Full Judgment Text
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PETITIONER:
K.I. PAVUNNY
Vs.
RESPONDENT:
ASSISTANT COLLECTOR (HEAD QUARTER),CENTRAL EXCISE COLLECTORA
DATE OF JUDGMENT: 03/02/1997
BENCH:
K. RAMASWAMY, S. SAGHIR AHMAD, G.B. PATTANAIK
ACT:
HEADNOTE:
JUDGMENT:
J U D G M E N T
K. Ramaswamy, J.
This appeal by special leave has come up before this
Bench, pursuant to a reference order dated November 9, 1994
passed by a two-Judge Bench, to consider whether the
confessional statement of the appellant given to the Customs
officers under Section 108 of the Customs Act, 1962 (for
short, the ’Act’, though retracted at a later stage, is
admissible in evidence and could form basis for conviction
and whether retracted confessional statement requires
corroboration on material particulars from independent
evidence? In support of the reference, the learned Judges
have cited Kashmira Singh V/s. The State of Madhya Pradesh
[AIR 1952 SC 159] and Chandrakant Chimanlal Desai V/S. State
of Gujarat [(1992) 1 SCC 4731.
The facts in this case are that at 8.00 a.m. on
December 6, 1980, 200 gold biscuits of foreign making were
recovered from the compound of the appellant’s house in his
presence after digging got done by the Customs official, PW-
2, T.K. Rajasekaran, Superintendent of Customs, and PW-5, N.
Gopalan Nambiar, Inspector and two panch witnesses, PW-3 and
another. The same were kept concealed in a wooden box
burried in the ground visible through the window of his bed-
room. The appellant gave, in his own handwriting,
confessional statement, Ex. P-4, at 1.00 p.m. on the said
date before the Customs officials. In the proceedings for
confiscation, 200 gold biscuits, since unclaimed, were
confiscated. But the imposition of penalty was set aside
which became final. Thereafter, the complaint was filed by
PW-1, the Collector of Customs on May 15, 1982 and it was
refiled on January 1, 1985. The appellant was apprehended on
June 19, 1982 and was released on bail. The prosecution case
hinges upon the retracted confessional statement, Ex. P-4,
the recovery proceedings, Ex. P-3. and evidence of
witnesses, PWs-1 to 5 for proof of recovery of the
contraband from the compound of the appellant’s house. The
Magistrate by his judgment dated March 29, 1986 acquitted
the appellant of the charges under Section 135 (1) (i) of
the Act and Sections 85 (1) (a) and 86 of the Gold (Control)
Act, 1968. On appeal, the learned Single Judge of the Kerala
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High Court by the impugned judgment dated July 13, 1988 set
aside the acquittal and convicted the appellant of the
aforesaid offence and sentenced him to undergo imprisonment
for a period of 1 year and 6 months respectively and both
the sentences were directed to run concurrently.
Shri Thakur, learned senior counsel for the appellant,
has contended that the confessional statement, Ex. P-4 was
obtained by coercion and threat of implicating his wife in
the offences and, therefore, the appellant had not made
voluntary statement. The recovery of the gold biscuits from
his compound was shrouded with several suspicious features.
He further argued that the panch witness, PW-3 was involved
in smuggling activities and initially a warrant to search
his house was obtained but when the same proved
unsuccessful, recovery come to be made from the house of the
appellant. They went to the compound and straightaway got
the spot located and drugged up the place from which the
gold biscuits were recovered. That would go to show that PW-
3 had implanted them in the compound of the appellant for
safe custody thereof. Unless the appellant had conscious
possession of the contraband, he could not be convicted of
the offence. The Magistrate has given valid and cogent
reasons in support of his conclusion that the prosecution
failed to prove the case beyond reasonable doubt. The High
Court, without properly appreciating the reasons given by
the Magistrate and without finding whether or not those
reasons were sustainable on the basis of the evidence on
record, independently considered the evidence and reached
the conclusion that the prosecution had proved its case
against the appellant beyond reasonable doubt. The approach
adopted by the High Court is not correct in law. He also
contended that the learned Judge should have first
marshalled the facts and circumstances to conclude whether
prosecution has independently proved its case de hors Ex. P-
4 which could be considered first to be a voluntary
confession or was obtained by threat, coercion or
inducement. Even in reaching the conclusion that it was a
voluntary confession it could not by itself form the basis
for conviction. It could be used only to corroborate other
independent evidence which should inculpate the appellant in
the commission of the offence. On proof of those facts, the
retracted confession could be used as evidence corroborative
to satisfy the conscience of the Court that the prosecution
has proved its case beyond reasonable doubt from other
evidence on record. In support thereof, he placed reliance
on Kashmira Singh’s case and Chandrakant Chimanlal Desai’s
case. In support of his contention that Customs officers,
PW-2 and PW-5 are persons in authority under Section 24 of
the Evidence Act, he cited Vallabhdas Liladhar & Ors. V/s.
Assistant Collector of Customs [(1965) 3 SCR 854]. He
further contended that the moment the Customs Officer had
taken the appellant into custody, he had become a person
accused of the offence and that the confession made during
the custody, obtained by coercion and threat of implication
of his wife into the crime was not voluntary and
consequently Ex. P-4 is not admissible in evidence under
Section 24 of the Evidence Act. In support thereof, he
placed reliance on State of U.P. V/s. Deoman Upadhyaya
[(1961) 1 SCR 14]. The adduction of evidence by the
prosecution must be tested on the touchstone of fairness of
procedure and its trustworthiness. The confessional
statement, Ex. P-4 obtained by threat and coercion being
inadmissible, it could not be pressed into service and the
prosecution could not make it a base for proving the
offences charged against the appellant. The possession of
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contraband should be conscious possession which must
independently be proved beyond reasonable doubt. When the
Magistrate considered all the evidence and gave him the
benefit of doubt, the High Court did not test the
correctness of all the reasons of the Magistrate, reversal
of the acquittal by the High Court is bad in law. In support
thereof, he relied upon Satbir Singh & Anr. etc. etc. V/s.
State of Punjab [(1977) 3 SCR 195].
When we asked the learned counsel appearing for the
Union of India whether Customs officer is a person in
authority, the learned counsel started arguing that under
Section 108 of the Act the officers are empowered to record
the statement of the accused and then he pointed out that
under the Act, though they were authorised to have the
statement of the accused recorded under Section 108, in view
of the ratio of Vallabhdas Liladhar case they are persons in
authority. He started conceding to the question whether
confession is inadmissible in evidence and prosecution could
rely thereon, he started conceding to the question. We are
constrained to observe at this stage that though the two-
Judge Bench referred the question of law to a three-Judge
Bench, the learned counsel did not make any attempt to
investigate into the questions of law and was on the brink
of making concessions and proceeded to argue on that
premise. Since wrong concession, in particular on question
of law, does not bind this Court and there are plethora of
precedents covering the field, we pointed out to the counsel
that he rendered no assistance to the Court constraining it
to independently investigate into the matter by itself.
