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 T H E  E S S E N T I A L  C O M M O D I T I E S  A C T S  1 9 5 5

STATE AMENDMENTS 

Bihar: For the existing Section 6-A the following section shall be substituted namely:

“6-A.Confiscation of foodgrains, edible oilseeds, edible oils, etc. – (1) where any essential commodity is seized in pursuance of an order made under Section 5 in relation thereto it shall be reported without any unreasonable delay to the Collector of the district in which such essential commodity is seized and the Collector may if he thinks it expedient so to do inspect or cause to be inspected such essential commodity whether or not the prosecution is instituted for the contravention of such order and the Collector if satisfied that there has been a contravention of the order may order confiscation of –

(a) the essential commodities so seized;

(b) any package, covering or receptacle in which such essential commodity is found; and 

(c) any animal, vehicle, vessel or other conveyance used in carrying such essential commodity:

Provided that without prejudice to any action which may be taken under any other provision of this Act no foodgrains or edible oilseeds seized in pursuance of an order made under Section 3 in relation thereto from producer shall if the seized foodgrains or edible oilseeds have been produced by him be confiscated under this section.

(2)Where the Collector on receiving a report of seizure or in inspection of any essential commodity under sub-section (1) is of the opinion that such essential commodity is subject to speedy and natural decay or that it is otherwise expedient in the public interest so to do he may order the same to be sold at the controlled price if any law for the time being in force.

(3)In the case of foodgrains where there is no controlled price the Collector if he thinks fit may order the foodgrains seized under sub-section (1) to be sold through fair price shops at the price fixed by Central Government or the State Government as the case may be for the sale of such foodgrains to the public through these shops or may order such foodgrains to be sold by public auction.

(4)The Collector shall whenever it is practicable so to do having regard to the essential commodity take and reserve sample of the same in the prescribed manner before its sale or distribution.

(5)Where any essential commodity is sold as aforesaid the sale-proceeds thereof after deduction of all expenses of the sale or auction as the case may be shall –

(a) where no order of confiscation is ultimately passed by the Collector; or 
(b) where an order passed on appeal under sub-section (1) of Section 6-C so requires; or
(c) in the case of prosecution of the order in respect of which an order of confiscation has been made under this section and where the person concerned is acquitted;
be paid to the owner thereof or the person from whom it is seized :

Provided that in the case of foodgrains sold through fair price shops in accordance with sub-section (2) and (3) the owner shall be paid for the foodgrains so sold the price fixed by the State Government for retail sale of such foodgrains through such shops less all expenses of sale or auction under sub-sections (2) and (3).

(6)Notwithstanding anything to the contrary contained in the Code of Criminal Procedure 1973 (Act 2 of 1974) when the Collector or the appellate authority is seized with the matter under this section no court shall entertain any application in respect of essential commodities any package, covering, receptacle any animal, vehicle or other conveyance used in carrying such commodities as far as its release, distribution etc is concerned and the jurisdiction of Collector or the appellate authority with regard to the disposal of the same shall be exclusive.

(7)The State Government may by notification in the official Gazette authorise any officer not below the rank of Sub-Divisional Magistrate to discharge all or any of the functions of a Collector under this section.

(8)The Collector shall for the purpose of this Act have the same powers as are vested in a court under the Code of Civil Procedure 1908 when making enquiries under this section in respect of the following matters namely – 

(a) receiving evidence on affidavits; 
(b) summoning and enforcing the attendance of any person and examining him on oath; and 
(c) compelling the production of documents.

(9) All enquiries and proceedings under this section before the Collector and the appellate authority shall be deemed to be judicial proceeding and while discharging functions under this section the Collector and the appellate authority shall be deemed to be a court.”

