues   raised   by   both   the   sides  which   are   not   pressed   and,   therefore,   not  adjudicated, are permitted to be agitated before  the concerned authority.
(vi) This   order   shall   not   be   treated   as   a  precedent in other proceedings.

  With the above directions and observations,  this petition stands disposed of.    Direct Service is permitted.

(MS SONIA GOKANI, J.) Aakar Page 18 of 18 HC-NIC Page 18 of 18 Created On Sun Mar 06 00:27:35 IST 2016