Union of India &
Ors. Vs. M/S. Kundan Rice Mills Ltd  INSC 1854 (3 November 2008)
IN THE SUPREME COURT
OF INDIA CIVIL APPELLATE JURISDICTION CIVIL APPEAL NOS.6457-6458 OF 2008
(Arising out of S.L.P.(C) Nos.25591-25592/2008 Union of India and Ors. Etc.Etc.
...Appellants Versus M/s. Kundan Rice Mills Ltd. ...Respondent
Dr. ARIJIT PASAYAT,
Though these matters
were listed for admission, learned counsel for the parties requested the
matters to be taken up for final disposal.
We find that while
adjudicating an interim matter, the High Court has given a categorical finding
on merits holding inter-alia that there is nothing to show that even prima
facie, goods are liable to confiscation. The High Court appears to have decided
the matter on -2- merits finally even though that was not the stage for doing
so and was beyond the scope of adjudication of the writ petition. This is not
the way the High Court should have dealt with the matter. Apart from that, the
High Court has not indicated any reason as to why the condition of execution of
indemnity bond equivalent to seizure value of goods and/or furnishing of bank
guarantee equal to 10% of value of goods, as was stipulated by the authorities,
was not justified.
This also adds to the
vulnerability of the order. We set aside the impugned orders of the High Court.
Let the High Court hear the matters afresh. To avoid unnecessary delay, let the
parties appear before the High Court, without further notice, on 17.11.2008.
The Hon'ble Chief
Justice of the High Court is requested to allot the matters, i.e. CWP
No.13914/2008 and COCP No.1536/2008 to an appropriate Bench.
The appeals are
disposed of accordingly.
(Dr. MUKUNDAKAM SHARMA)