17 October 2011
Supreme Court
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PRINCL.CHIEF CONSERVATOR OF FOREST Vs J.K.JOHNSON .

Bench: R.M. LODHA,JAGDISH SINGH KHEHAR
Case number: C.A. No.-002534-002534 / 2011
Diary number: 12611 / 2010
Advocates: C. K. SUCHARITA Vs JAYANT KUMAR MEHTA


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REPORTABLE

IN THE SUPREME COURT OF INDIA

CIVIL APPELLATE JURISDICTION

CIVIL  APPEAL NO. 2534 OF 2011

Princl. Chief Conservator of Forest & Anr. …. Appellants

Versus

J.K. Johnson & Ors.          ….Respondents

JUDGMENT

R.M. Lodha, J.  

The  significant  and  important  question  raised  in  this  

appeal, by special leave, is : whether a specified  officer empowered  

under  Section  54(1)  of  the  Wild  Life  (Protection)  Act,  1972  as  

amended by the Wild Life (Protection) Amendment Act, 2002 (Act  

16  of  2003)  to  compound  offences  has  power,  competence  and  

authority, on payment of a sum of money by way of composition of  

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the offence by a person who is suspected to have committed offence  

against the Act, to order forfeiture of the seized items?  

2. The above question arises in this way.  In the intervening  

night of July 24/25, 2004,  at the Pothamsettipalli, Cross Roads, the  

vehicles   were  being  checked  by  the  Sub-Inspector  of  Police,  

Kulcharam Police  Station,   District  Medak.   In  the  course  of  the  

checking,   at  2.45 a.m. a jeep bearing Registration No. AP – 12 – D  

703 was also stopped and checked. The said jeep was occupied by  

the present respondent nos. 1, 2 and 3 and two other persons. On  

checking, the Sub-Inspector of Police found one gunny bag tied to  

the front side of the bumper of the jeep. The gunny bag had two  

bags inside; one bag contained a  hunted wild boar and the other  

had  three  rabbits.  The  seizure  panchnama  was  prepared  

immediately at 3.30 a.m. The jeep,  a  battery,  a torchlight,  dead  

animals and two rifles of foreign make fitted with telescope  were  

seized.   The persons (including respondent nos. 1 to 3 who were  

occupying the jeep) were taken into custody and a case (Crime No.  

43 of 2004) was registered against them under Section 9 of the Wild  

Life  (Protection)  Act, 1972 (for short, ‘the 1972 Act’).  The Division  

Forest Officer, Medak was also immediately informed.  

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3. On  July  25,  2004  itself,  the  Divisional  Forest  Officer,  

Medak recorded the statement of respondent nos. 1 to 3 and two  

other  persons.  They  gave  some  explanation  with  regard  to  the  

gunny bag containing wild pig and three rabbits and the rifles in their   

possession  but   stated  that  the  offence  was  done  by  them  in  

ignorance and they were willing to pay money by way of composition  

of the offence.

4. On  August  10,  2004,  the  Conservator  of  Forests,  

Nizamabad  Circle,  Nizamabad  on  the  report  submitted  by  the  

Divisional  Forest  Officer,  Medak  that  the  accused  persons  

(Respondent Nos. 1 to 3) had offered for compounding the offence  

and they were willing  to pay the money by way of composition of the  

offence, ordered that the offence be compounded for Rs. 30,000/-  

under Section 54 of the 1972 Act and  the vehicle and the weapons  

used in committing the offence be forfeited.

5. The  respondent  no.  1  challenged  the  above  order  in  

appeal  before the Principal  Chief  Conservator of  Forests,  Andhra  

Pradesh. The Principal Chief Conservator of Forests  although by  

his  order  dated  October  9,  2004   held  that  appeal  was  not  

maintainable but asked  the Conservator of Forests, Nizamabad to  

reduce the composition fee from Rs. 30,000/- to Rs. 25,000/- .   The  

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respondent no. 1  was asked by the Principal Chief Conservator of  

Forests  to  approach  the  Conservator  of  Forests,  Nizamabad  for  

further action.