Accordingly, we closed the arguments. Without meaning any
disrespect to the learned counsel, we are at pains to point
out that the persons involved in contravention of the
provisions of the Act are white-collared offenders and
organised gangsters get the best of talent in the profession
to assist them. The Union of India should take care to
entrust these sensitive cases of far reaching effect, in
particular on question of law, to counsel who have
experience and ability in that branch of law to defend their
cases. Lest it is public justice that suffers and economy of
the country is put to jeopardy. Unfortunately, the counsel
did not make any effort to analyse the provisions of the Act
nor did he make investigation into question to law from the
decisions rendered by this court. At this juncture, it is
further relevant to point out that when the Union of India
has its panel of counsel, they should see to it that work is
assigned to the counsel who can competently argued the case
in that behalf lest, for lack of assistance, investigation
and marshaling the questions of fact and law, public justice
tends to suffer. We would greatly appreciate the counsel
appearing for the appellant who placed for consideration all
aspects of the case on law and facts. it is, therefore, for
the Secretaries of the Departments of Law 7 Justice and
Finance to look into the matter and set their house in
order; equally, the Attorney General of India should also
see that the affairs in the Central Agency in the Supreme
Court are organised accordingly. We have pointed out all
this only to express our deep anxiety as the burden on the
Court is multiplied to undertake unto itself the task of
investigating into all aspects to consider the case so as to
reach satisfactory conclusion.
The primary question, as referred to us for
consideration, is: whether the retracted confessional
statement, Ex. P-4, by the appellant is inadmissible in
evidence under Section 24 of the Evidence Act and what is
the scope for its consideration? Since we did not receive
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any assistance on the question of law, we have independently
investigated the case law ourselves and to the extent we
could lay our hands, we are dealing with the relevant case
law in that behalf. Section 24 of the Evidence Act deals
with admissibility of the confession. it reads as under:
"24. Confession caused by
inducement, threat or promise, when
irrelevant in criminal proceeding.
- A confession made by an accused
person is irrelevant in a criminal
proceeding, if the making of the
confession appears to the Court to
have been caused by any inducement,
threat or promise, having reference
to the charge against the accused
person, proceeding from a person in
authority and sufficient, in the
opinion of the Court, to give the
accused person grounds, which would
appear to him reasonable for
supposing that by making it he
would gain any advantage or avoid
any evil of a temporal nature in
reference to the proceedings
against him."
A bare reading of the above provision would indicate
that for application of Section 24 of the Evidence Art, the
following ingredients are required to be established: (a)
the statement in question is a confession: (b) such
confession has been made by an accused; (c) it has been made
to a person in authority; (d) it was obtained by reason of
any inducement, threat or promise proceeding from a person
in authority; (e) such inducement, threat or promise must
have reference to the charge against the accused person; and
(f) the inducement, threat or promise must be, in the
opinion of the Court is sufficient to give an accused person
grounds which would appear to him to be reasonable by
supposing that by making it he would gain any advantage or
avoid any evil of a temporal nature in reference to the
proceedings against him.
The question, therefore, is; whether the appellant was
a person accused of an offence on December 15, 1980 at 1.00
p.m. when the confessional statement was given by the
appellant, admittedly, in his own hand-writing, (Ex. P-4)
being the English translation thereof) on the even date or
when he was summoned by PW-2 and PW-5 to the Customs office
on the same day? Section 108 (1) of the Act empowers any
Gazet ted officer of Customs to summon any person whose
attendance he considers necessary either to give evidence or
to produce a document or any other thing in any enquiry
which such officer is making in connection with the
smuggling of any goods. The person so summoned has an
opportunity of locus penitential to give true and correct
statement and also an opportunity to reflect upon and tender
the evidence, be it recorder or given in his own hand-
writing. Under sub-section (3), all persons so summoned
shall be bound to attend either in person or by an
authorised agent, as such officer may direct, and to state
the truth upon any subject respecting which they are
examined or make statements and produce such documents and
other things as may be required. However, by operation of
the proviso to sub-section (3), exemption under Section 132
of the code of civil Procedure, 1908 shall be applicable to
any requisition for attendance under the said section. Sub-
section (4) envisages that every such inquiry, as aforesaid,
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will be deemed to be a judicial proceeding within the
meaning of Section 193 and Section 228 of the Indian Penal
Code (IPC).
In Romesh Chandra Mehta V/s. State of West Bengal
[(1969) 2 SCR 461) a Constitution Bench of this Court held
at page 466 that the Customs officers are entrusted with the
powers specifically relating to the collection of custom
duties and prevention of smuggling and for that purpose they
are invested with the power to search any person on
reasonable suspicion, to summon, x-ray the body of the
person for detecting secreted goods, to arrest a person
against whom a reasonable suspicion exists that he has been
guilty of an offence under the Act, to obtain a search
warrant from a Magistrate, to search any place within the
local limits of the jurisdiction of such Magistrate, to
collect information by summoning persons to give evidence
and produce documents and to adjudge confiscation. He may
exercise these powers for preventing smuggling of goods
dutiable or prohibited and for adjudging confiscation of
those goods. For collecting evidence the Customs Officer is
entitled to serve summons to produce a document or other
thing or to give evidence and the person so summoned is
bound to attend either in person or by an authorised agent,
as such officer may direct, is bound to state the truth upon
any subject respecting which he is examined or makes a
statement and to produce such documents and other things as
may be required. The power to arrest, the power to detain,
the power to search or obtain a search warrant and the power
to collect evidence are vested in the Customs Officer for
enforcing compliance with the provisions of the Sea Customs
Act. he is empowered to investigate into the infringement of
the provisions of the Act primarily for the purpose of
adjudicating forfeiture and penalty. He has no power to
investigate into an offence triable by a Magistrate, nor has
he the power to submit a report under Section 173 of the
code of criminal Procedure (for short, the ’Code’]. He can
only make a complaint in writing before a competent
Magistrate. The above law was laid down under the Sea
Customs Act, the predecessor of the Act. The ration therein
equally applies to the powers exercised by the Customs
Officer under the Act. The Act enlarges their powers. The
Customs officer is not a police officer nor is he empowered
to file charge-sheet under Section 173 of the code though he
conducts enquiry akin to an investigation under some of the
provisions of the Code. His acts are in the nature of civil
proceedings for collecting evidence to take further action
to adjudicate the infringement of the Act and for imposition
of penalty prescribed thereunder which would be self-evident
from sub-section (4) of Section 108.
