07 May 1976
Supreme Court
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STATE OF ANDHRA PRADESH Vs BATHU PRAKASA RAO

Bench: BEG,M. HAMEEDULLAH
Case number: Appeal Criminal 100 of 1976


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PETITIONER: STATE OF ANDHRA PRADESH

       Vs.

RESPONDENT: BATHU PRAKASA RAO

DATE OF JUDGMENT07/05/1976

BENCH: BEG, M. HAMEEDULLAH BENCH: BEG, M. HAMEEDULLAH RAY, A.N. (CJ) SINGH, JASWANT

CITATION:  1976 AIR 1845            1976 SCR  608  1976 SCC  (3) 301

ACT:      Practice and  procedure-Findings of fact by High Court- Supreme Court’s interference, when called for.      Essential Commodities  Act, 1955  s.  6-A  Validity  of confiscation proceedings by District Revenue Officer.

HEADNOTE:      The  respondent-rice-millers   obtained  permits  under clause (3)  of the  Southern States (Regulation of Export of Rice) Order,  1964, for  exporting "broken rice" from Andhra Pradesh  to   Kerala  but  were  intercepted  for  allegedly transporting "whole  rice" for  "broken rice".  The rice was seized, and samples analysed in the presence of the District Revenue Officer  who ordered  confiscation of  the estimated quantity of  the "whole rice". On appeal, the District Judge remanded the  matter for  giving fuller  opportunity to  the respondents for  objecting to  the sample analysis which was to be  carried out  afresh in  their presence.  The  State’s revision application  against the  remand order dismissed by the High  Court, The  Revenue Officer then ordered a release of 12%,  and the  confiscation  of  the  remaining  quantity seized, as  no sample  from the  bags  contained  a  minimum percentage of  60% of  "broken" grains  satisfying the  test laid  down  in  the  Hand-book  on  Grading  Foodgrains  and Oilseed. The District & Sessions Judge partially allowed the respondents’ appals. Both sides filed revision applications. The High  Court decided in favour of the respondent, holding that "broken rice" included "whole rice".      Allowing the appeals, the Court, ^      HELD: (1)  Ordinarily, this  Court does  not  interfere with findings  of fact.  But, where  the errors  of logic as well as  law appear  to be  gross and  to have  occasioned a miscarriage  of   justice,  the   court  is  constrained  to interfere. [609-D]      (2) The  Revenue Officer’s  order releasing  the seized rice to  the extent  of about  12% having  become final,  it should not  be interfered with except to the extent that the learned Sessions  Judge added  2% more  for  foreign  matter thereby releasing slightly more in favour of the respondent. [610-D]

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JUDGMENT:      CRIMINAL APPELLATE  JURISDICTION: Criminal  Appeal Nos. 100-146 of 1976.      Appeals by  Special Leave  from the  Judgment and Order dated 29-8-75  of the Andhra Pradesh High Court in Crl. Rev. Cases Nos. 256-302/75 and 437-483/75 respectively.      Niren De,  Attorney General  for India  (In Crl. A.100, 101 and  112 of  1976) P. Ram Reddy (Crl. A.102-111 and 113- 145/76); P. P. Rao and R. K. Deshpande for the appellants in all the appeals.      Sachin Chaudhary  (In Crl.  A.100/76); S.  V. Gupte (In Crl. A.101/76)  T. Ramam, B. Parthasarthi for Respondents in Crls. A. Nos. 101-105, 107-118 120-139 and 141-146/76.      The Judgment of the Court was delivered by 609      BEG, J.  These appeals,  by  Special  Leave,  raise  an apparently simple  question which  appears to be essentially one of  fact. But,  as the  real question to be answered was not correctly  posed before  itself by  the  High  Court  of Andhra Pradesh,  it misdirected  itself as to what was to be really decided  by it  and also  how it  should  be  decided according to  rules  of  ordinary  logic  as  well  as  law. Ordinarily, this  Court does  not interfere with findings of fact. But,  where the  errors  of  logic  as  well  as  law, discussed below,  appear to  us to  be  gross  and  to  have occasioned a  miscarriage of  justice, we are constrained to interfere.      The crucial  question to  be  decided  may  be  put  as follows: What  did  the  respondents  understand  when  they obtained permits  for the  despatch of  "broken  rice  (raw, boiled)" shown in their export permits?      If the respondents understood what their permits meant, they could  not, under the guise of these permits, transport any other  kind of  rice. It  was their duty to abide by the terms of their permits, and to show, when proceeded against, that they did so.      Each permit  shows: quantity  permitted to be sent; the duration of  the validity  of the  permit; the  name of  the consignor; the name of the station from which rice was to be despatched; the means of despatch (shown as "by rail only"); the name and address of the consignee (shown as "self"); the State to  which the  consignment was  to be booked (shown as Kerala State),  purpose of  the consignment  (shown as trade account). The  permit was  described as  an "export permit". The details  mentioned above  were given  in a schedule, the permit was addressed "to the Miller", and its operative part said:           "In exercise  of the powers conferred under clause      3 of  the Southern  States  (Regulation  of  Export  of      Rice). Order, 1964 read with G.O.Ms. No. 2495 F & A Dt.      17-10-1964 the  Collector hereby  permits the transport      of rice  products mentioned  in the Schedule subject to      the conditions specified below". The specified  conditions, in addition to those mentioned in the details given above were:           "1.  This permit is not transferable.            2.  It is  liable for cancellation at any time by                the issuing  authority for  the reasons to be                recorded in writing.            3.  It is  valid only for the period mentioned in                the permit and the consignment must be booked                from  the   despatching  station  before  the

