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Patna High Court

Bhushan MistriversusThe State of Bihar

Decided
Disposal
ALLOWED

Holding

Confiscation of premises is unlawful without proof of the owner’s involvement or connivance, rendering the order void.

Summary

The petitioner, Bhushan Mistri, filed a writ petition challenging the confiscation of a room in his house by the Sub‑Divisional Magistrate, Rajgir, on the basis that illicit liquor was recovered from tenants occupying that room. The police raid recovered 100 liters of illicit liquor and the tenants were charged under Section 30(a) of the Bihar Prohibition & Excise Act, 2016, but the petitioner was never named as an accused. The petitioner argued that the confiscation order ignored the fact that he had no involvement or connivance in the offence and violated his constitutional rights under Articles 14 and 300A. The respondents contended that the seizure was lawful under the Act and the Rules governing confiscation and release of premises. The High Court examined Sections 30, 56, 57B, 58 of the Act and Rules 12B and 13B, holding that confiscation requires proof of the owner’s participation or connivance, which was absent. Consequently, the court set aside the confiscation order, directed de‑sealing of the premises, and ordered the State to verify ownership within two weeks.

Issues considered

  • Whether the confiscation of premises under the Bihar Prohibition & Excise Act, 2016 is valid when the owner is not an accused nor involved in the offence.
  • Whether the petitioner’s constitutional rights under Article 14 and Article 300A are infringed by the seizure.
  • Whether the provisions of Sections 56, 57B, 58 and Rules 12B, 13B permit confiscation without establishing the owner’s connivance.

Subjects

  • confiscation
  • prohibition law
  • excise
  • property rights
  • Article 14
  • Article 300A
  • illegal seizure
  • civil writ
  • Bihar Prohibition & Excise Act
  • tenant liability

Judgment

          IN THE HIGH COURT OF JUDICATURE AT PATNA
                   Civil Writ Jurisdiction Case No.16004 of 2025
     ======================================================
     Bhushan Mistri S/o Late Raj Kumar Mistri, Resident of Village- Azadshatru
     Nagar, PS- Rajgir, District- Nalanda.
                                                                  ... ... Petitioner
                                         Versus
1.    The State of Bihar through the Principal Secretary, Prohibition and Excise
      Department, Government of Bihar.
2.   The Director General Police, Bihar.
3.   The District Magistrate, Nalanda.
4.   The Superintendent of Police, Nalanda.
5.   Sub-Divisional Magistrate, Rajgir, District Nalanda.
6.   The Circle Officer, Rajgir, District Nalanda.
7.   The Station House Officer, Rajgir, District Nalanda.
                                               ... ... Respondents
     ======================================================
     Appearance :
     For the Petitioner     :       Mr. Shailendra Kumar, Advocate
                                    Mr. Ajit Ranjan Kumar, Advocate
                                    Mr. Surendra Kumar, Advocate
     For the Respondents    :       Mr. Indreshwar Pd. Mandal, AC to GA-3
     ======================================================
     CORAM: HONOURABLE MR. JUSTICE MOHIT KUMAR SHAH
                                and
             HONOURABLE MR. JUSTICE ARUN KUMAR JHA
                           ORAL JUDGMENT
     (Per: HONOURABLE MR. JUSTICE MOHIT KUMAR SHAH)

      Date: 27-04-2026

               Heard the learned counsel for the parties.

               2. The present writ petition has been filed for quashing

      the order dated 14.07.2025, passed by the learned Court of Sub-

      Divisional Magistrate, Rajgir in Confiscation (Excise) Case No.

      31 of 2024, whereby and whereunder the room of the house of

      the petitioner, situated at Mauza-Rajgir, P.S. No.-485,

      appertaining to Khata No.-145, Khasara No.-4895 has been

      confiscated. It is also prayed to de-seal the room of the house of
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         the petitioner in favor of the petitioner.