The question that is; whether the appellant is a person
accused of an offence within the meaning of Section 24 of
the Evidence Act? The question is no longer res integra. It
is seen that the connotation of the words "person accused of
the offence" under Section 24 of the Evidence Act is
generally referable to initiate investigation of cognisable
offence in Chapter XII of the Code of 1894 and the code. It
is not necessary, for the purpose of this case, to undertake
elaborate consideration as to when the person becomes a
person accused of an offence under the code. Suffice it to
state that in a reasoned judgment, a two Judge bench of this
court elaborately considered this question in Directorate of
enforcement V/s. Deepak Mahajan & Anr. [(1994) 3 SCC 440]
thus obviating the need to dwell in depth on the same now.
Therein, the question was whether, when the person had
surrendered before a magistrate and was arrested under
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Section 38 of Foreign Exchange Regulation Act, the
Magistrate had jurisdiction to authorise his detention under
Section 167 (2) of the Code. In that behalf, it was held
that the person who surrendered before the magistrate was
accused of an offence and that, therefore, gave the
Magistrate the power to proceed further under the code to
remand the person to the judicial custody. As regards the
person arrested for committing an offence under the Act, in
Romesh Chandra Mehtra’s case (supra), at page 740,
Constitution Bench held that Customs Officer does not at the
stage of enquiry accused the person suspected of infringing
the provisions of the Sea Customs Act, with the commission
of any offence. His primary duty is to prevent smuggling and
to recover duties of customs when collecting evidence in
respect of smuggling against a person suspected of
infringing the provisions of the Sea Customs Act. In Illias
V/s. Collector of Customs, Madras (1969) 2 SCR 6131 another
Constitution Bench had held that Customs authorities have
been invested under the Act with many powers of a police
officer in matters relating to arrest, investigation and
search, which the customs officers did not have under the
Sea Customs Act. Even though the Customs officers have been
invested with many of the powers which an officer in charge
of a police station exercises while investigating a
cognisable offence, they do not, thereby, become police
officers within the meaning of Section 25 of the Evidence
Act and so the confessional statements made by the accused
persons to Customs officials would be admissible in evidence
against them. It was further held at page 618 that as
regards the procedure for search the important change which
has been made in the Act is that under Section 105 if the
Assistant collector of Customs has reason to believe that
any goods liable to confiscation or any documents or things
are secreted in any place, he may authorise any officer of
Customs to search or may himself search for such goods,
documents or things without warrant from the magistrate.
It would thus be clear that the appellant was not a
person accused of the offence under the Act when he gave his
statement under Section 108 of the Act on December 6, 1980
at 1.00 p.m. in the office of the Superintendent of Customs,
PW-2. The question then is: as to when the appellant became
an accused of the offence? This court in Veera Ibrahim V/s
The State of Maharashtra [(1976) 2 SCC 302] had held in para
9 that an accusation which would stamp him with the
character of such a person was labelled only when the
complaint was filed against him by the Assistant collector
of Customs complaining of the commission of the offences
under Section 135 (a) and Section 135 (b) of the Act. In
that case the appellant was initially arrested by the police
on December 12, 1967 on suspicion of having committed an
offence under Section 124 of the bombay Police Act and
panchnama of the packages in the truck was also prepared.
But the police did not register any case or enter any F.I.R.
nor did the police open the packages or prepare inventories
of the goods packed therein. They dropped further
proceedings but informed the Customs authorities, who opened
the packages and on inspection finding them contraband
goods, seized them under a panchnama. They took the
appellant and others into custody after due compliance with
the requirements of law. The Inspector of customs questioned
the appellant and recorded his statement under Section 108
of the Act. Subsequently, he was charged for the offence
under Section 135 of the Act. It was contended that he was
an accused of the offence when the Customs officers recorded
his statement and he was under testimonial compulsion
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prohibited under Article 20 (3) of the constitution. This
court held that he was not an accused person of an offence
at that time and confession was not inadmissible. But on
facts it was held in that case that the confession was not
inculpatory but one exculpating him from the offence. It
was, therefore, held that the statement could not be pressed
into service by the State. However, on other evidence, the
convicting under Section 135 was upheld. Ratio of Romesh
Chandra Mehta’s case was applied.
In Magbool Hussain V/s. The State of Bombay [(1953) SCR
730], another constitution Bench held that hierarchy of
officers under the Sea Customs Act is not the same as of
police officers. That Act was enacted to prevent smuggling.
The Customs Officers are empowered to arrest persons
reasonably suspected of having committed an offence under
the Sea Customs Act but the person arrested has to be taken
forthwith before the nearest Magistrate or Customs
collector. The magistrate is empowered to commit such
persons to jail or order him to be kept in custody of the
police for such time as may be necessary to enable the
magistrate to communicate with the proper officer of the
Customs. In State of Punjab V/s. Barkat Ram [(1962) 3 SCR
338] a three-judge Bench per majority held that the
confession made to the Customs Officer and conviction on the
basis of such confession under the Land customs Act, 1924
was held valid. The majority view was approved in Romesh
Chandra Mehta’s case and in Illias case. The following four
propositions were laid in the judgment and approved in
Illias case (supra):
"(1) The police is the instrument
for the prevention and detection of
crime which can be said to be the
main object of having the police.
The powers of customs officers are
really not for such purpose and are
meant for checking the smuggling of
goods and due realization of
customs duties and for determining
the action to be taken in the
interest of the revenue of the
country by way of confiscation of
goods on which on duty had been
paid and by imposing penalties and
fines.
(2) The customs staff has merely to
make a report in relation to
offences which are to be dealt with
by a Magistrate. The customs
officer, therefore, is not
primarily concerned with the
detection and punishment of crime
but he is merely interested in the
detection and prevention of
smuggling of goods and safeguarding
the recovery of customs duties.
(3) The powers of search etc.
conferred on the customs officers
are of a limited character and have
a limited object of safeguarding
the revenues of the State and the
statute itself refers to police
officers in contradistinction to
customs officers.
(4) If a customs officer takes
evidence under Section 171A and
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there is an admission of guilt, it
will be too much to say that that
statement is a confession to a
police officer as a police officer
never acts judicially and no
proceeding before him is deemed to
be a judicial proceeding for the
purpose of ss. 193 and 228 of the
Indian Penal Code or for any other
purpose."
