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Patna High Court

Ajit Kumar @ Ajit RayversusThe State of Bihar

Decided
Disposal
DISMISSED

Holding

The impugned confiscation, appellate and revisional orders do not suffer from any jurisdictional error and are valid.

Summary

The petitioner, Ajit Kumar, owned a Bolero pickup vehicle financed by NBFC Cholamandalam and allegedly transferred it to a third party before it was seized for transporting liquor. The confiscating authority, under the Bihar Prohibition and Excise Act, 2016, ordered confiscation and subsequent appellate and revisional authorities upheld the order. The petitioner filed a writ seeking to set aside the confiscation, appellate, and revisional orders, arguing that the vehicle had been transferred and that the authorities violated Rule 12A of the Bihar Prohibition and Excise Rules, 2021 and Section 57B of the Bihar Prohibition and Excise Act, 2016. The High Court examined whether the authorities had erred jurisdictionally or violated natural justice. It held that the pleadings and evidence did not demonstrate any jurisdictional defect and that the petitioner’s post‑transfer agreement could not rescue him from the confiscation. Consequently, the Court declined to interfere and dismissed the writ application.

Issues considered

  • Whether the confiscation order can be set aside on the ground that the petitioner had transferred the vehicle before the alleged offence
  • Whether the appellate order violated Rule 12A of the Bihar Prohibition and Excise Rules, 2021
  • Whether the revisional order violated Section 57B of the Bihar Prohibition and Excise Act, 2016
  • Whether the principles of natural justice were observed in the confiscation, appeal and revision proceedings

Legislation cited

Subjects

  • confiscation
  • Bihar Prohibition and Excise Act
  • Bihar Prohibition and Excise Rules
  • writ jurisdiction
  • vehicle hypothecation
  • natural justice
  • appeal
  • revision

Judgment

                      IN THE HIGH COURT OF JUDICATURE AT PATNA
                                Civil Writ Jurisdiction Case No.255 of 2026
                 ======================================================
                 Ajit Kumar @ Ajit Ray Son of Ratan Ray, Resident of Ward No. 02, Village
                 and Post- Keota, P.S.- Dalsinghsarai, District- Samastipur, Bihar-848114.

                                                                      ... ... Petitioner
                                              Versus
           1.    The State of Bihar through the Secretary (Prohibition and Excise),
                 Government of Bihar, Patna.
           2.    The Deputy Commissioner Prohibition (Headquarter), Government of Bihar,
                 Patna.
           3.    The District Magistrate-cum-Collector, Gopalganj, District Gopalganj.
           4.    The Deputy Collector Land Reforms, Gopalganj Sadar, District Gopalganj.
           5.    The Superintendent of Police, Gopalganj, District- Gopalganj.
           6.    The Station House Officer, Mahammadpur, P.S.- Mahammadpur, District-
                 Gopalganj.
           7.    Mayank Kumar Son of Sikandar Rai, Village and P.O- Mekra, P.S.-
                 Mokama, District-Patna, Bihar-803221.
           8.    M/s. Cholamandalam Investment and Finance Co. Ltd., office at Dare
                 House, 2 N.S.C. Bose Road, Parrys, P.S.- George Town, District- Chennai,
                 Tamilnadu-600001 and Chowdhury Estate, 55/55/1, Chowringee road, 5th
                 Floor, P.S.-Shakespeare Sarani, District- Kolkata-70001, West Bengal-
                 700071, Both represented through Probir Kumar Sarkar (Power of attorney
                 Holder).

                                                           ... ... Respondents
                 ======================================================
                 Appearance :
                 For the Petitioner     :     Dr. Ranjeet Kumar, Advocate
                                              Mr. Rajnish Prakash, Advocate
                 For the State          :     Mr. Anirban Kundu, Standing Counsel (24)
                 ======================================================
                 CORAM: HONOURABLE MR. JUSTICE RAJEEV RANJAN PRASAD
                         and
                         HONOURABLE JUSTICE SMT. SONI SHRIVASTAVA
                                       ORAL ORDER

                 (Per: HONOURABLE MR. JUSTICE RAJEEV RANJAN PRASAD)

4   12-05-2026                   Heard learned counsel for the petitioner and learned

                   SC-24 for the State.

                                 2. The petitioner in the present writ application is

                   seeking the following reliefs:-
Patna High Court CWJC No.255 of 2026(4) dt.12-05-2026
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                            “(i)   For   setting     aside      the   order    dated
                            15.02.2025 passed on 08.03.2025 (Annexure-
                            P/7) by the learned Deputy Collector Land
                            Reforms, Gopalganj in Excise Confiscation
                            Case No. 62/2024, whereby the Bolero Pick
                            Up     Vehicle     bearing         Registration    No.-
                            BR06GG2479         has      been     confiscated    and
                            direction has been issued to auction the vehicle
                            without taking into consideration of the facts
                            and circumstances of the case, without
                            appreciating the correct position of law and
                            even without considering the specific grounds
                            taken by the petitioner.
                            (ii) For setting aside of the appellat eorder
                            contained in Memo No.-11/Utpad Appeal Vaad
                            Sankhya/86/2025-56            dated        15.07.2025
                            (Annexure-P/9) issued with the signature of
                            Deputy           Commissioner              Prohibition,
                            (Headquarter) Bihar, Patna in Excise Appeal
                            No.-86/2025, whereby the appeal of the
                            petitioner has been dismissed in gross violation
                            of Rule-12A of the Bihar Prohibition and
                            Excise Rules, 2021.
                            (iii) For setting aside the revisional order
                            contained in Memo No.-11/Utpad Punrikshan
                            Vaad Sankhya-25/2025-25 dated 18.09.2025
                            (Annexure-P/11) issued with the signature of
                            Secretary (Prohibition and Excise) Bihar, Patna
                            in Excise Revision Case No.-25/2025, whereby
                            the revision of the petitioner has been rejected
                            in violation of Section 57B of the Bihar
                            Prohibition and Excise Act, 2016 and in
                            violation of Rule 12A of the Bihar Prohibition
Patna High Court CWJC No.255 of 2026(4) dt.12-05-2026
                                            3/6