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              expiry of such period.            4.  Any permit that is taken out but not utilised                should be  returned  immediately  to  issuing                authority.            5.  The  stuff  should  be  got  checked  by  the                Assistant Grain  Purchasing Officer  assisted                by the Food Inspector concerned while loading                into the wagon and a certificate should be 610                got recorded  on the  permit itself  that the                stuff loaded  is broken  rice and  not  whole                rice and the quantity loaded.            6.  In respect of self permits the permit holder,                should  furnish   to  the   Collector,   West                Godavari,  Eluru   (A.P.)  and  the  District                Supply  Officer,   Tedepalligudam   and   the                Collector of  the importing  District  within                one month  from the  date  of  issue  of  the                permit the  particulars  of  the  Station  to                which the  consignment is  booked  names  and                addresses of the buyers".      The allegation  against the  respondents was  that they had broken the conditions of their permits inasmuch as their consignments,  which   had   been   seized,   whilst   being transported in railway wagons from Andhra Pradesh to Kerala, consisted of  rice instead of "broken rice". After the issue of  show   cause  notices  and  the  replies  filed  by  the respondents, a  number of  writ petitions  was  filed  on  a number of  grounds in  the  High  Court  of  Andhra  Pradesh questioning the  validity of  confiscation proceedings under Section  6A   of  the   Essential  Commodities   Act,   1955 (hereinafter referred to as ’the Act’). These writ petitions were dismissed on 25th October, 1971.      After the  dismissal of  the Writ  Petitions  mentioned above, the  Revenue Officer passed orders, on 18th November, 1971, confiscating  only what  was estimated as the quantity of "whole  rice", according  to  the  standards  applied  in drawing up an analysis report from samples which the Revenue officer accepted  as correct.  The respondents then appealed to the  District and  Sessions Judge  who, on  16th February 1972, set  aside the  orders  of  the  Revenue  officer  and directed him  to decide  again the  question involved in the cases in  accordance with law, after giving full opportunity to the respondents to object to the analysis which was to be carried out afresh in their presence. The District Judge did not consider  the report  of the Assistant Marketing officer of Chitur,  after an analysis carried out in the presence of the District  Revenue officer, to be a sufficient compliance with  the   requirement  to  give  due  opportunity  to  the respondents to show what the consignments contained.      It may  be mentioned  here that  the reports upon which proceedings were  commenced  in  respect  of  a  very  large quantity of  rice had  been filed by the Inspector of Police of the  Vigilance Section of the Civil Supplies’ Department. It was  clearly mentioned  in these  reports that  the  rice which was  seized by the police in the course of its transit in a  number of  wagons of  a goods  train  proceeding  from Andhra Pradesh  to Calicut  in Kerala  State was not "broken rice". The respondents are regular Millers whose business it is to  know the  varieties and  the nomenchature  of various types and  qualities of  rice. They could not, therefore, be ignorant of  what was  the case against them. Moreover, when the cases were actually remanded to the Revenue officer with specific  directions   to  give   the   respondents   fuller opportunity to  show cause  and meet  the cases against them