In that case when the confessional statements wee
sought to be relied as evidence, objection was raised that
they were inadmissible under Section 25 of the Evidence Act.
This Court overruled the objection and held that they were
admissible in evidence. It was further held that the Customs
Officers were not police officers under the Act. Equally, in
Romesh Chandra mehta (supra) the objections as to
admissibility under Section 25 of the Evidence Act on the
basis of violation of Article 20 (3) of the constitution
were rejected.
In Thomas Dana V/s. The state of Punjab [(1959) Supp. 1
SCR 274], another constitution bench was concerned with the
question whether the conviction under the Sea Customs Act,
after the confiscation proceedings became final, was
violative of Article 20 (2) of the constitution (double
jeopardy). The Constitution bench held that it was not
violative of Article 20 (2) since the two proceedings were
independent and distinct of each other. One is for
confiscation for infringement of the provisions of the Act
and the second is in respect of charge of criminal offence.
Accordingly, we have no hesitation to hold that the
appellant was not accused of an offence when he gave in his
own hand-writing his confessional statement, Ex.P-4.
The question then is: whether the confession under
Section 24 of the Evidence Act was obtained by threat, force
or inducement etc. and thereby is inadmissible in evidence?
In Vallabhdas Liladhar case (supra) the Constitution Bench
had held that the statements made before the Customs
authorities were used in support of the prosecution case.
The admission thereunder constituted the evidence in proof
of the charge. It was held at page 858 that the Customs
authorities must be taken to be persons in authority under
Section 24. The statements would be inadmissible in criminal
trial if it is proved that they were caused by inducement,
threat or promise. However, on the facts in that case it was
held that the statements were not obtained by any threat.
inducement or promise. The conviction on the basis of the
retracted confession was upheld. The question then is:
whether by reason of the authority under the Act in
particular Section 108, the statement of the appellant is
inadmissible under Section 24 of the Evidence Act? In Percy
Rustomji Basta V/s. The State of Maharashtra [AIR 1971 SC
1087], a Bench of two-Judges considered the question whether
by reason of the recording of the evidence during the course
of the inquiry under the Act the statement would be
construed to be compulsive statements emanating from persons
in authority so as to become inadmissible under Section 24
of the Evidence Act. In para 20 of the judgment it was held
that it was not disputed that P.W. 5 who recorded the
confession, was a person in authority within the Act. But
the question was whether, when P.W. 5 drew the attention of
the appellant to the fact that the Inquiry was a judicial
proceeding to which Section 193, I.P.C. applied and that the
appellant was bound to speak the truth, it could be
considered to be a threat, inducement or promise emanating
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from a person in authority under the section. In para 24 it
was considered and held that "a person summoned under
Section 108 of the Act is told by the statute itself that
under threat of criminal prosecution he is bound to speak
what he knows and state it truthfully. But it must be noted
that a compulsion to speak the truth, even though it may
amount to a threat, emanated not from the officer who
recorded the statement, but from the provisions of the
statute itself. What is necessary to constitute a threat
under Section 24 of the Evidence Act is that it must emanate
from the person in authority. In the case before us there
was no such threat emanating from P.W.5, who recorded the
statement or P.W. 19, who was guiding the proceedings. On
the contrary, the officers recording the statement were only
doing their duty in bringing to the notice of the appellant
the provisions of the statute. Even if P.W. 5 had not drawn
the attention of the appellant to the fact that the inquiry
conducted by him is deemed to be a judicial proceeding, to
which Section 193, I.P.C. applies, the appellant was bound
to speak the truth when summoned under Section 108 of the
Act with the added risk of being prosecuted, if he gave
false evidence." it was further held that "it is not every
threat, inducement or promise even emanating from the person
in authority that is hit by Section 24 of the Evidence Act.
In order to attract the bar, it has to be such an
inducement, threat or promise, which should lead the accused
to suppose that "by making it he would gain any advantage or
avoid any evil of temporal nature in reference to the
proceedings against him". In the case before us, what is it
that the appellant has been told? he has been told that the
law requires him to tell the truth and if does not tell the
truth, he may be prosecuted under Section 193, I.P.C. for
giving false evidence". The plea of the appellant therein
was that he was compelled to make the statement under the
threat that otherwise his mother and another brother would
be prosecuted. He had further stated that he was induced to
make statement on the belief that it will be used only
against the second accused and not against him. These pleas
of the appellant therein had been disbelieved by both the
trial Court and the High Court. Therefore, it was held that
even assuming that there was an inducement or threat, the
appellant therein had no basis for supposing that by making
the statement he would gain any advantage or avoid any evil
with reference to the proceedings in respect of which an
inquiry was being conducted by the Customs Officers.
Therefore, even on this ground also Section 24 of the
Evidence Act had no application. The above ratio squarely
applies to the facts in this case. The appellant was under
legal duty to state the facts truthfully lest he would be
liable to prosecution. The threat emanates from and is that
of the statute and the officers merely enforced the law. the
allegations as to threat of implication of his wife was an
afterthought and he did not mention the same when he
appeared before the magistrate and obtained bail.
In Poolpandi etc. etc. V/s. Superintendent, Central
Excise and Ors. etc. etc. (1992) 3 SCR 247] a three-Judge
Bench was to consider whether the appellant therein was
entitled to the presence of a counsel at the time of
recording of his statement under Section 108 of the Act. In
that context, this Court considered the ratio of Romesh
Chandra Mehta’s case and Illias case (supra) and held that
"just, fair and reasonable test" could not be extended to a
person whose statement was required to be recorded under
Section 108 of the Act and the failure to give counsel’s
assistance is not violative of either Article 21 or Article
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20 (2) or Article 20 (3) of the constitution. In that
context, it was further held at page 247 that the purpose of
inquiry under the Act and other similar statutes "will be
completely frustrated if the whim of the persons in
possession of useful information for the department are
allowed to prevail. For achieving the object of such an
enquiry if the appropriate authorities be of the view that
such persons should be dissociated from the atmosphere and
the company of persons who provide encouragement to them n
adopting a non-cooperative attitude to the machineries of
law, there cannot be any legitimate objection in depriving
them of such company". The contention of Shri Thakur that
fairness of judicial process requires that such statements
given by the accused should be strictly, meticulously and
minutely scrutinised as they emanate at the threat of person
in authority and are inadmissible in evidence under Section
24, does not merit acceptance for the reason that the
primary object of enquiry under the Act is to initiate
proceedings for confiscation of the contraband and
collection of excise duty and the persons acquainted with
the facts are duty bound to speak truth or to give statement
truthfully upon the subject respecting with the person is
examined or made statement at the pain of prosecution for
perjury or produce such document or other things. In the
light of the legislative policy the question of unfairness
or untrustworthy of process does not arise and such a plea
cannot be given countenance or acceptance.