                            and Excise Rules, 2021 as the petitioner was
                            not involved in the alleged occurrence.
                            (iv) The petitioner further prays that after
                            setting aside the order of confiscation vehicle
                            of the petitioner may be released in his favour
                            as he is not at all responsible for the alleged
                            occurrence.
                            (v) For any other relief/s for which the
                            petitioner may be deemed entitled to.”


                      3. From the averments made in the writ application

          and the submissions made at the Bar, it appears that this

          petitioner is the registered owner of the vehicle in question. He

          had purchased the vehicle with financial assistance from M/s

          Cholamandalam,           a     Non-Banking      Financial     Institution

          (Respondent No. 8). While the vehicle was still under

          hypothecation and the loans were yet to be discharged, the

          petitioner entered into an agreement dated 16.09.2024

          whereunder the petitioner transferred the vehicle to a third party,

          namely, Mayank Kumar. M/s Cholamandalam (Respondent No.

          8) is not a party to the said agreement.

                      4. Later on, the vehicle in question has been allegedly

          found involved in transportation of 693 litres of liquor. A first

          information report being Mahammadpur P.S. Case No. 249 of

          2024 dated 03.11.2024 has been lodged. The petitioner has been

          implicated in this case as owner of the vehicle.
Patna High Court CWJC No.255 of 2026(4) dt.12-05-2026
                                            4/6




                      5. It further appears that a confiscation proceeding

          was initiated under the Bihar Prohibition and Excise Act, 2016

          (as amended up to date) and the rules framed thereunder. The

          Confiscating Authority issued notice to the petitioner who

          appeared and participated in the hearing. The order of

          confiscation has been passed keeping in view the fact that huge

          quantity of liquors were found under transportation through the

          said vehicle. The order of the Confiscating Authority has been

          affirmed in appeal. The Revisional Authority refused to interfere

          with the confiscation order and the appellate order. The order of

          the Revisional Authority passed on 18.09.2025 (Annexure

          ‘P/11’) is under challenge.

                      6. Dr. Ranjeet Kumar, learned counsel for the

          petitioner submits that neither the Confiscating Authority nor

          the subsequent authority under the appeal and revision have

          considered the case of the petitioner, particularly, that he had

          already part with the vehicle in question under agreement dated

          16.09.2024.       It   is   submitted         that   M/s   Cholamandalam

          (Respondent No. 8) has lodged a criminal case against the

          petitioner and the petitioner has lodged a criminal case against

          Mayank Kumar which are still going on.

                      7. On the other hand, learned counsel for the State
Patna High Court CWJC No.255 of 2026(4) dt.12-05-2026
                                            5/6




          submits that the order of confiscation, the appellate order as

          well as the revisional order are in accordance with law. The

          principle of natural justice has been duly followed and the

          petitioner has not shown any jurisdictional error in the orders

          passed by the competent authorities under the Bihar Prohibition

          and Excise Act, 2016 (as amended up to date). In such

          circumstance, it is submitted that this Court may not interfere

          with the impugned orders by substituting its opinion in the place

          of the opinion of the statutory authorities.

                      8. Having regard to the entire facts and circumstances

          of the case, the pleadings available on the record and the

          submissions noted at the Bar, we are of the considered opinion

          that the impugned orders do not suffer from any jurisdictional

          error. The fact is that the vehicle in question was purchased by

          the petitioner under financial assistance and it is said to be under

          hypothecation, in such circumstance, the plea of the petitioner

          that he had entered into an agreement dated 16.09.2024 with one

          Mayank Kumar and that should have been considered by the

          Confiscating Authority does not inspire confidence of this

          Court. Apparently, the plea is totally misconceived as according

          to this Court, such documents which are being prepared to save

          the skin of the petitioner cannot come to his rescue in the
          Patna High Court CWJC No.255 of 2026(4) dt.12-05-2026
                                                      6/6




                    confiscation matter. These are the observations we are making

                    only for purpose of this case. So far as the criminal proceedings

                    are concerned, no part of the observations of this Court shall be

                    utilised in the criminal proceedings.

                                9. We find no perversity with the impugned orders.

                    There being no jurisdictional error with the impugned orders,

                    we decline to exercise our extraordinary writ jurisdiction.

                                10. This writ application is dismissed.



                                         (Rajeev Ranjan Prasad, J)


                                              (Soni Shrivastava, J)
lekhi/-

U


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