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there could be no possible excuse for the respondents not to put in evidence of their side of the case if they had a case to put up in defence. 611      The Revision  Applications by  the  State  against  the orders of District and Sessions’ Judge were dismissed by the High Court  on 29th  March, 1973. During the pendency of the revision applications  in the High Court. notices of auction of boiled  rice were  issued under  the orders  of the  High Court. The  rice was  sold as  ordinary "boiled rice". It is alleged on behalf of the State, that the price for which the boiled rice. seized from the Railway wagons, was sold on 5th October, 1972.  was about  Rs. 30  lakhs. This price, it was submitted, could only be fetched by "whole rice".      We are,  however, more  concerned with  what took place after the  High Court had upheld the order of the District & Sessions’ Judge  remanding the  case for  full  hearing  and adduction of evidence by both sides.      In his  final order  of 4th  December, 1973,  after the remand, the  District Revenue Officer gave the whole history of  the   case  and   pointed  out   the  opportunities  the respondents had  been given for substantiating their case if they had one worth consideration.      The District  Judge had  remanded the  case principally because the  first report  of the  analyst,  issued  by  the Assistant Director  of  Marketing,  Chitur,  had  been  made without an  analysis carried  out in  the  presence  of  the respondents although  it was  made in  the presence  of  the District Revenue  Officer. The  District Judge had held that the Asstt.  Director of  Marketing should have himself given evidence before his report could be treated as evidence.      After the  case had  been remanded,  there was  a fresh analysis with  fresh samples  taken under  the orders of the High Court.  And, this  second analysis  took place  in  the presence of  the  respondents.  The  Assistant  Director  of Marketing, who  made the analysis, was produced in evidence. The respondent  had full  opportunity of cross-examining him and also  of giving  their own versions. But, they contented themselves with  some  cross-examination  of  the  Assistant Director of  Marketing in  the course  of which  it was  not suggested to the Assistant Director that the test of "broken rice" was  itself incorrect. On the other hand, in answer to one of  the questions  in cross-examination,  the  Assistant Director of Marketing replied:           "I agree  that any  grain which is less than 3/4th      of the  whole grain  is a  broken. According  to Serial      Grading Rules.  1966, rice  includes brokens, but it is      classified separately". This  meant  that  the  respondents  knew,  and,  therefore, suggested that  the test  applied by  the  Asstt.  Director, Marketing that any grain less than 3/4th of the whole length was to  be deemed  as  "broken",  was  correct.  The  cross- examination was  directed towards  showing  that,  accepting this test,  known to  both sides,  the  consignment  was  of "broken rice". 612      It  is   true  that  the  Assistant  Director,  in  his evidence, admitted that he had not actually measured a whole grain.  He   said  that   he  had   adopted  the  method  of differentiation by  looking at the grains with the naked eye and by  picking them up with his hand using his own fingers. He also  admitted that,  in ten out of the 50 samples he had analysed,  the   percentage  of   brokens  in  the  analysis conducted in  1973 was  less than that of 1971 from 2 to 10% but in  others it  was greater. The Revenue Officer, after a