6. The Conservator of Forests, Nizamabad then passed a  

fresh order on November 4, 2004 permitting the respondent nos. 1  

to 3 to compound the offence for Rs. 25,000/-.  The seized  items  

viz; vehicle No. AP – 12 – D 703 and two rifles were ordered to  be  

forfeited  to the  state government.  It was also ordered that if the  

offenders fail to pay compounding fee within seven days, necessary  

action against  them for  their  prosecution under Section 51 of  the  

1972 Act  may be taken.

7. The respondent nos. 1, 2 and 3 challenged the above  

three orders insofar as forfeiture of the vehicle and two rifles to the  

state government  was concerned in a writ petition filed under Article  

226 of  the Constitution of  India before the Andhra Pradesh High  

Court.

8. The  Single  Judge  of  the  High  Court,  on  hearing  the  

parties, by his judgment dated March 29, 2005 set aside  the order  

of forfeiture of the vehicle and the two  rifles.  

9. The present appellants—the Principal Chief Conservator  

of Forests, Hyderabad and the Conservator of Forests, Nizamabad –  

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preferred intra-court appeal against the order of the Single Judge.  

The  Division  Bench  of  the  High  Court  dismissed  the  intra-court  

appeal and maintained the order of the Single Judge. This is how  

the present appeal has reached this Court.

10. We heard Mr. R. Sundervardhan, learned senior counsel  

for the appellants and Mr. Jayant Kumar Mehta, learned counsel for  

the contesting respondent nos. 1 to 3.

11. Mr.  R.  Sundervardhan,  learned senior  counsel  for  the  

appellants  invited  our  attention  to  Section  54  of  the  1972  Act,  

particularly sub-section (2) thereof prior to its amendment by Act  16  

of 2003 and the amended Section 54  (2)  whereby  the portion, “the  

property other than Government  property,  if  any,  seized,  shall  be  

released”   has   been omitted  and  submitted  that  the  legislative  

intent was clear that release of seized items was not permissible and  

it was competent for the specified officer empowered to compound  

offences  to  order  forfeiture  of  the  seized  items  to  the  state  

government.  In this regard, learned senior counsel also referred to  

Section 39 (1)(d) of the 1972 Act and submitted that the property  

seized from a person accused of commission of an offence against  

the  1972  Act,  irrespective  of  the  fact  that  offence  has  been  

compounded,  stands  forfeited  and  the  property  becomes  the  

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property of the state government or central government, as the case  

may be.    

12.  Mr.  R.  Sundervardhan,  learned senior  counsel  would  

submit that the Statement of Objects and Reasons of Act 16 of 2003  

leaves no manner  of  doubt  that  one of  the objects  sought  to  be  

achieved  by  the  amendment  was  to  provide  that  the  vehicles,  

vessel,  weapons,  tools  etc.  used  in  committing  compoundable  

offences  are  not  returned  to  the  offenders.   He  argued   that  

legislative intent and policy must be given due regard.  

13. Learned  senior  counsel  for  the  appellants  would  also  

contend that compounding of the offences under Section 54 is not  

during the course of a trial or in the trial of a compoundable offence  

and, therefore, an order of empowered officer in compounding the  

offence  is  not  an  order  of  acquittal;  it  is  plain  and  simple  

departmental  compounding.  He  urged  that  the  effect  of  the  

compounding offences, as provided in  Section 320(8) of the Code  

of Criminal Procedure, 1973, (for short, ‘the Code’)   is not applicable  

to the compounding of offences under Section 54 of the 1972 Act as  

amended by Act  16 of 2003. He also referred to two  decisions  of  

this Court (i)  Sewpujanrai Indrasanrai Ltd. v.  Collector of Customs  

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and Ors.1 to draw distinction between the expressions, “offender”,  

“offence”  and  “confiscation”  and  (ii)  Biswabahan  Das v.  Gopen  

Chandra Hazarika and Ors.2,  particularly,  paragraphs 8, 9 and 13  

thereof. Learned senior counsel, thus,  submitted that the view of the  

High Court in quashing the order of forfeiture of the seized items is  

contrary to the statutory provisions in the 1972 Act as amended by  

Act  16 of 2003.

14. On the other hand, Mr.  Jayant Kumar Mehta, learned  

counsel for respondent nos. 1 to 3 stoutly supported the view of the  

High  Court.  He  submitted  that  Section  54  did  not   expressly  

empower the specified  officer to order  forfeiture of property in the  

event   of  composition  of  the  offence.  He  submitted  that  the  

Statement of Objects and Reasons of  Act 16 of 2003 cannot be  

acted  upon  in  the  absence  of  clear  and  explicit  provision  for  

forfeiture of property in Section 54 of the 1972 Act.  Learned counsel  

submitted that the submission of the learned senior counsel for the  

appellants that  regardless of  composition of  offence,  the property  

seized from a person accused of commission of an offence against  

the 1972 Act stands forfeited under Section 39, if accepted, would  

not  only  result  in  anomaly  but  also  lead  to  vesting  of  unguided,  

1 AIR 1958 SC 845 2 (1967) 1 SCR 447

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arbitrary or unconstitutional power in the hands of the empowered  

officer.   