                 3. The brief facts of the case are that the Sub-Inspector of

         Police posted at Rajgir Police Station was on patrolling duty

         along with Police force on 05.05.2024 at about 10:00 AM as

         also was engaged in conducting raid for recovery of illicit

         liquor. At about 02:00 PM, the Officer-in-charge of Rajgir

         Police Station informed the said Sub-Inspector of Police

         (informant) that the tenants of the house of the petitioner,

         namely Shrinath Kumar @ Shivnath Prasad @ Ramlal along

         with his son, Himansu Kumar @ Tutu are engaged in trade of

         illicit liquor as also they are engaged in delivering illicit liquor

         by their Scooty bearing registration No. BR 21S 5962.

         Thereafter, the informant along with the Police force had

         conducted a raid at the house of the petitioner, especially the

         room in occupation of the tenants of the petitioner at around

         02:30 PM, whereafter search was made and 100 liters of illicit

         liquor as also 0.360 liters of illicit English liquor was recovered

         from the room in question apart from recovery of 0.735 liters of

         illicit liquor from the Scooty in question. On the basis of the

         written complaint of the informant, Rajgir P.S. Case No. 158 of

         2024 dated 05.05.2024 was registered under Section 30 (a) of

         the Bihar Prohibition & Excise Act, 2016 (as amended up to
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         date) (hereinafter referred to as “Act, 2016”).

                 4. The learned counsel for the petitioner submits that it

         has been admitted in the FIR itself that the illicit liquor has been

         recovered by the Police from a room in possession of the tenants

         of the petitioner, hence admittedly the petitioner is not having

         any role to play in the alleged occurrence. It is further submitted

         that neither the petitioner nor his family members have been

         made accused in the aforesaid criminal case and moreover, the

         petitioner is not having any connection or relation with the

         accused persons who have been arrayed in the accused column

         in the aforesaid criminal case. It is next submitted that the

         aforesaid room in question is a part of the house of the petitioner

         situated at Mauza-Rajgir, P.S. No.-485, District- Nalanda,

         appertaining to Khata No.-145, Khasara No.-4895, which has

         been directed to be confiscated by the impugned order dated

         14.07.2025. It is next submitted that that the said order dated

         14.07.2025 has not taken into account the admitted fact that

         illicit liquor was seized from a room situated in the house of the

         petitioner from the tenants of the petitioner and not from the

         petitioner himself and that is why the petitioner has not been

         made an accused in the aforesaid criminal case. However, it is

         only the tenants, namely Shrinath Kumar @ Shivnath Prasad
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         and Himansu Kumar @ Tutu who have been made accused in

         the aforesaid criminal case. Thus, it is submitted that the

         impugned order dt. 14.7.2025, passed by the Ld. Court of Sub-

         Divisional Magistrate, Rajgir in Confiscation (Excise) Case No.

         31/2024 is erroneous and fit to be set aside.

                 5. Per contra, the learned counsel for the respondents has

         submitted that a raid was conducted upon receipt of confidential

         information, whereupon huge quantity of illicit liquor was

         recovered from the room in question. However, it has not been

         denied that the recovery of illicit liquor was made from the

         tenants of the petitioner. Nonetheless, it is submitted that there is

         no infirmity in the impugned order dated 14.07.2025 passed by

         the learned Sub-Divisional Officer, Rajgir.

                 6. We have heard the learned counsel for the parties and

         perused the materials on record from which it is apparent that

         the present case arises out of Rajgir P.S. Case No. 158 of 2024,

         dated 05.05.2024 registered under Section 30(a) of the Act,

         2016 against Shrinath Kumar @ Shivnath Prasad and Himansu

         Kumar @ Tutu, who are admittedly the tenants of the petitioner

         and were living in a room situated in the house of the petitioner

         from where illicit liquor, as aforesaid, has been recovered. At

         this juncture, we would like to advert to the provisions
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         contained in the amended Act, 2016, Section 30, 56, 57B and 58