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careful consideration  of all  the facts of the case and the whole background,  including the test laid down in the Hand- book on  Grading Foodgrains  and Oilseeds,  had reached  the conclusion that  the whole of the quantity seized was liable to be  confiscated because  no sample  taken from  the  bags contained a  minimum percentage  of 60%  of "broken"  grains satisfying the test adopted, that is to say, grain less than 75% of  its normal  length would be deemed to be broken. The Revenue  officer   treated  the  opinion  of  the  Assistant Director as that of an expert which ought to be accepted.      The District  and Sessions’  Judge, in appeals from the orders of  the Revenue  officer, reconsidered the whole case at considerable  length and allowed the appeals partially by holding that  percentage which could be fairly classified as broken had  to be  deducted after an addition to it of 2% as allowable   "foreign    matter".   The   Sessions’   Judge’s interpretation of  the remand order, as affirmed in revision by the  High Court,  was that the Revenue Officer could only determine the  quantities of "broken" rice and whole rice to decide what  proportion was and not whether the whole of the seized rice was liable to confiscation as not covered by the permits. It  appears that  there had  been an  order by  the Revenue  Officer   releasing  12%   of  the  total  rice  as equivalent of "broken rice" which had not been set aside and had become final.      On the  question whether  the respondents could be said to have a mens rea the learned Sessions’ Judge observed:           "I am  not prepared  to accept the contention that      they are  under a  mistaken impression that whole rice,      when boiled  could become boiled brokens. I do not also      admit that  they are  not having  any mens rea. I am of      the opinion  that they  had certainly  managed with the      officers,  and   attempted  to   transport  whole  rice      (boiled)  under   the  guise   of   brokens   (boiled).      Therefore, it cannot be said that they have no mens rea      in this  case when  they attempted  to transport  whole      rice as  brokens. It  is a fact that huge quantities of      rice are  involved and the money involved is also huge.      But  the  crime  that  these  appellants  attempted  to      prepetrate can  also be  considered as  huge (Grave) in      consonance with  the quantity of rice they attempted to      transport. Therefore,  I am  of the opinion, that these      appellants do  not deserve  sympathy and  it  does  not      require  any  more  alteration  of  the  lower  Court’s      orders, than the one I have already indicated above". Hence, with the abovementioned notification of the orders of the Revenue Officer by adding 2% for "foreign matter" to the amount 613 released as  equivalent of  "broken rice",  the respondents’ appeals were  dismissed  by  the  Sessions’  Judge  on  20th November, 1974.      Both sides  filed revision applications. The High Court had before  it two  sets of  Revision applications.  One  of these was  by the  State of Andhra Pradesh against that part of the order of the learned Sessions’ Judge by which he held that the  Revenue Officer  had no  jurisdiction,  after  the remand order, to order confiscation of the whole quantity of rice. The State claimed the price of the whole of the seized consignment. The  other set  of revision applications before the High  Court was  of the  respondent millers  against the affirmations of  the orders  of  the  Revenue  Officer.  The respondents submitted  that no  part of  the consignment was liable to  be confiscated  as it  was not proved that it was not broken rice. They, therefore, urged that they should get

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the price of the whole quantity sold.      The High  Court also went into the history of the case. It held  that the  object of  the remand  order "was to take samples of  the stocks  for the  purpose of  analysis in the presence of  the rice  millers and  after the  analysis  and report of the Assistant Director, Marketing, Chitur, to give an opportunity to the rice millers to cross-examine him with regard to it". It held:           "There is  nothing in  the remand order from which      it  can  be  said  that  the  learned  Sessions’  Judge      intended the  entire matter  to be  reopened  including      that of  the released  stocks  with  regard  to  which,      according to  the learned  Sessions’ Judge,  the matter      had become  final because  of the  view taken by him in      the appeals  preferred by  the State that the State has      no right of appeal as provided under Section 6-A of the      Essential Commodities Act".      The High  Court upheld  the contention  that the  State Government had no right of appeal to the Sessions’ Judge. It held  that   only  a   person  aggrieved   by  an  order  of confiscation and  not just  anybody aggrieved  by  an  order under Section 6-A had a right of appeal. It is, however, not necessary for us to go into this question as it has not been argued by either side.      The High Court held that there could be a contravention of the Southern States (Regulation of Export of Rice) order, 1964, by  the rice  millers if  they attempted  to transport essential goods  requiring permit under the Regulation Order of 1964  from the  State of  Andhra Pradesh  to Kerala.  It, however, proceeded  to hold  that, as it was not proved that what was  being transported  was "broken rice", there was no contravention. It  reached this  conclusion  by  a  somewhat strange reasoning  that, since the percentages of whole rice in the samples analysed were not known, it could not be held that the  consignment was  of a  kind of  rice for which any permit was  required. We  are constrained to observe that we are not able to follow the reasoning of the High Court that, as the  definition of rice in clause 2(B), in the Regulation order of  1964, says  that rice  "includes broken  rice  and paddy", it  necessarily follows  that the  converse must  be true so 614 that "broken  rice must  include rice".  It would  have been quite correct  if the High Court had said that "broken rice" is also "rice". As the definition of rice is a comprehensive one, it includes "broken rice as part of rice", But, to hold that this  meant that  "broken rice" must include whole rice is to  accept that  a part  includes the whole, if the whole includes a  part, it  necessarily means that the part cannot possibly be  equated  with  the  whole.  The  natural,  and, indeed, the  only reasonably  open logic  would be:  if  the whole includes a part, nothing which is merely a part of the whole could  be equated  with the  whole, we  think that the High Court  misdirected itself  seriously  by  accepting  an obviously fallacious reasoning on this question.      The High Court said:           "By merely  establishing that  the goods  are  not      broken rice,  no offence or contravention is committed.      It must  fur their  be established  that the  goods are      rice in  which case only there will be contravention of      the  control  orders  as  the  rice  millers  were  not      exporting the  goods under permits issued for export of      rice. Having  regard to  the uncertainty as to what the      balance material  other than  the brokens  contained in      the samples,  it  is  not  possible  to  say  with  any