15. Mr.   Jayant  Kumar  Mehta,  learned  counsel  for  

respondent nos. 1 to 3 argued that the plain language of Section 39  

(1)(d) does not give sanction to an officer empowered  under Section  

54 of the 1972 Act to forfeit  seized  items under the provisions of  

the Act on composition of offence. He submitted that the expression  

used  in  Section  39  (1)(d)  is,  “………  that  has  been  used  for  

committing an offence …………. “  and not, “ ………  is suspected to  

have been used for committing an offence……….”.  

16. Learned counsel for respondent nos. 1 to 3 also referred  

to Section 50, Section 51(2) and Section 53 of the 1972  Act and  

submitted that if the interpretation canvassed by the learned senior  

counsel for  the appellants is accepted, that  would render Section  

50(4),  Section 51(2)  and Section 53 superfluous.  He argued that  

even in cases of  casus omissus,  the court should not supply any  

words  which  are  found  to  be  missing  in  the  enactment.  The  

Statement of Objects and Reasons cannot be read to supplement or  

supplant a statutory provision much less a source of power and in  

any event,  the penal provisions in the 1972 Act are required to be  

construed  strictly.  He  relied  upon the  Full  Bench decision  of  the  

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Madhya Pradesh High Court in the case of Madhukar Rao S/o Malik   

Rao v.  State of M.P. and others3 and the judgment of this Court in  

State of Madhya Pradesh and Others v.  Madhukar Rao4 affirming  

the Full Bench decision of Madhya Pradesh High Court.   He also  

relied  upon  decisions  of  this  Court  in  A.C.  Sharma v.  Delhi   

Administration5;  State of  Maharashtra v.  Marwanjee F. Desai and  

Others6;  Prakash Kumar alias Prakash Bhutto v.  State of Gujarat7;  

Mohd.  Shahabuddin v.  State  of  Bihar  and  others8 and  Mandvi   

Cooperative Bank Limited v. Nimesh B. Thakore9.

17. Mr.  R.  Sundervardhan,  learned  senior  counsel,  in  

rejoinder,   distinguished the decision of  this  Court  in  the case of  

Madhukar Rao4.  He submitted that the issue  in Madhukar Rao4 and  

the issue raised in the present appeal are distinct and even on facts  

the case of  Madhukar Rao4 is distinguishable.   He submitted that  

Section 54 of the 1972 Act as amended by Act 16 of 2003 was not  

under consideration in Madhukar Rao4.  

18. For  a proper consideration of the question raised before  

us as  noted above, it is necessary to read few relevant sections of  

3 2000 (1) MPLJ 289 4  (2008) 14 SCC 624 5  (1973) 1 SCC 726 6  (2002) 2 SCC 318 7  (2005) 2 SCC 409 8  (2010) 4 SCC 653 9  (2010) 3 SCC 83

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the  1972 Act prior to amendment by Act 16 of 2003 and Section 54  

after amendment with effect from April 1, 2003.

19. The 1972 Act was enacted by the Parliament to provide  

for  the  protection  of  wild  animals  and  birds  and  for  matters  

connected  therewith or ancillary or incidental thereto. The Act, inter  

alia, seeks to regulate hunting of wild animals and birds; regulate  

possession,  acquisition  or  transfer  of,  or  trade  in,  wild  animals,  

animal  articles  and  trophies  and  taxidermy  thereof  and  provide  

penalties for contravention of the Act.   Pertinently, the  1972 Act has  

been subjected to extensive amendments from time to time. It has  

been amended by Act 23 of 1982, Act 28 of 1986, Act  44 of 1991,  

Act  26 of 1993 and Act 16 of 2003.  