Ramanlal Bhogilaal Shah & Anr. V/s. D.K. Guha & Ors. [(1973)
1 SCC 696] was cited in support of the contention that when
the person summoned under Section 108 of the Act was in the
company of the Customs Officer he was an accused and that,
therefore, the appellant therein was entitled to the
protection. That case is distinguishable from the present
case. Therein, the appellant was arrested under the
detention law. The Enforcement authorities had got
information of the contraband. The search was followed by
seizure of the documents. A case was registered on November
8, 1971 under Section 154 of the Code and on November 25,
1971 an order permitting further investigation was obtained
from the Chief presidency magistrate. The FIR disclosed
offence under Section 420, IPC and Section 423 of the FERA
etc. When summons were issued on April 17, 1972, it was
contended that he was an accused and that he could not be
compelled to give evidence against himself violating Article
20 (3) of the constitution. On those facts, it was held that
testimonial compulsion was prohibited under Article 20 (3).
It would thus be clear that the object of the Act
empowering Customs Officers to record the evidence under
Section 108 is to collect information of the contravention
of the provisions of the Act or concealment of the
contraband or avoidance of the duty of excise so as to
enable them to collect the evidence of the proof of
contravention of the provisions of the Act so as to take
proceedings for further action of confiscation of the
contraband or imposition of the penalty under the Act etc.
By virtue of authority of law, the officer exercising the
powers under the Act is an authority within the meaning of
Section 24 of Evidence Act.
[1] Though the authority/officer on suspecting a person
of having committed the crime under the Act can record his
statement, such a person per force is not a person accused
under the Act. [2] he becomes accused of the offence under
the Act only when a complain is laid by the competent
customs officer in the court of competent jurisdiction or
magistrate to take cognizance of the offence and summons are
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issued. thereafter, he becomes a person accused of the
offence. [3] A statement recorded or given by the person
suspected of having committed an offence during the inquiry
under Section 108 of the Act or during confiscation
proceedings is not a person accused of the offence within
the meaning of Section 24 of the Evidence Act. [4] Though
the Customs Officer is an authority within the meaning of
Section 24 of the Evidence Act, by reason of statutory
compulsion of recording the statement or the accused giving
voluntary statement pursuant to his appearing either after
issuance of summons or after the appellant’s surrender, such
statement cannot be characterised to have been obtained by
threat, inducement or promise. [5] The collection of
evidence under Section 108 and other relevant provisions
relating to search and seizure are only for the purpose of
taking further steps for confiscation of contraband and
imposition of penalty.6] The self-same evidence is
admissible in evidence on the complaint laid by the Customs
Officer for prosecution under Section 135 or other relevant
statutes.
It is true, as pointed out by Shri Thakur, that PW-2
admitted in cross-examination that they treated the
appellant as an accused and decided to prosecute the
appellant. but the above evidence requires to be tested in
the light of the above legal position. The assumption of PW-
2 that the appellant was an accused as on December 6, 1980,
is erroneous, since as on that date on formal complaint had
been laid against the appellant. Therefore, it cannot be
considered that on December 6, 1980, the appellant was an
accused of the offence under Section 24 of the Evidence Act.
Next question for consideration is: whether such
statement can form the sole basis for convition? It is seen
that, admittedly, the appellant made his statement in his
own hand-writing giving wealth of details running into five
typed pages. Some of the details which found place in the
statement were specially within his knowledge, viz.,
concealment of the 200 biscuits in his earlier rented house
till he constructed the present house and shifted his
residence and thereafter he brought to his house and
concealed the same in his compound; and other details
elaboration of which is not material. The question then is:
whether it was influenced by threat of implicating his wife
in the crime which is the sole basis for the claim that it
was obtained by threat by PW-2 and PW-5? In that behalf, the
High Court has held that it could not be considered to be
induced by threat that his wife will be implicated in the
crime and accordingly disbelieved his plea. It is seen that
admittedly after the appellant gave his statement, he was
produced before the magistrate though no complaint was filed
and was released on bail. He did not complain to the
magistrate that Ex. P-4 statement was given under
inducement, threat or duress. It was raised only
subsequently making accusations against PW-5, the Inspector
of Customs. Therefore, obviously it was only an
afterthought. The High Court, therefore, rightly has not
given any weight age to the same. It is true that the
Magistrate has given various reasons for disbelieving the
evidence of PW-3, the panch witness who had also, at one
point of time, indulged in smuggling. It is unlikely that
PW-3 would bring 200 gold biscuits of foreign marking and
conceal them in the compound of the appellant without
appellant’s knowledge for safe custody. It is not his case
that he had facilitated PW-3 in concealing them in his
compound. The place of concealment of the contraband is also
significant at this juncture. It is just near and visible
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from the window of his bed-room through which he or family
members could always watch anyone frequenting the place
where the contraband was concealed. This fact becomes more
relevant when we consider that after concealment of the
contraband in the compound one would ensure that others
having access to the compound may not indulge in digging and
carrying away the same. As soon as the appellant and/or the
members of his family had sight of such visitor or movement
by others, they would immediately catch hold of such person
or would charge them. Obviously, therefore, it would be the
appellant who had concealed 200 gold biscuits of foreign
marking in his compound at a place always visible from his
bedroom window. Therefore, the High Court was right in its
conclusion, though for different reasons, that Ex.P-4 is a
voluntary statement and was not influenced by threat duress
or inducement etc. Therefore, it is a voluntary statement
given by the appellant and is a true one.
The question then is: whether the retracted
confessional statement requires corroboration from any other
independent evidence? It is seen that the evidence in this
case consists of the confessional statement, the recovery
panchnama and the testimony of PWs 2, 3 and 5. It is true
that in a trial and proprio vigore in a criminal trial,
courts are required to marshal the evidence. It is the duty
of the prosecution to prove the case beyond reasonable
doubt. The evidence may consist of direct evidence,
confession or circumstantial evidence. In a criminal trial
punishable under the provisions of the IPC it is now well
settled legal position that confession can form the sole
basis for conviction. If it is retracted, it must first be
tested whether confession is voluntary and truthful
inculpating the accused in the commission of the crime.