Maharashtra:  For Section 6-a of 1955 of Act substitute: - 

“6-A.Confiscation of seized commodities – (1) Where any essential commodity is seized in pursuance of an order made under Section 3 in relation thereto a report to that effect shall without any unreasonable delay be sent to the Collector within whose jurisdiction the seizure is made and the Collector may if he thinks it expedient so to do inspect or cause to be inspected such essential commodity and whether or not a prosecution is instituted for the contravention of such order the Collector if satisfied that there has been contravention of the order may order confiscation of –          Provided that without prejudice to any action that may be taken under any other provision of this Act no foodgrains or edible oilseeds seized in pursuance of an order made under Section 3 in relation thereto from a producer shall if the seized food-grains or edible oilseeds have been           produced by him be confiscated under this section:

Provided further that where any animal, vehicle, vessel or other conveyance is used for the carriage of goods or passengers for hire the owner of such animal, vehicle, vessel or other conveyance shall be given an option to pay in lieu of its confiscation a fine not exceeding the market price at the date of seizure of the essential commodity sought to be carried.

(2) Where the Collector on receiving a report of seizure or on inspection of any essential commodity under sub-section (1) is of the opinion that such essential commodity is subject to speedy and natural decay or that it is otherwise expedient in the public interest so to do he may order the same to be sold at the controlled price if any fixed under any law for the time being in force or where no such price is fixed by auction:

Provided that in the case of foodgrains where there is no controlled price the Controller may order the foodgrains seized to be sold through fair price shops at the price fixed by the Central Government or the State Government as the case may be for the sale of such foodgrains to the public through these shops:

Provided further that whenever it is practicable so to do having regards to the nature of the essential commodity he shall take and preserve sample of the same before its sale or auction.

(3)Where any essential commodity is sold as aforesaid the sale proceeds thereof after deduction of the expenses of the sale or auction as the case may be shall –

(a) where no order of confiscation is ultimately passed by the Collector; or 

(b) where an order passed on appeal under sub-clause (1) of Section 6-C so requires; or 

(c) in the case of a prosecution being instituted for the contravention of the order in respect of which an order of confiscation has been made under this section where the person concerned is acquitted be paid to the owner thereof or the person from whom it is seized;

Provided that in the case of foodgrains sold through fair price shops in accordance with the first proviso to sub-section (2) the owner shall be paid for the foodgrains so sold the price fixed by the State Government for retail sale of such food-grains through such shops less all expenses of sale or auction under sub-section (2).”

Uttar Pradesh:   For Section 6-A of 1955 Act substitute:

“6-A.   (1) Where any essential commodity is seized in pursuance of an order made under Section 3 in relation thereto a report to the effect shall without any unreasonable delay be sent to the Collector of the District in which the seizure is made and the Collector may if he thinks it expedient so to do inspect or cause to be inspected such essential commodity and whether or not a prosecution is instituted for the contravention of such order the Collector if satisfied that has been contravention of the order may order confiscation of –

(a) the essential commodity so seized;
(b) any package, covering or receptacle in which such essential commodity is found; and 
(c) any animal, vehicle, vessel or other conveyance used in carrying such essential commodity:

Provided that without prejudice to any action that may be taken under any other provision of this Act no foodgrains or edible oilseeds seized in pursuance of an order made under Section 3 in relation thereto from a producer shall if the seized foodgrains or edible oilseeds have been produced by him be confiscated under this section:

Provided further that where any animal, vehicle, vessel or other conveyance is used for the carriage of goods or passengers for hire the owner of such animal, vehicle, vessel or other conveyance shall be given an option to pay in lieu of its seizure of the essential commodity sought to be carried.

(2)Where the Collector on receiving a report of seizure or on inspection of any essential commodity under sub-section (1) is of the opinion that such essential commodity is subject to speedy and natural decay or that it is otherwise expedient in the public interest so to do he may order the same to be sold at the controlled price if any fixed under any law for the time being in force or where no such price is fixed by auction:

Provided that in the case of foodgrains where there is no controlled price the Collector may order the foodgrains seized to be sold through fair price shops at the price fixed by the Central Government as the case may be for the sale of such foodgrains to the public through these shops:

Provided also that whenever it is practicable so to do having regards to the nature of the essential commodity he shall take and preserve sample of the same before its sale or auction.