20. The relevant portion of Section 39 in Chapter V, ‘Trade  

or Commerce in Wild animals, Animal articles and Trophies’ is as  

follows :

“S. 39. Wild animals, etc., to be Government property.—(1)  Every—  

(a), (b), (c)  x x x x x x

(d) vehicle, vessel, weapon, trap or tool that has been  used for committing an offence and has been seized under  the provisions of this Act,

shall be the property of the State Government, and, where  such  animal  is  hunted  in  a  sanctuary  or  National  Park  

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declared by the Central Government, such animal or any  animal article, trophy, uncured trophy or meat derived from  such animal  or any vehicle,  vessel,  weapon,  trap or tool  used in such hunting shall be the property of the Central  Government.  

(2), (3) (a), (b), (c)   x x x x x x”

21. Chapter  VI  deals  with  the  prevention  and  detection  of  

offences.  Section 50 after its amendment by Act 44 of 1991 and Act 16 of  

2003 to the extent it is relevant, reads as follows :

“S.50.  Power  of  entry,  search,  arrest  and  detention.—  (1) Notwithstanding anything contained in any other law for  the time being in force,  the Director  or  any other officer  authorised  by  him  in  this  behalf  or  the  Chief  Wild  Life  Warden or the authorised officer or any Forest Officer or  any Police Officer not below the rank of a sub-inspector,  may, if  he has reasonable grounds for believing that any  person has committed an offence against this Act,—

(a) require any such person to produce for inspection  any  captive  animal,  wild  animal,  animal  article,  meat,  trophy, uncured trophy, specified plant or part or derivative  thereof  in  his  control,  custody  or  possession,  or  any  licence,  permit  or  other  document  granted  to  him  or  required to be kept by him under the provisions of this Act;

(b)  stop  any  vehicle  or  vessel  in  order  to  conduct  search or inquiry or enter upon and search any premises,  land, vehicle or vessel, in the occupation of such person,  and open and search any baggage or other things in his  possession;

(c)  seize  any  captive  animal,  wild  animal,  animal  article,  meat,  trophy  or  uncured trophy,  or  any specified  plant or part or derivative thereof, in respect of which an  offence against this Act appears to have been committed,  in  the possession  of  any person together  with  any trap,  

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tool,  vehicle,  vessel  or  weapon  used for  committing  any  such offence and, unless he is satisfied that such person  will appear and answer any charge which may be preferred  against him, arrest him without warrant, and detain him:

(2)   …………………………………………………………….

(3) It  shall  be lawful  for any of the officers referred to in  sub-section (1) to stop and detain any person, whom he  sees doing any act for which a licence or permit is required  under  the  provisions  of  this  Act,  for  the  purposes  of  requiring such person to produce the licence  or permit and  

if such person fails to produce the licence or permit, as the  case may be, he may be arrested without warrant, unless  he furnishes his name and address, and otherwise satisfies  the  officer  arresting  him  that  he  will  duly  answer  any  summons  or  other  proceedings  which  may  be  taken  against him.

(3A)  Any officer  of  a rank not  inferior  to  that  of  an  Assistant Director of Wild Life Preservation or an Assistant  Conservator  of  Forests,  who,  or  whose subordinate,  has  seized any captive animal or wild animal under clause (c)  of sub-section (1) may give the same for custody on the  execution by any person of a bond for the production of  such animal if and when so required, before the Magistrate  having jurisdiction to try the offence on account of which  the seizure has been made.

          (4) Any person detained, or things seized under the  foregoing  power,  shall  forthwith  be  taken  before  a  Magistrate  to  be  dealt  with  according  to  law  under  intimation  to  the  Chief  Wild  Life  Warden  or  the  officer  authorized by him in this regard.

(5)  to (9)  x x x x x x.

22. The  penalties  are provided in Section 51 of the 1972  

Act.  This  Section too has undergone changes in  1986,  1991 and  

2003. Section 51 has also been amended subsequently by Act 39 of  12

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2006  but  that  is  not  relevant  for  our  purpose.  Sub-section  (2)  of  

Section 51 reads as under:  

“S. 51. Penalties.—

(1), (1A), (1B) x x x x x x   

(2)  When  any  person  is  convicted  of  an  offence  against this Act, the court trying the offence may order that  any  captive  animal,  wild  animal,  animal  article,  trophy,  uncured trophy, meat, ivory imported into India or an article  made  from  such  ivory,  any  specified  plant,  or  part  or  derivative thereof in respect of which the offence has been  committed, and any trap, tool, vehicle, vessel or weapon,  used in the commission of the said offence be forfeited to  the State Government and that any licence or permit, held  by  such  person  under  the  provisions  of  this  Act,  be  cancelled.