Confession is one of the species of admission dealt with
under Sections 24 to 30 of the Evidence Act and Section 164
of the Code. It is an admission against the maker of it,
unless its admissibility is excluded by some of those
provisions. If a confession is proved by unimpeachable
evidence and if it is of voluntary nature, it when
retracted, is entitled to high degree of value as its maker
is likely to face the consequences of confession by a
statement affecting his life, liberty or property. Burden is
on the accused to prove that the statement was obtained by
threat, duress or promise like any other person as was held
in Bhagwan Singh V/s. State of Punjab [AIR 1952 SC 214, para
30]. If it is established from the record or circumstances
that the confession is shrouded with suspicious features,
then it falls in the realm of doubt. The burden of proof on
the accused is not as high as on the prosecution. If the
accused is able to prove the facts creating reasonable doubt
that the confession was not voluntary or it was obtained by
threat, coercion or inducement etc., the burden would be on
the prosecution to prove that the confession was made by the
accused voluntarily. If the Court believes that the
confession was voluntary and believes it to be true, then
there is no legal bar on the Court for ordering conviction.
However, rule of prudence and practice does require that the
Court seeks corroboration of the retracted confession from
other evidence. The confession must be one implicating the
accused in the crime. It is not necessary that each fact or
circumstance contained in the confession is separately or
independently corroborated. It is enough if it receives
general corroboration. The burden is not as high as in the
case of an approver or an accomplice in which case
corroboration is required on material particulars of the
prosecution case. Each case would, therefore, require to be
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examined in the light of the facts and circumstances in
which the confession came to be made and whether or not it
was voluntary and true. These require to be tested in the
light of given set of facts. The high degree of proof and
probative value is insisted in capital offences.
In Kashmira Singh’s case the co-accused, Gurcharan
singh made a confession, The question arose whether the
confession could be relied upon to prove the prosecution
case against the appellant kashmira Singh. In that context,
Bose, J. speaking for bench of three Judges laid down the
law that the Court requires to marshall the evidence against
the accused excluding the confession altogether from
consideration. If the evidence do hors the confession proves
the guilt of the appellant, the confession of the co-accused
could be used to corroborate the prosecution case to lend
assurance to the Court to convict the appellant. The Court
considered the evidence led by the prosecution, de hors the
confession of co-accused and held that the evidence was not
sufficient to bring home the guilt of appellant Kashmira
Singh of the charge of murder. The appellant was acquitted
of an offence under Section 302 IPC but was convicted for
the offence under Section 201 IPC for destroying the
evidence of murder and sentenced him to seven years rigorous
imprisonment. This decision was considered by a four-judge
Bench in Balbir Singh V/s. State of Punjab [AIR 1957 SC 216]
where in it was held that if there is independent evidence,
besides the confession, the rule that the confession could
be used only to corroborate the other evidences loses its
efficacy. Therefore, it was held that if the retracted
confession is believed to be voluntary and true, it may form
the basis of a conviction but the rule of practice and
prudence requires that it should be corroborated by
independent evidence. Therein also, for the charges of
capital offence, the trial court did not accept the
confessional statement of co-accused containing inculpatory
and self-exculpatory statement. The High Court reversed the
acquittal and convicted the accused, accepting that part of
the confessional statement of the accused which was
corroborated from other evidence. This Court upheld the
conviction and held that it is not necessary that each item
of fact or circumstance mentioned in the confessional
statement requires to be corroborated separately and
independently. It would be sufficient if there is general
corroboration. The ratio in Kashmira Singh’s case was
referred to.
In Hem Raj V/s. The State of Ajmer [1954 SCR 1133] a
three-Judge Bench to which Bose, J. was a member, was to
consider whether retracted confession of an accused could be
corroborated from the material already in the possession of
the police prior to the recording of the confession. Therein
the confession was recorded under Section 164 of the Code
during the committal proceedings but at the trial it was
retracted. This Court held that the evidence already on
record of the police could be used to corroborate the
retracted confession.
In Haricharan Kurmi & Jogia Hajam V/s. State of Bihar
[AIR 1964 SC 1184] a Constitution Bench was to consider as
to when the confession of co-accused could be used as
evidence under Section 3 of the Evidence Act. It was held
that the confession of a co-accused cannot be treated as
substantive evidence. If the Court believed other evidence
and felt the necessity of seeking an assurance in support of
its conclusion deducible from the said evidence, the
confession of the co-accused could be used. It was,
therefore, held that the Court would consider other evidence
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adduced by the prosecution. If the Court on confirmation
thereof forms an opinion with regard to the quality and
effect of the said evidence, then it is permissible to turn
to the confession in order to receive assurance to the
conclusion of the guilt of the accused. it is, thus, seen
that the distinction has been made by this Court between the
confession of an accused and uses of a confession of the co-
accused at the trial. As regards the confession of the
accused and corroboration to the retracted confession, in
Girdhari Lal Gupta & Another vs. D.N. Mehta, Assistant
Collector of Customs & another [1970 2 SCC 530] a Bench of
two Judges considered and held that if the evidence of an
investigating officer is found to be reliable, whether it
can be used to corroborate the evidence depends on the facts
of each case. I that case, relating to the offence under
Foreign Exchange Regulation Act, it was held that the
evidence of the investigating officer and other evidence
could be used to corroborate the recoveries made of the
Indian currency being exported. This Court upheld the
conviction of the accused.
In Nishi Kant Jha vs. The State of Bihar [1969 (1) SCC
347], another Constitution Bench was to consider whether,
when a part of the confessional statement is inculpatory and
the other part exculpatory, the former point was admissible
in evidence. It was held that the exculpatory part was
inherently improbable and was contradicted by other evidence
and was, therefore, unacceptable. The incriminating
circumstances contained in the inculpatory part of the
statement were accepted to confirm the conviction of the
capital offence. The law laid down by a three-Judge Bench in
Chandrakant Chimanlal Desai’s case is not inconsistent with
the above exposition of law.
It would thus be seen that there is no prohibition
under the Evidence Act to rely upon the retracted confession
to prove the prosecution case or to make the same basis for
conviction of the accused. The practice and prudence require
that the Court could examine the evidence adduced by the
prosecution to find out whether there are any other facts
and circumstances to corroborate the retracted confession.
It is not necessary that there should be corroboration from
independent evidence adduced by the prosecution to
corroborate each detail contained in the confessional
statement. The Court is required to examine whether the
confessional statement is voluntary; in other words, whether
it was not obtained by threat, duress or promise. If the
Court is satisfied from the evidence that it was voluntary,
then it is required to examine whether the statement is
true. If the Court on examination of the evidence finds that
the retracted confession is true, that part of the
inculpatory portion could be relied upon to base conviction.