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    assurance that  the rice  millers have  contravened the      control orders by attempting to export rice". It went on to add:           "It  may   be  said  that  having  regard  to  the      circumstances of  the case  it is  reasonable to assume      that the  rice millers  have deliberately put some rice      in  the  goods  they  were  trans  porting.  Otherwise,      normally, the  price of  whole rice  being  more,  they      would not  have allowed it to go into the brokens, and,      unless there  were some substantive quantities of whole      rice  in   the  goods   which  the  rice  millers  were      transporting, the  Inspector of  Police, Vigilance Cell      Civil Supplies  Nellore,  would  not  have  thought  of      seizing the  goods. It is common knowledge and judicial      notice can  be taken  that rice  or broken rice is very      much costlier  in  Kerala  State  than  in  the  Andhra      Pradesh State. It is quite possible that broken rice in      Kerala State  was then even costlier than whole rice in      Andhra  Pradesh   State  and   it  may   be   in   such      circumstances the  rice  millers  while  exporting  the      goods allowed more whole rice to go into the brokens so      that the  entire thing could be sold as broken rice and      even by  that to  get a  better price  than  in  Andhra      Pradesh for the quantity of whole rice allowed into the      brokens. But  at the  same time,  in the absence of any      guidelines by fixing standards for rice and broken rice      it is  difficult to say that the rice millers have done      so with  the necessary  animus that  in so  doing  they      would be  going outside  the permits issued to them and      they would  be contravening  the control  orders.  When      there were no standards fixed with regard to whole rice      and broken  rice and when there is an admixture of both      whole rice and broken rice, it is difficult 615      to say  when a  particular admixture  can be said to be      broken rice or whole rice. On an uncertain ground or on      vagueness, I do not think any person can be made liable      for an action which will be penal in nature".      A ground  given  by  the  High  Court  to  justify  the millers’ case, that the rice was broken rice, was:           "In the  present case, there is also the fact that      both the  Assistant Grain  purchasing Officer  and  the      food inspector  inspected  the  goods  when  they  were      loaded into  the wagons  and certified  that the  goods      loaded to  be broken  rice. Across  the Bar,  Shri Babu      Reddy has  stated that  no  action  was  taken  by  the      Government against  those officers  on the  ground that      colluding with  the rice millers they falsely certified      that goods  loaded to  be  broken  rice.  He  has  also      submitted that  not  only  that  no  action  was  taken      against them,  but they  were also  promoted to  higher      posts subsequently perhaps, in usual course. Of course,      there is  no material  before the  Court with regard to      it. But  suffice it  to say  that the fact remains that      those two officers certified the materials to be broken      rice".      A  surprising  conclusion  of  the  High  Court,  which conflicts with  the earlier  conclusion that  there  was  an attempted transport  of  rice  which  would  contravene  the Regulation order, was stated as follows by the High Court:           "The rice  millers were  having  the  permits  for      exporting BROKEN  RICE and  they were  not  having  any      permits for  exporting RICE.  Even  assuming  that  the      goods which the rice millers were transporting were not      broken  rice,   it  is   not  enough,   to  prove   the