(3), (4), (5)  x x x x x x  

23. Section 54,  prior to amendment by Act 16 of 2003, read  

as under :

“S.  54.   Power  to  compound  offences.—(1)  The  Central  Government  may,  by  notification,  empower  the  Director of Wild Life Preservation or any other officer and  the State Government  may,  by notification,  empower  the  Chief Wild Life Warden or any officer of a rank not inferior  to that of a Deputy Conservator of Forests,—

(a) to  accept,  from  any  person  against  whom  a  reasonable  suspicion  exists  that  he  has  committed  an  offence against  this Act, payment of a sum of money by  way of  composition of  the offence which such person is  suspected to have committed; and

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(b) when any property has been seized as liable to  be forfeited, to release the same on payment of the value  thereof as estimated by such officer.

(2) On  payment  of  such  sum of  money  or  such  value,  or  both,  as the case may be,  to such officer,  the  suspected person, if in custody, shall be discharged, and  the  property,  other  than  Government  property,  if  any,  seized,   shall  be released and no further proceedings in  respect of the offence shall be taken against such person.

(3) The  officer  compounding  any  offence  may  order  the  cancellation  of  any  licence  or  permit  granted  under this Act to the offender, or if not empowered to do  so,  may  approach  an  officer  so  empowered,  for  the  cancellation of such licence or permit.

(4) The sum of money accepted or agreed to be  accepted as composition under clause (b) of sub-section  (1)  shall  in  no  case,  exceed  the  sum  of  two  thousand  rupees:

Provided that no offence, for which a minimum period  of imprisonment has been prescribed in sub-section (1) of  section 51, shall be compounded.”   

24. After amendment by Act 16 of 2003, Section 54 reads as  

follows :

“S.  54.  Power  to  compound  offences.—(1)  The  Central  Government may, by notification, empower the Director of  Wild Life Preservation or any other officer not below the  rank of Assistant Director of Wild Life Preservation and in  the  case  of  a  State  Government  in  the  similar  manner,  empower  the Chief  Wild Life Warden or any officer  of  a  rank  not  below  the  rank  of  a  Deputy  Conservator  of  Forests,  to  accept  from  any  person  against  whom  a  reasonable  suspicion  exists  that  he  has  committed  an  offence against  this Act, payment of a sum of money by  way of  composition of  the offence which such person is  suspected to have committed.

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(2)  On  payment  of  such  sum  of  money  to  such  officer,  the  suspected  person,  if  in  custody,  shall  be  discharged,  and no further proceedings in respect of the  offence shall be taken against such person.

(3) The officer compounding any offence may order  the cancellation of any licence or permit granted under this  Act  to  the offender,  or  if  not  empowered  to  do  so,  may  approach an officer so empowered, for the cancellation of  such licence or permit.  

(4)  The  sum  of  money  accepted  or  agreed  to  be  accepted as composition under sub-section (1) shall, in no  case, exceed the sum of twenty-five thousand rupees:

Provided that no offence, for which a minimum period  of imprisonment has been prescribed  in section 51, shall  be compounded.”

25. Chapter VI-A has been inserted in  the 1972 Act by Act 16  

of  2003.   This  chapter  makes  provision  for   forfeiture  of  property  

derived from illegal hunting and trade.  The applicability of  Chapter  

VI-A  is  provided  in  Section  58  A.    This  Chapter  is,  accordingly,  

applicable to (a) every person who has been convicted of an offence  

punishable under the Act with imprisonment for a term of three years  

or more; (b) every associate of a person referred to in clause  (a) and  

(c) any holder of any property which was at any time held by a person  

referred to in clause (a) or clause (b) unless the present holder or, as  

the case may be, anyone who held such property after such person  

and before the present holder, is or was transferee in good faith for  

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26. The Statement of Objects and Reasons (Act 16 of 2003)  

annexed with Wild Life (Protection) Amendment Bill, 2002,  in clause  

(xvi), proposed,  “to provide that the vehicles, weapons and tools, etc.  

used in committing compoundable offences are not to be returned to  

the offenders”.

27. In the backdrop of the above scheme of law, we have to  

consider  the  correctness  of  the  view  of  the  High  Court  and  the  

question of law raised in the appeal.