         being relevant are being reproduced herein below:-

                 “30. Penalty for unlawful manufacture, import, export,
                 transport, possession, sale, purchase, distribution, etc. of
                 any intoxicant or liquor. –
                 Whoever, in contravention of any provision of this Act or of
                 any rule, regulation, order made, notification issued
                 thereunder, or without a valid license, permit or pass
                 issued under this Act, or in breach of any condition of any
                 license, permit or pass renewed or authorization granted
                 thereunder-
                 (a) Manufactures, possesses, buys, sells, distributes,
                 collects, stores, bottles, imports, exports, transports,
                 removes or cultivates any intoxicant, liquor, hemp; or
                 (b) Constructs or establishes or works in any manufactory,
                 distillery, brewery or warehouse; or
                 (c) Manufactures, uses, keeps or has in his possession any
                 material, utensil, implement or apparatus, or uses any
                 premises, whatsoever, for the purpose of manufacturing
                 any intoxicant or liquor; or
                 (d) Manufactures any material or film either with or
                 without the State Government logo or logo of any State or
                 wrapper or any other thing in which liquor or intoxicant
                 can be packed or any apparatus or implement or machine,
                 for the purpose of packing any liquor or intoxicant; or
                 (e) Removes any liquor or intoxicant from any distillery,
                 brewery, warehouse, other place of storage licensed,
                 established, authorized or continued under this Act; or
                 (f) Manufactures, possesses, sells, distributes, bottles,
                 imports, exports, transports removes, any preparation
                 made with or without the use of any intoxicant or liquor,
                 which can serve as an alcohol or a substitute for alcohol
                 and is used or likely to be used or consumed for the
                 purposes of getting intoxicated;
                 shall be punishable with imprisonment for the term which
                 may extend to life and with fine which may extend to ten
                 lakh rupees.
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                 Provided that the punishment:
                 (a) For the first offence shall not be less than five years
                 imprisonment and fine of not less than one lakh rupees,
                 and
                 (b) For the second and subsequent offences shall not be
                 less than ten years rigorous imprisonment and fine of not
                 less than five lakh rupees".
                 56. Confiscation of Seized Items.- (1) Notwithstanding
                 anything contained in Section 57B, whenever an offence
                 punishable under this Act, is committed, the Collector or
                 an Officer authorized by him may confiscate such items
                 based on the report of the investigating officer.
                 (2) Such items may include-
                 (i) any premises or part thereof;
                 (ii) any animal, vehicle, vessel or conveyance;
                 (iii) any liquor or intoxicant;
                 (iv) any other item having bearing with the case;
                 Provided, where things as mentioned in Section 57 are to
                 be destroyed, then the Collector or an officer authorized
                 by him need not confiscate the same before their
                 destruction.
                 (3) The State Government may issue necessary direction,
                 guidelines, regulations and instructions with respect to the
                 mode and manner of search, seizure, destruction and
                 confiscation.
                 57B. Things or premises liable to be released upon
                 penalty.- (1) Any animal, vehicle, vessel or other
                 conveyance used for committing any offence punishable
                 under this Act that has been seized by any police Officer or
                 Excise Officer may be released by the Collector upon
                 payment of such penalty as may be notified by the State
                 Government.
                 2. Any premises or part thereof used for committing any
                 offence punishable under this Act that has been seized by
                 any police Officer or Excise Officer may be released by the
                 Collector upon payment of such penalty as may be notified
                 by the State Government.
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                 (3) If the person concerned does not pay the penalty, then
                 the Collector shall proceed to confiscate the said animal,
                 vehicle, vessel or other conveyance and premises as per
                 Section-58.
                 58.    Confiscation      by     District     Collector.    (1)
                 Notwithstanding anything contained in this Act or any
                 other law for the time being in force, where anything liable
                 for confiscation under this Act is seized or detained under
                 the provisions of this Act, the officer seizing and detaining
                 such property shall, without any reasonable delay submit a
                 report to the District Collector who has jurisdiction over
                 the said area;
                 (2) On receipt of the report under subsection (1), the
                 District Collector if satisfied that an offence under this Act
                 has been committed, may, whether or not prosecution is
                 instituted for the commission of such an offence and
                 whether or not a case is pending before any court, order
                 confiscation of such property;
                 (3) The Collector shall, before passing an order under
                 subsection (2), give a reasonable opportunity to the person
                 concerned, of being heard;
                 (4) While making an order of confiscation under sub-
                 section (2), the District Collector may also order that such
                 of the properties which the order of confiscation relates,
                 which in his opinion cannot be preserved or are not fit for
                 human consumption, be destroyed. Whenever any
                 confiscated article has to be destroyed in conformity with
                 these provisions, it shall be destroyed in the presence of an
                 Executive Magistrate or officer ordering the confiscation
                 or forfeiture, as the case may be, or in the presence of the
                 Excise Officer not below the rank of a Sub Inspector;
                 (5) While making an order of confiscation under sub-
                 section (2), if the District Collector is of the opinion that it
                 is expedient in the public interest to do so, he may order
                 the said property or any part thereof to be sold by public
                 auction or dispose of departmentally and proceeds
                 deposited with the State Government;
                 (6) The District Collector shall submit a full report of all
                 particulars of confiscation to the Commissioner of Excise
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                 within one month of such confiscation".
                 7. We would also like to refer to Rule 12B and 13B of the