However, the prudence and practice require that Court would
seek assurance getting corroboration from other evidence
adduced by the prosecution.
In Naresh J. Sukhawani V/s. Union of India [(1995)
Supp. 4 SCC 663] a two-Judge Bench [to which one of us, K.
Ramaswamy, J., was a member] had held in para 4 that the
statement recorded under Section 108 of the Act forms a
substantive evidence inculpating the petitioner therein with
the contravention of the provisions of the Customs Act as he
had attempted to export foreign exchange out of India. The
statement made by another person inculpating the petitioner
therein could be used against him as substantive evidence.
Of course, the proceedings therein were for confiscation of
the contraband. In Surjeet Singh Chhabra vs. Union of India
[1997 (89) ELT 464], decided by a two Judge bench to which
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one of us, K. Ramaswamy J., was a member the petitioner made
a confession under Section 108. The proceedings on the basis
thereof were taken for confiscation of the goods. He filed a
writ petition to summon the panch (mediater) witnesses for
cross-examination contending that reliance on the statements
of those witnesses without opportunity to cross-examine
them, was violative of the principle of natural justice. The
High Court had dismissed the writ petition. In that context,
it was held that his retracted confession within six days
from the date of the confession was not before a Police
Officer. The Custom Officers are not police officers.
Therefore, it was held that "the confession, though
retracted, is an admission and binds the petitioner. So
there is no need to call Panch witnesses for examination and
cross-examination by the petitioner". As noted, the object
of the Act is to prevent large-scale smuggling of precious
metals and other dutiable goods and to facilitate detection
and confiscation of smuggled goods into, or out of the
country. The contraventions and offences under the Act are
committed in an organised manner under absolute secrecy.
They are white-collar crimes upsetting the economy of the
country. Detection and confiscation of the smuggled goods
are aimed to check the escapement and avoidance of customs
duty and to prevent perpetration thereof. In an appropriate
case when the authority thought it expedient to have the
contraveners prosecuted under Section 135 etc., separate
procedure of filing a complaint has been provided under the
Act. By necessary implication, resort to the investigation
under Chapter XII of the Code stands excluded unless during
the course of the same transaction, the offences punishable
under the IPC, like Section 120-B etc., are involved.
Generally, the evidence in support of the violation of the
provisions of the Act consists in the statement given or
recorded under Section 108, the recovery panchnama
(mediator’s report) and the oral evidence of the witnesses
in proof of the offences committed under the Act has
consistently been adopting the consideration in the light of
the object which the Act seeks to achieve.
In Harroom Hai Abdulla V/s. State of Maharashtra [AIR
1968 SC 832], for the offence of conspiracy punishable under
Section 120-6 of IPC and Section 171-A of the Sea Customs
Act, the question arose whether the confession of co-accused
who died pending trial just before delivery of the judgment,
could be used against a co-accused who died pending trial
just before delivery of the judgment, could be used against
a co-accused? This Court considered the evidence of an
accomplice together with the statements of two accused
recorded under the Act, viz., one Bengali and another Noor
Mohammad. How and what evidence could be relied upon against
the other accused was the question. One of the accused who
gave the evidence was an accomplice. In that case, it was
held in para 9 of the judgment that the "argument here is
that the cautionary rule applies, whether there be one
accomplice or more and that the confessing co-accused cannot
be placed higher than an accomplice". On consideration of
the evidence, this Court had held in para 13 that the
"Customs authorities served notices upon various suspects
and recorded their statements in answer to these notices.
The statements of Kashinath (Ex. A) and Bengali (Ex. Z-27)
were recorded on the 15th, the former by Karnik (P.W.24) and
the latter by Rane (P.W.26). These statements were recorded
simultaneously or almost simultaneously. The statement of
Noor Mohammad (Ex. Z-17) was recorded by Randive (P.W.22) on
August 19. As there was no gap of time between the
statements of Kashinath and Bengali and the incident was
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only a few hours old, it is impossible that the officers
could have tutored them to make statements which agree in so
many details". On consideration of the evidence it was held
that "although Noor Mohammad’s statement was not used by the
High Court and we have reluctantly left it out of
consideration also, "nothing was shown to us to "destroy the
conclusion about the truth of accomplice evidence. If it
was, we would have considered seriously whether we should
not take it into consideration. Further Haroon himself was
also served with a notice like others. He was unwilling to
make a statement till he had seen what the others had said.
This may well be regarded as peculiar conduct in a man who
now claims that he was not concerned with the smuggling".
The normal rule that accomplice’s evidence requires
corroboration on material particulars from independent
evidence was not applied. Thus this Court had accepted the
accomplice evidence and the statements of others were used
to confirm the conviction. Normally mens rea is an essential
ingredient of the crime but this Court in the case of
offences punishable under Section 14 of the Food
Adulteration Act or Section 7 of the Essential Commodities
Act, had held that mens rea is not an essential ingredient
in proof of statutory offences.
In State of Gujarat & Anr. V/s. Acharya D. Pandev &
Ors. etc. [(1970) 3 SCC 183] while holding that even in
statutory offences in certain circumstances, unless the
statute excludes expressly or by necessary implication, mens
rea is an essential ingredient. It was held that the
offences under the Bombay Public Trust Act, 1950 were not of
serious nature. It was held that mens rea was not essential
ingredient for proving the commission of offences. In
Director of Enforcement V/s. M.C.T.M. Corporation Pvt. Ltd.
& Ors. [(1996) 2 SCC 471] a two-Judge Bench was to
considered whether mens rea is an essential ingredient in
the proceedings taken under Section 23 (1) (a) of the
Foreign Exchange Regulation Act. It was held that mens rea
is not an essential ingredient to establish contravention
under Sections 10 (10 and 23 (1) (a) of that Act. It is not
necessary in this case to broach further whether mens rea is
an essential ingredient for proving the commission of the
offence under Sections 135 of the Act or Section 85 and 86
of the Gold (Control) Act since none has raised such
contention. What is required to be considered is whether
voluntary statement, Ex. P-4 given by the appellant
constitutes sole basis to prove the commission of the
offence under Section 135 (1) (i) of the Act.