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    contravention,  to   show  that  the  goods  they  were      transporting were  not broken  rice. It  must be proved      that the  goods which  the rice  millers were exporting      were rice  for which they have no permits. If the goods      which the  rice millers were transporting could neither      be said  to be  broken rice nor rice, there would be no      contravention in  either of  which case no permits will      be necessary under the control orders. The consequences      of the  contravention of the control orders being penal      in nature,  the rice  millers cannot  be  penalised  by      confiscating  the   goods  on   uncertain   ground   or      vagueness. I  have no  doubt that  the Government  have      failed to establish that the rice millers in attempting      to export  the goods in question outside the State have      contravened the two control orders".      We can  only make  the passage  from the  High  Court’s judgment, set  out above in the last paragraph, intelligible to ourselves by believing that what the High Court meant was that the  control order does not make it necessary to have a permit for  the transport  of goods  containing a mixture of broken rice  and rice  by requiring  a  permit  for  such  a mixture. If this be the meaning, as it probably is, we think that it 616 constitutes  a  complete  oversight  or  misreading  of  the Regulation Order 1964, clause 3 of which says:           "3. Regulation  of export  of rice  from specified      areas.- No  person shall  export or  abet the export of      rice from  any place within a specified area to a place      outside that  area except  under and in accordance with      permit issued  by the  State Government  or an  officer      authorised by that Government in this behalf".      It follows  that the person who transports has to prove that he has a permit for the rice he is transporting.      Learned Attorney General has, very rightly, pointed out that the  whole case  of the  respondent  Millers  from  the outset, when they sent a reply to the show cause notice, was that they  were transporting  what was wholly "broken rice". In other words, their case was that they knew that they were holding the  permit. They  never said that they did not know what their  permit meant  or had  misunderstood it. They did not plead  that they  had been cheated by somebody. Who sent something on their behalf which was not authorised by them.      We think  that Section  106 of  the  Evidence  Act  was clearly applicable  to such  a case. It says: "When any fact is especially within the knowledge of any person, the burden of proving that fact is upon him". The illustrations to this section are also helpful:           "(a) When a person does an act with some intention      other than  that which  the character and circumstances      of  the   act  suggest,  the  burden  of  proving  that      intention is upon him.           (b) A  is charged  with travelling  on  a  railway      without a  ticket. The  burden of proving that he had a      ticket is on him".      So far  as the  actual  intentions  of  the  respondent Millers are  concerned, the  High Court  recorded a finding, set out  above, that  it appeared that they had deliberately mixed whole  rice with  broken  rice,  because,  unlike  the situation in  Andhra Pradesh,  broken rice sells at a higher price in  Kerala than it does in Andhra Pradesh. If this had been the  correct state  of  affairs,  it  would  have  been reasonable for  the Millers  to  transport  broken  rice  to Kerala, where it fetches a higher price, and keep whole rice which sells at a higher price in Andhra Pradesh, for sale in

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their own State.      Apart from  this obvious  flaw in  the reasoning of the High Court, it is difficult to understand how the High Court could act  on such  an assumption  about relative prices. It thought it  could take  judicial notice  of such  a state of prevailing  prices  of  rice  in  the  two  States.  It  was certainly not  a fact  commonly or generally known to people that broken  rice fetches a much higher price in Kerala than even whole  rice. Such  as assertion  has to be proved to be correct. It  was unreasonable  to assume  that, even if that was so, the millers of Andhra Pradesh would 617 be so  anxious to  cheat the  purchasers  in  Kerala  as  to deliberately mix some whole rice with broken rice instead of selling the  whole rice in Andhra Pradesh and broken rice in Kerala. The  more natural  inference, from patent facts, was obviously that  there was  some  advantage  in  mixing  some "broken rice" with "whole rice" for which the millers had no permit.      Thus,  the  learned  Judges  of  the  High  Court  have themselves expressed a view indicating that the Millers were quite  conscious   of  the  distinction  which  existed,  in accordance with the accepted practice, between what could be deemed to  be "whole  rice" and  what could  be described as "broken rice".  If they were labouring under some mistake of fact and  had no  intention to  commit an offence, which the character and  circumstances of  their acts  suggested,  the burden of proving this was certainly upon them.      Again, what  was covered  by the permit would be deemed to be known to the Millers who were carrying on the business of  exporting   rice   of   various   kinds,   grades,   and descriptions. It is their business to see that they carry on their trade in accordance with the terms of the permits they actually obtained.  It is  true that it appears, as the High Court observes, that the Millers had, apparently, been given the green  signal by  the  officers  who  were  expected  to inspect the  consignments and  certify that  it was  "broken rice". It  is difficult to know what evidence the High Court was relying  upon, apart from the conditions attached to the permits and  the presumption  that their duties were carried out by  their officers  concerned, to  hold  what  they  had inspected and  certified correctly. The respondents, who had objected to  the first  analysis report,  the ground,  inter alia, that  the analyst  did not enter the witness box could be met  with a  similar objection  to the alleged inspection reports of some officers.      The only  evidence produced in the case was that of the Assistant Director  of Marketing  who performed the analysis in the presence of the Millers after the remand order.      If the  respondents were  relying upon  some inspection carried  out   by  the   officers  in  compliance  with  the conditions of  the permit,  they ought to have produced that evidence SQ  that the  officers concerned  could  have  been subjected to  cross-examination.  An  opportunity  had  been given to  the Millers  to produce evidence in rebuttal. They produced none.  On the  other hand, the cross-examination of the  Assistant   Director  showed   that  the  Millers  were accepting the tests laid down in the Hand-Book on Grading of Foodgrains and oilseeds as applicable to the descriptions of rice and broken rice. These terms, as used in the Hand-book, must have  been well understood by the Millers. The Foreward to the Hand-Book says that it contains instructions based on practice followed  in this  country for  many years  by  the Directorate of Marketing and Inspection. The Hand-Book is an official publication.  It could  be looked  into to find out