(3)Where any essential commodity is sold as aforesaid the sale-proceeds thereof after deduction of the expenses of the sale or auction as the case may be shall – 

(a) where no order of confiscation is ultimately passed by the Collector; or 

(b) where an order passed on appeal under sub-clause (1) of Section 6-C so requires; or 

(c) in the case of a prosecution being instituted for the contravention of the order in respect of which an order of confiscation has been made under this section where the person concerned is acquitted;

be paid to the owner thereof or the person from whom it is seized :

Provided that in the case of foodgrains sold through fair price shops in accordance with the first proviso to sub-section (2) the owner shall be paid for the foodgrains so sold the price fixed by the State Government for retail sale of such foodgrains through such shops less all expenses of sale or auction under sub-section (2).”

6-B. Issue of show-cause notice before confiscation of essential commodity. – (1) No order confiscating any essential commodity, package, covering, receptacle, animal, vehicle, vessel or other conveyances shall be made under Section 6-A unless the owner of such essential commodity, package, covering, receptacle, animal, vehicle, vessel or other conveyance or the person from whom it is seized – 

(a) is given a notice in writing informing him of the grounds on which it is proposed to confiscate the essential commodity, package, covering, receptacle, animal, vehicle, vessel or other conveyance;

(b) is given an opportunity of making a representation is writing within such reasonable time as may be specified in the notice against the grounds of confiscation; and 

(c) is given a reasonable opportunity of being heard in the matter.

(2)  Without prejudice to the provisions of sub-section (1) no order confiscating any animal, vehicle, vessel or other conveyance proves to the satisfaction of the Collector that it was used in carrying the essential commodity without the person in charge of the animal, vehicle, vessel or other conveyance and that each of them had taken all reasonable and necessary precautions against such use.

(3)  No order of confiscating any essential commodity, package, covering, receptacle, animal, vehicle, vessel or other conveyance shall be invalid merely by reason of any defect or irregularity in the notice given under clause (a) of sub-section (1) if in giving such notice the provisions of that clause have been substantially complied with.

STATE AMENDMENT 

Uttar Pradesh:In Section 6-B of the 1955 Act after the words “essential commodity” wherever they occur the words “ or any vessel, vehicle or other conveyance or animal shall be inserted, After Section 6-B of the 1955 Act the following section shall be inserted: -

“6-BB.     Review. – (1) Where the Collector is satisfied that an order of confiscation or an order refusing confiscation made under Section 6-A suffers from a mistake of law) he may within one month of such order issue notice to the owner of the essential commodity, package, covering, receptacle, animal, vehicle, vessel or other conveyance or as the case may be the person from whom it was seized to show cause why that order should not be reviewed and after giving him a reasonable opportunity of being heard pass such order on review as he thinks fit.

(2)     The provision of Sections 6-C and 6-D shall apply in relation to an order passed on such review as they apply in relation to an order passed originally under Section 6-A.”

6-C. Appeal. – (1) Any person aggrieved by an order of confiscation under Section 6-A may within one month from the date of the communication to him of such order appeal to the State Government concerned and the State Government shall after giving an opportunity to the appellant to be heard pass such order as it may think fit confirming modifying or annulling the order appealed against.

(2) Where an order under Section 6-A is modified or annulled by the State Government or where in a prosecution instituted for the contravention of the order in respect of which an order of confiscation has been under Section 6-A the person concerned is acquitted and in either case it is not possible for any reason to return the essential commodities seized such person shall except as provided by sub-section (3) of Section 6-A be paid the price with reasonable interest calculated from the day of the seizure of the essential commodity and such price shall be determined –

(i)in the case of foodgrains edible oilseeds or edible oils in accordance with the provisions of sub-section  (3-B) of Section 3;

(ii) in the case of sugar in accordance with the provisions of sub-section (3-C) of Section 3; and     
(iii)in the case of any other essential commodity in accordance with the provisions of sub-section (3) of Section 3.

                 

 

 

 

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