28. One thing is  clear  that  the statutory  provisions noticed  

above do not in explicit terms provide for the forfeiture of the seized  

items by the departmental authorities from a person who is suspected  

to  have  committed  offence/s  against  the  1972  Act.  Chapter  VI-A  

which  has  been inserted  in  the 1972 Act  by  Act  16  of  2003 that  

provides  for  forfeiture  of  property  derived  from illegal  hunting  and  

trade  is   entirely  different  provision  and  has  nothing  to  do  with  

forfeiture  of  the  property  seized  from  a  person  accused  of  

commission of offence against the 1972 Act.  Insofar as Section 39(1)

(d)  of  the  1972 Act  is  concerned,  it  provides  that   every  vehicle,  

vessel, weapon, trap or tool that has been used for committing an  

offence and has been seized under the provisions of the Act shall be  

the property of the state government and in a certain situation, the  

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property of the central government.  The key words in Clause (d) of  

Section 39(1) are, “..... has been used for committing an offence . .. .”.  

What is the meaning of these words? The kind of absolute vesting of  

the seized property in the state government,  on mere suspicion of an  

offence  committed  against  the  1972  Act,  could  not  have  been  

intended by the Parliament.  It  is not even scarcely  disputed that  

every  enactment   in  the  country  must  be   in  conformity  with  our  

Constitution. In this view, it is not sufficient  –  nor the law-makers  

intended to make  it  – to deprive a person of the property seized  

under the 1972 Act on accusation that such property has been used  

for committing an offence against the Act. Section 39(1)(d) does not  

get  attracted  where  the  items,  suspected   to  have  been used for  

committing an offence, are seized under the provisions of the Act. It  

seems to us that it is implicit in Section 39(1)(d) that for this provision  

to  come  into  play   there  has  to  be  a  categorical  finding  by  the  

competent  court  of  law  about  the   use  of  seized  items  such  as  

vehicle, weapon, etc. for commission of the offence.  There is  merit  

in the submission of the learned counsel for the respondent nos. 1 to  

3  that  if  the  construction  put  upon  Section  39(1)(d)  by  Mr.  R.  

Sundervardhan   is  accepted,  the  expression  ‘has  been  used  for  

committing  an  offence’   occurring  therein  has  to  be  read  as,  ‘is  

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suspected to have been used for committing an offence’.  In our view,  

this cannot be done.   

29. Section 51(2) of the 1972 Act provides for  forfeiture of  

the property on conviction;  it says, inter-alia,   that when any person  

is convicted of an offence against the Act,  the court trying the offence  

may order  that  any captive animal,  wild  animal,  etc.  in  respect  of  

which the offence has been committed and any vehicle,  vessel  or  

weapon etc. used in the commission of the said offence be forfeited  

to the state government.  

30. ‘Forfeiture’  and  ‘seizure’  have  different  meaning  and  

connotation in  law.   In  ‘The Law Lexicon’  by P.  Ramanatha Aiyer  

[2nd edition (Reprint 2000)], ‘forfeiture’ is defined as the divestiture of  

specific  property  without  compensation  in  consequence  of  some  

default  or  act  forbidden  by  law.   The  word  ‘forfeit’  is  defined  in  

Concise  Oxford  English  Dictionary  (Tenth  Edition):  ‘lose  or  be  

deprived  of  (property  or  a  right  or  privilege)  as  a  penalty  for  

wrongdoing’. In  R.S. Joshi etc. v. Ajit Mills Ltd & Anr.10., this Court  

speaking  through  Krishna  Iyer,  J.,  with  reference  to  expression  

‘forfeiture’ occurring in Section 37 (1) of the Bombay Sales Tax Act,  

said, “this word 'forfeiture’ must bears the same meaning of a  penalty  

10 AIR 1977 SC 2279 18

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for  breach of  a prohibitory direction”.    While  construing the word  

‘forfeiture’   with  reference to Sections 431 and 432 of  the Bengal  

Municipal Act (15 of 1932),   this Court stated  in the case of  The  

Chairman of  the Bankura Municipality  v.  Lalji  Raja  & sons11  that  

unless the loss or deprivation of the goods is by way of a penalty or  

punishment  for a crime, offence or breach of engagement,  it  would  

not come within the definition of forfeiture.   However, in light of the  

provisions  under  consideration,  the  Court  held  that  forfeiture  of  

property was not one of the penalties or punishments for any of the  

offences  under  that  Act.  ‘Seizure’  on  the  other  hand  is  generally  

understood to mean a forcible taking possession.  In law, seizure is  

the taking possession of property by an officer under legal process.  