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the accepted  practice and  tests employed  by the Assistant Director. As  already observed,  the Assistant  Director was cross-examined on matters contained in the Hand-Book. 618 It was  not suggested  to him  that the  Hand-Book  did  not contain correct information.      At page  8 of this Hand-book, we find: "Broken Rice"-In addition to  the classes mentioned above broken rice forms a class by  itself as  it is a bye-product of rice milling. It has been  classified into two groups, viz., fine brokens and common brokens.  Fine brokens  cover  the  brokens  of  long slender and  scented varieties  of rice  and common  brokens over the  rest". At page 6, we find: "Brokens.-Brokens shall include pieces  of rice kernels which are less than 3/4th of the whole  kernel. Pieces  smaller than  1/4th of the kernel are to  be treated  as fragments".  The cross-examination of the Assistant  Director showed  that  the  Counsel  for  the Millers were fully acquainted with the contents of the Hand- book and  were accepting  it as  the basis  for finding  out whether the  tests laid  down  in  the  Hand-book  had  been observed.      The Hand-book  contains several  schedules. Schedule  7 gives maximum  limits of  tolerance for  various  grades  of "mill rice",  a term  apparently used  for whole  rice.  The maximum tolerance of brokens in whole rice of first grade is given as 3%, whereas the maximum tolerance of the brokens in the whole rice grade is 20%. Schedule VIII is for "Parboiled Milled Super  fine Rice".  In Schedule  X,  for  "Parboiled, milled common  rice", is  shown to vary from 10% in Gr. I to 40% in  Gr. IV. Schedule 14 gives the grade designations and definitions of  different qualities of "common broken rice". It shows  that, in  order to  constitute "broken  rice", the percentage of  brokens, the  maximum limit  of tolerance  is from not less than 80 to not less than 60% in grade 1 to 3.      The District  Judge had  reached the  conclusion  that, quite apart  from these technically prescribed tests for the purpose of  grading, by  the Directorate  of  Marketing  and Inspection, the common sense test was that at least 50% must be brokens  in order  to constitute  what could  pass  as  a marketable consignment  of "broken  rice". He  had also made the necessary allowances for foreign matter. We do not think that the  test adopted by the District & Sessions’ Judge was either incorrect  or unreasonable. Indeed, we think that the High Court  was quite  unjustified in  interfering with this test on  what seems  to us  like metaphysical  reasoning  to justify its  view that,  where the  quantities of  the whole grains  and   broken  grains  in  a  consignment  cannot  be accurately determined,  the consignment  should be deemed to be no  longer one  of rice  which  requires  a  permit.  The learned Attorney  General has rightly pointed out to us that at no earlier stage was it the case of the Millers that more mixture of  some broken  rice with some whole rice is enough to constitute  the whole consignment into one of broken rice or of substance which was not "rice" at all. In our opinion, the High Court has quite erroneously held that such mixtures do  not  fall  within  the  mischief  provided  for  by  the Regulation Order of 1964.      An argument  advanced by Mr. Sachin Chaudhari on behalf of the Millers, is that no rice in the course of Milling can really remain  whole or unbroken in the sense that the whole length of it will be preserved. 619 He contended that, in that sense, every grain must be broken to some  extent. If  that be  the correct position, we think that the  test laid  down in  the Hand-book  on  Grading  of

