Gujarat HC Orders Car Seized In Liquor Case Released To Owner, Applying SC Ruling That Prohibition Act Does Not Automatically Bar Interim Custody

The petitioner, claiming to be the registered owner of a Tata Indica Vista car, sought its release from police custody.

Police had seized the vehicle after allegedly finding its driver transporting liquor without a pass or permit, leading to an FIR under the Gujarat Prohibition Act, 1949.

The petitioner invoked Article 226 of the Constitution and Section 497 of the Bharatiya Nagarik Suraksha Sanhita, 2023, seeking interim custody of the vehicle.

Article 226 of the Constitution empowers the High Court to order release of seized property where appropriate.

Section 497 of the BNSS provides for orders concerning the custody and disposal of property pending trial.

In Sunderbhai Ambalal Desai v. State of Gujarat, AIR 2003 SC 638, the Supreme Court held that seized vehicles should not be left unattended at police stations and may be handed over on appropriate bonds, guarantees, or security, pending the proceedings.

The High Court also relied on Musa Khan Jat v. State of Gujarat, SCRA No. 7190 of 2017, where a vehicle was released under Articles 226 and 227.

Further, M/s ABC Express v. State of Gujarat, 2026 LiveLaw (SC) 885, held that Section 98(2) of the Gujarat Prohibition Act does not impose an absolute bar on interim release of a seized vehicle and that the court may order its proper custody under Section 451 of the Code of Criminal Procedure, 1973 (corresponding to Section 497 of the BNSS).

The Court accepted that the vehicle was seized in connection with an alleged Prohibition Act offence, but considered the Supreme Court’s guidance against allowing seized vehicles to deteriorate in police custody.

It further relied on M/s ABC Express for the proposition that Section 98(2) does not absolutely prevent interim release.

The Court therefore concluded that the vehicle could be released to the petitioner, subject to a solvent surety, an undertaking not to transfer it, an obligation to produce it when directed, and a condition concerning any subsequent offence.

Before release, the police must photograph the vehicle from all sides and prepare a panchnama at the petitioner’s expense; both must form part of the charge-sheet papers.

A copy of the order must also be sent to the RTO to record the restraint on transfer until final disposal of the trial, subject to any later order of the Trial Court permitting transfer.

Rule was made absolute.