Seizure of property under legal process is a temporary measure.   It  

is temporary interference with the right to hold the property.  Seizure  

under legal process is usually followed by confiscation or forfeiture or  

disposal in accordance with the provisions under which seizure has  

been made or the property is returned to the person from whom it has  

been  seized  or  to  the  lawful  claimant  to  such  property.     While  

Section 39(1)(d)  provides that  seized property under the 1972 Act  

used for  commission of  the offence/s against  the Act  shall  be the  

11 AIR 1953 SC 248 19

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property of the state government or the central government as the  

case may be, the other provisions like Section 51(2) and Chapter VI-

A provide for forfeiture of the property in certain situations. However,  

for  the  seized property  used  for  commission  of  offence  to  be  the  

property of  the state government  or  the central  government  under  

Section 39(1)(d), in our view, offence against the Act has to be legally  

ascertained and adjudicated by a competent court of jurisdiction.  

31. In Madhukar Rao4, albeit,  the question was little different  

but this Court considered the ambit and scope of Section 39(1)(d).  

That  matter  reached this  Court  from a Full  Bench decision of  the  

Madhya Pradesh High Court. The question before the Full Bench was  

whether  as  a  result  of  deletion  of  sub-section  (2)  of  Section  50  

withdrawing  power of interim release, there existed any power with  

the authorities under the 1972 Act or the Code  to release the vehicle  

used in the course of alleged commission of  offence under the Act.  

The Full  Bench of  the High Court held that any property including  

vehicle seized on accusation or suspicion of commission of offence  

under the 1972 Act can be released by the Magistrate pending trial in  

accordance with Section 50(4) read with Section 451 of the Code.  

The Full Bench also held that mere seizure of any property including  

vehicle on the charge of commission of offence would not make the  

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property to be of the State Government under Section 39(1)(d) of the  

1972 Act. Against the decision of the Full Bench, the State of Madhya  

Pradesh preferred special leave petition in which leave was granted.  

This  Court  extensively  considered  the  statutory  provisions  and  

approved the view of the Full Bench of the High Court that deletion of  

sub-section (2) and its replacment by sub-section (3)(A) in Section 50  

of the 1972 Act had no effect on the powers of the Court  to release  

the seized vehicle during the pendency of trial under the provisions of  

the  Code.  While  dealing  with  Section  39(1)(d),  this  Court  also  

approved the view of the Full Bench of the High Court that Section  

39(1)(d)  would  come  into  play  only  after  a  court  of  competent  

jurisdiction found that accusation and allegations made against the  

accused were true and recorded the finding that the seized article  

was,  as a matter  of  fact,  used in the commission of  offence. This  

Court said :

“  ……… .  Any attempt to operationalise Section 39(1)(d)  of  the  Act  merely  on  the  basis  of  seizure  and  accusations/allegations  levelled  by  the  departmental  authorities would bring it into conflict with the constitutional  provisions  and  would  render  it  unconstitutional  and  invalid……….”

   

32. We are in complete agreement with the view of this Court  

in  Madhukar  Rao4  that  on  the  basis  of  seizure  and  mere  

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accusations/allegations, Section 39(1)(d) of the 1972 Act cannot be  

allowed  to  operate  and  if  it  is  so  done,  it  would  be  hit  by  the  

constitutional provisions.

33. Now, we have to see whether Section 54(2) of the 1972  

Act, after its amendment by Act 16 of 2003,  empowers the specified  

officer to order forfeiture of the property,  in respect of the offences  

against the Act suspected to have been committed by such person,  

on  composition  of  such  offence.   In  other  words,  whether  in  the  

absence of any specific provision in Section 54(2) that the property  

seized  shall  be  released,  the  specified  officer  empowered  to  

compound offences  is  authorized  to  order  forfeiture  of  the  seized  

property and not return the property to the person from whom it has  

been seized.   

34. Mr.  R.  Sundervardhan,  learned  senior  counsel  for  the  

appellants was right in contending that the composition of the offence  

under Section 54 of the 1972 Act is not during the course of trial or in  

the trial of a compoundable offence. He is also right in his submission  

that compounding under Section 54 is a departmental compounding  

and does not amount to an acquittal.  But then, what is the sequitar?  