Deoman Upadhvaya’s case (supra) relates to a statement
recorded under Section 27 of the Evidence Act. The
respondent therein was held to be a person accused of
offence of commission of crime. The respondent subsequently
turned out to be the accused. Therefore, the Constitution
Bench held that person who gave the statement to the police
officer investigating into the offence and also gave
information leading to the discovery of the contraband, on
those facts. must be deemed to have surrendered himself to
the police and that he being in the custody, gave the
statement leading to discovery of incriminating contraband
within the meaning of Section 27 of the Act. Accordingly, it
was held that the evidence was inadmissible. The ratio
therein has no application to the facts in this case.
In Sevantilal Karsondas Modi V/s. State of Maharashtra
& Anr [(1979) 2 SCR 1160], a two-Judge bench concluded on
the facts in that case that the statement recorded of the
appellant-accused therein was hit by Section 24 of the
Evidence Act for the reason that one of the accused tried
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along with the appellant was found to have sustained
grievous injuries while he was in custody of the police.
Moreover, the house from which the contraband was recovered
was in joint possession of others along with the appellant.
This Court, therefore, drew the inference that the statement
was not voluntary. This case also has no application to the
facts in the present case. Satbir Singh’s case also is not
of any help to the appellant. Therein, the confession was
recorded by a superior police officer questioning the
accused separately on several dates and ultimately it was
recovered at the end. Under those circumstances, it was held
that the confession was not voluntary. That case relates to
the prosecution for offences under Section 364 and 302 read
with Section 120-B, IPC. The ratio therein is equally
inapplicable to the facts in the present case.
It is seen that the contraband of 200 gold biscuits of
foreign marking concealed in a wooden box and kept in the
pit in the compound of the appellant was recovered at 9.00
a.m. on December 6, 1980 in the presence of Panch (mediator)
Witnesses including P.W.3. This is proved from the evidence
of PWs 2, 3 and 5. There was nothing for PW-3 to speak
falsehood against the appellant who is a friend of him. PW-2
and 5 also withstood the grueling cross-examination. There
is nothing to disbelieve their evidence. The appellant
herein made statement under Section 108 at 1 P.M. on
December 6, 1980, i.e., after four hours. It is unlikely
that during that short period PW-2 and 5 would have obtained
the retracted confession under Ex. P-4 in his own
handwriting running into 5 typed pages under threat or
duress or promise. No doubt the wealth of details by itself
is not an assurance of its voluntary character. The totality
of the facts and circumstances would be taken into account.
On a consideration of the evidence, the High Court accepted
that Ex. P-4 is a voluntary and true confessional statement
and accordingly it convicted the appellant of the offences.
It is seen that Ex. P-4 was given in furtherance of the
statutory compulsion and the appellant made statement in
unequivocal terms admitting the guilt. It is seen that in
barkat Ram’s case, this Court accepted the retracted
confessional statement and upheld, on that basis, the
conviction. In vallabhdas Liladhar’s case and also in Rustom
Das’s case the retracted confessional statement found basis
for conviction and in the latter the recoveries were relied
as corroborative evidence. In Haroom Abdulla’s case, this
Court used the evidence of co-accused as corroborative
evidence.
It is true that in criminal law, as also in civil
suits, the trial Court and the appellate Court should
marshal the facts and reach conclusion, on facts. In a
criminal case, the prosecution has to prove the guilt beyond
doubt. The concept of benefit of doubt is not a charter for
acquittal. Doubt of a doubting Thomas or of a weak mind is
not the road to reach the result. If a Judge on objective
evaluation of evidence and after applying relevant tests
reaches a finding that the prosecution has not proved its
case beyond reasonable doubt, then the accused is entitled
to the benefit of doubt for acquittal. The question then is:
whether the learned Single Judge of the High Court has
committed any error of law in reversing the acquittal by the
Magistrate. Not every fanciful reason that erupted from
flight of imagination but relevant and germane requires
tested. Reasons are the should of law. Best way to discover
truth is through the interplay of view points. Discussion
captures the essence of controversy by its appraisal of
alternatives, presentation of pros and cons and review on
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the touchstone of human conduct and all attending relevant
circumstances. Truth and falsity are sworn enemies. Man may
be prone to speak falsehood but circumstantial evidence will
not. Falsity is counted from man’s proclivity to faltering
but when it is tested on the anvil of circumstantial
evidence truth trans. On scanning the evidence and going
through the reasoning of the learned Single Judge we find
that the learned Judge was right in accepting the
confessional statement of the appellant, Ex. P-4 to be a
voluntary one and that it could form the basis for
conviction. The Magistrate had dwelt upon the controversy no
doubt on appreciation of the evidence but not in proper or
right perspective. Therefore, it is not necessary for the
learned Judge of the High Court to wade through every
reasoning and give his reasons for his disagreement with the
conclusion reached by the Magistrate. On relevant aspects,
the learned Judge has dwelt upon in detail and recorded the
disagreement with the Magistrate and reached his
conclusions. Therefore, there is no illegality in the
approach adopted by the learned Judge. WE hold that the
learned Judge was right in his findings that the prosecution
has proved the case based upon the confession of the
appellant given in Ex.P-4 under Section 108 of the Evidence
Act and the evidence of PWs 2, 3 and 5. The prosecution
proved the case beyond doubt and the High Court has
committed on error of law.
Section 135 provides that "without prejudice to any
action that may be taken under the Act", (emphasis supplied)
if any person is, in relation to any goods in any way,
knowingly concerned in any prohibition imposed under the Act
for the time being in force with respect to such goods or
acquires possession of any goods which he knows or has
reason to believe are liable to confiscation under Section
111, then he shall be liable to conviction under Sub-section
(1) thereof and shall be liable to punishment under
subsection (2) thereof. Similarly, under the Gold (Control)
Act, which was in operation at the relevant time, whoever in
contravention of the provisions of that Act or order made
thereunder, among other things, owns or has in his
possession, custody or control any primary gold, is liable,
without prejudice to any other action that may be taken
under that Act, for punishment of imprisonment prescribed
for the purpose. Under Section 86, whoever fails to make a
declaration enjoined under sub-section (12) of Section 16
without any reasonable cause, is liable to punishment of
imprisonment prescribed for the purpose. The offences are
proved from the evidence.
Having reached the finding that the appellant has
committed the offences under Section 135 (1) (i) of the Act
and Section 85 (1) (a) and 86 of the Gold (Control) Act,
1968 we think that instead of being committed to jail, the
appellant should be sentenced to pay fine of Rs. 10,000/-
and Rs. 5,000/- respectively for the two aforementioned
offences, within 4 months from today. In default, he shall
undergo imprisonment for a period of 2 months and 1 months
respectively which are directed to run consecutively.
The appeal is accordingly allowed to the above extent
of modification and the sentences imposed by the High Court
stand modified accordingly.