Solvent Firm May Submit Undertaking For Hexane Licence Renewal; Gujarat HC Says Confiscation Appeal Lies Before Judicial Authority

The petitioners challenged an order dated 09/12 September 2016 made by the Collector, Bharuch, following a show-cause notice concerning alleged breaches of the Solvent, Raffinate and Slop (Acquisition, Sale, Storage, and Prevention of Use in Automobiles) Order, 2000

In an earlier petition, the High Court directed them to pursue an appeal

The petitioners asserted that they had filed an appeal with the Secretary, Food and Civil Supplies Department, on 25 November 2016; the State disputed receiving it and contended that the appropriate remedy was an appeal to a Judicial Authority under Section 6C of the Essential Commodities Act, 1955

The petitioners sought, among other relief, a direction to decide the asserted pending appeal and continued renewal of their Hexane licence

Section 6C(1) of the Essential Commodities Act, 1955 provides that a person aggrieved by a confiscation order under Section 6A may appeal, within one month of communication of that order, to a Judicial Authority appointed by the State Government; that authority must give the appellant an opportunity to be heard and may confirm, modify or annul the order

The judgment cites no judicial precedents.

The Court considered the parties’ conflicting positions on whether the Secretary had received the asserted appeal but held that the question of receipt was not material to identifying the proper statutory forum

Since Section 6C provides for an appeal to a Judicial Authority, and petitioners’ counsel accepted that remedy, the Court left any appeal to be decided independently on its merits, without influence from the Court’s observations

It also left any delay-condonation application to the competent authority, which could consider the time spent litigating the petition

As to the licence, the Court permitted the petitioners to submit an undertaking and left its consideration to the Collector

The petitioners were permitted to pursue an appeal before the appropriate Judicial Authority, which must decide it independently after hearing them; the competent authority may consider any application for condonation of delay

The petitioners were also permitted to submit an undertaking to the Collector, who must consider it and take an appropriate decision in accordance with law