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Foodgrains  and  Oilseeds,  issued  by  the  Directorate  of Marketing  and  Inspection,  compiled  by  the  Ministry  of Agriculture of  the  Govt.  of  India,  is  based  on  sound knowledge of  what actually happens to grains of rice in the course of milling.      Still another  argument was  that it  is impossible  to determine with  the maked  eye whether  a grain  of rice was above or  below 3/4th  its normal length. We think that this would not  be a  difficult task  at all for an expert in the line as  an Asstt.  Director of Marketing could be deemed to be. Indeed,  even with  his naked  eye, any  person can make out, by  looking at  the two  ends of a grain, how much of a grain of  rice appears  to be broken. As we know, a grain of rice is thicker in the middle and tappers at each end. It is not like a cylinder with a uniform diameter throughout. From its shape  and size,  it is  possible, even  for an ordinary careful observer,  to assess the length of a broken grain as compared with its expected length had it been whole.      Mr. S.  V. Gupte  appearing for  some respondents,  has invited our  attention to  the differences,  in the analysis conducted in 1971 and in 1973, between percentages of broken rice" in  samples from  the same  stocks. The explanation of these differences according to the learned Attorney General, is indicated  in the  order of  the High  Court, dated  29th March, 1973,  by which  Revision  petitions  against  remand orders were dismissed. The High Court observed:           "During the  pendency of these proceedings in this      Court admittedly  fresh samples  had been  taken in the      presence of  the parties  and the rest of the grain was      directed to  be disposed.  These fresh  samples are now      available for  analysis, it is contended by the learned      public prosector that on account of lapse of time there      is the  possibility of  even whole  rice getting broken      and a  larger percentage of broken rice being forged in      analysing now to be done. It should be possible for the      Analyst to  know how  long rice stay preserved as whole      rice and  what is  the lapse  of time  that results  in      breaking up  of even the whole rice and what percentage      should be  allowed in  that connection  and come to the      conclusion  in  making  analysis  of  the  new  samples      taken".      The High  Court had  said  that  "there  should  be  no difficulty in  getting the fresh samples taken analysed also and the  analyst giving  his opinion with regard to both the samples".      There is  not only  a difference between the results of the analysis of 1971, as compared with the analysis of 1973, for which  samples were  taken, afresh from the same bags of rice, but  we find  that the  report of  1973 itself  shows, that, out  of 50  samples taken from different bags of rice, there is  a variation ranging from 12.5%, in the case of two samples from  wagon No.  SE 53657  to 40% in the case of the sample from  wagon, No.  SE 57670.  The analysis  of another sample from  the same  wagon SE  57670 gives a percentage of 36.2 of "broken rice". 620 Two samples  from the  same wagon  WR 70715  show 22.5%  and 37.5% of  broken rice,  thus  making  a  difference  of  15% between two  samples from  the same wagon. In seven samples, the percentages  of  broken  rice  were  above  35%.  In  16 samples, the  broken rice  found ranged between 30% and 35%. Of course,  these different  percentages  may  lead  to  the inference  that  some  broken  rice  had  been  deliberately introduced unevenly  between rice  found in  different bags. But, once the principle is accepted that it is only the rice

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not covered  by the  permits which,  under the orders of the Court, was  to be confiscated, these variations do introduce an element  of difficulty in determining precisely what that amount was.  Sec. 6A  of the  Act, however,  says  that  the Revenue officer (who exercised the powers of the Collector), "if satisfied  that there  has been  a contravention  of the order", that  is to  say, the  Control Order, "may order the confiscation of  the essential  commodities seized".  It  is arguable that  the power  is there  to  confiscate  whatever essential commodity may have been seized for the purposes of proceeding  against  the  person  who  has  contravened  the Control Order,  yet, it  cannot be denied that this power is discretionary.      Therefore, we  do not  propose to  interfere  with  the order of the learned Sessions’ Judge, to the effect that, as the Revenue Officer’s order releasing the seized rice to the extent of  about 12%  had become  final, it  should  not  be interfered with  except  to  the  extent  that  the  learned Sessions’ Judge  added 2%  more for  foreign matter. Thereby releasing slightly more in favour of the respondents.      For the reasons given above, we allow these appeals and set aside  the judgment  and orders  of the  High Court  and restore those  of the  learned Sessions’  Judge in the cases before us. M.R.                                        Appeals allowed. 621