         Bihar Prohibition and Excise (Amendment) Rules, 2022.

                 "12B. Release of Premises on Payment of Penalty-(1) If
                 any premises or part thereof has been seized or sealed by
                 any police or excise officer under the Act, then in terms of
                 section-57B (2) of the Act, the Collector or an officer
                 authorized by him, upon receipt of an application in Form
                 V from the owner of the said premises, may release or
                 unseal the said premises or part thereof upon payment of
                 such penalty as may be ordered by the Collector or the
                 officer authorized by him.
                 Provided, where it is not possible to ascertain the owner of
                 the premises or the owner is not coming forward, the
                 Collector or the officer authorized by him shall, after
                 waiting for 15 days from the date of seizure/sealing,
                 proceed to confiscate the premises as per the provisions of
                 the Act.
                 (2) The Collector or the officer authorized by him shall
                 have due regard to the economic status of the individual,
                 nature of his involvement in the crime, location of the
                 premises and the quantum of intoxicant recovered while
                 deciding the quantum of fine to be paid by the individual.
                 However, the fine shall not be less than Rs. one Lakh in
                 any case.
                 In any case, the Collector shall not wait beyond 15 days
                 from the date of seizure/sealing and if during this period,
                 the accused/owner does not pay up the penalty he shall
                 proceed with the confiscation/ auction.
                 (3) Notwithstanding above, if on a report by police officer
                 or excise officer, the Collector or the officer authorized by
                 him is satisfied that releasing the premises shall not be in
                 the public interest, the Collector or the officer authorized
                 by him shall proceed ahead with the confiscation of the
                 said premises or part thereof and its subsequent
                 auction/disposal.
                 (4) Such penalty shall be, regardless of the outcome of the
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                 trial if any, before the Special Court, non-refundable.
                 (5) The owner of the Premises shall, after the release of the
                 premises, allow the inspection of the premises as and when
                 desired by the authorities.
                 13B. Procedure of confiscation of Premises- (1) Where it
                 is decided by the Collector that the premises is not to be
                 released on penalty or where the owner does not pay the
                 required penalty, the confiscation proceeding shall be
                 initiated. The proposal for confiscation of the premises
                 shall be sent by the police/excise officer to the Collector
                 (or an officer authorized by him) within 30 days from the
                 date of seizure/sealing. The officer concerned shall
                 immediately start the confiscation proceeding.
                 In case of delay of beyond 30 days, in submission of the
                 proposal for confiscation, the police/excise officer will
                 have to explain the delay.
                 (2) The officer concerned, on receipt of proposal of
                 confiscation of any premises or part thereof any property
                 liable for confiscation from police/excise officer, shall
                 issue show cause notice to the owner(s) of the premises or
                 property. Simultaneously, he shall issue notice to the
                 Chemical Examiner and/or such revenue officers for their
                 reports.
                 (3) Such notice issued by the officer shall be served as per
                 procedure prescribed in the Code of Criminal Procedure,
                 1973 for service of summons.
                 (4) The officer shall provide reasonable opportunity of
                 hearing to the owner(s) of the premises or property. The
                 investigating/inquiry officer shall also be given
                 opportunity to participate in such hearing.
                 (5) If the person to whom notice has validly been served
                 fails to appear in the proceeding on two consecutive dates
                 fixed for hearing, the confiscating authority shall proceed
                 to pass the order ex-parte.
                 (6) The officer shall, after hearing the parties, pass
                 appropriate order of confiscation or unsealing, as the case
                 may be, with respect to sealed/seized premises or property
                 on the basis of his satisfaction whether an offence has been
                 committed or not in terms of the Act.
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                 (7) The officer shall ensure that the order for confiscation
                 is passed within 90 days from the date of seizure/sealing of
                 the premises.
                 (8) Any person aggrieved by the order passed by the
                 Collector under the provisions of the Act may file appeal in
                 the manner prescribed under these rules."
                 8. A bare perusal of the aforesaid statutory provisions

         would show that a premises or part thereof used for committing

         an offence under the Act, 2016 can be seized/confiscated but the

         same can be released upon payment of penalty, however while

         deciding the quantum of fine to be paid by the individual, due

         regard has to be given to the economic status of the individual,

         nature of his involvement in the crime, location of the premises

         and the quantum of intoxicant recovered. Moreover, before

         passing an order of confiscation or unsealing, as the case may

         be, with respect to sealed/seized premises or property, the

         concerned officer has to be satisfied as to whether an offence

         has been committed or not in terms of the Act, 2016. Thus, it is

         apparent from the statutory provisions contained in the Act,

         2016 and the Rules framed thereunder that direct involvement

         or connivance of the owner of the premises in question in illegal

         use of such premises for stacking illicit liquor is an essential

         prerequisite for seizure and confiscation of the premises in

         question or imposing any penalty for release of the same.

                 9. Now coming back to the present case, we find that
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         neither the petitioner has been made an accused in the aforesaid

         criminal case nor any recovery of illicit liquor has been made

         from his possession nor the respondents have produced any

         material in the counter affidavit to show either the involvement

         or connivance of the petitioner in the alleged occurrence.

         Moreover, there is no proof on record to show that either the

         petitioner was having any connection with the accused persons,

         namely Shrinath Kumar @ Shivnath Prasad and Himansu

         Kumar @ Tutu or he was instrumental in the alleged occurrence

         or he was having direct / indirect involvement or connivance in

         illegal use of the aforesaid premises for stacking illicit liquor.

         Therefore, we find that the action of the State authorities in

         sealing the premises in question and confiscating the room in

         question by the impugned order dt. 14.7.2025, passed by the Ld.

         Court of Sub-Divisional Magistrate, Rajgir is arbitrary and hit

         by Article 14 of the Constitution of India. It is also violative of

         the constitutional right of the petitioner to hold property as

         provided for under Article 300 A of the Constitution of India

         which prohibits any deprivation of the property save by

         authority of law. Thus, we are of the considered view that the

         Act, 2016, in no way authorizes the officials to seize the

         premises in question in the facts and circumstances of the
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                      present case, hence the seizure and the confiscation of the room

                      in question is without any authority of law.

                               10. Having regard to the facts and circumstances of the

                      case and for the foregoing reasons, we set aside the order dated

                      14.07.2025, passed by the learned Court of Sub-Divisional

                      Magistrate, Rajgir in Confiscation (Excise) Case No. 31 of

                      2024, whereby and whereunder the room in question has been

                      confiscated. Consequently, we direct for de-sealing and release

                      of the premises in question in favor of the petitioner upon the

                      State authorities being satisfied about the ownership of the

                      petitioner with regard to the premises in question within a

                      period of two weeks of receipt / production of a copy of this

                      order.

                               11. The writ petition stands allowed.



                                                                    (Mohit Kumar Shah, J)


                                                                    (Arun Kumar Jha, J)

Shahnawaz/-
AFR/NAFR                AFR
CAV DATE                N/A
Uploading Date          30.04.2026
Transmission Date       N/A


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