What is the effect of such departmental composition of offence under  

Section 54(1) of the 1972 Act?  

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35. The observations made by this Court in Biswabahan Das2  

may  be useful  in  order  to  understand the effect  of  compounding  

offence/s.  That was a case in which this Court was concerned with  

the provision for composition of forest offence under Assam Forest  

Regulation, 1891  –  a provision quite similar to Section 54 of the  

1972 Act prior to amendment by Act 16 of 2003.  This Court said:  

“………It must be borne in mind that although the marginal  note  to  s.  62  of  the  Assam  Regulation  is  “power  to  compound offences” the word “compounding” is not used in  sub-s.  (1)  clause (a)  of  that  section.  That  provision only  empowers  a  forest  officer  to  accept  compensation  for  a  forest  offence  from  a  person  suspected  of  having  committed  it.  The person  so suspected  can avoid  being  proceeded with for the offence by rendering compensation.  He may think that he was being unjustly suspected of an  offence and he ought to defend himself or he may consider  it prudent on his part to pay such compensation in order to  avoid the harassment of a prosecution even when he is of  the  view  that  he  had  not  committed  the  offence.  By  adopting  the  latter  course  he  does  not  remove  the  suspicion of having committed the offence unless he is to  have such benefit conferred on him by some provision of  law. In effect the payment of compensation amounts to his  acceptance of the truth of the charge against him. Sub-s.  (2)  of  s.  62  only  protects  him  with  regard  to  further  proceedings, but has not the effect of clearing his character  or vindicating his conduct.”      

36. There may be myriad reasons,  for a person, suspected of  

commission of  offence, to apply for composition of the offence.  What  

is   important  is  not  the reason for  composition of  offence but  the  

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effect of composition.  The effect of composition of offence has to be  

found in the statute itself.   Section 54(2)  provides that on payment of  

money to the empowered officer, the suspected person, if in custody,  

shall  be  discharged  and  no  further  proceedings  in  respect  of  the  

offence shall be taken against such person. In terms of sub-section  

(2)  of  Section  54,  therefore,  on  composition  of  the  offence,  the  

suspected person is saved from criminal prosecution,  and from being  

subjected to further proceedings  in respect of the offence.  

37. Section 54(2)  of the 1972 Act, prior to the amendment by  

Act 16 of 2003, authorized  the empowered officer, on payment of  

value of the property liable to be forfeited, to release  the  seized  

property,    other  than  the  government  property.   The  provision  

underwent changes w.e.f. April 1, 2003 and the provision for release  

of the seized property has been deleted. Does the provision in new  

Section 54(2) authorize the empowered officer to order forfeiture of  

the seized property to the state government?  We think not. In the  

first place, by deletion of such expression, it cannot be said that the  

Parliament intended to confer power on the specified  officer to order  

forfeiture  of  the seized  property  which  is  nothing  but  one  form of  

penalty in the context of the 1972 Act.   Had the Parliament intended  

to do so, it  would have made an express provision in that regard.  

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Such  conferment  of  power  of  penalty  upon  the  specified  officer  

cannot be read by implication in Section 54(2). Secondly,  any  power  

of forfeiture conferred upon Executive authority merely on suspicion  

or  accusation  may  amount  to  depriving  a  person  of  his  property  

without  authority  of  law.  Such  power  cannot  be  readily  read   by  

relying on the Statement of Objects and Reasons  (Act 16 of 2003)  

without any express provision in the statute.   

38. Way back in 1960, this Court in The Central Bank of India  

& Ors. v. Their Workmen, etc.12 said that  the Statement of Objects  

and Reasons is not admissible  for construing the section,  far less  

can it  control the actual words used. It has been reiterated by this  

Court time and again  that the reference to the Statement of Objects  

and Reasons is for understanding the enactment  and the purpose is  

to  ascertain  the  conditions  prevailing  at  the  time  the  Bill  was  

introduced and the objects sought to be achieved by the proposed  

amendment; the Statement of Objects and Reasons is not ordinarily  

used to determine the true meaning of the substantive provisions of  

the statute.  As an aid to the construction of a statute, the Statement  

of  Objects  and  Reasons  appended  to  the  Bill,  ordinarily  must  be  

avoided.  

12  AIR 1960  SC 12 25

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39. It  is  true  that  by  Act  16  of  2003,  the  Parliament  has  

consciously  deleted   from  Section  54  the  provision  concerning  

release of seized property liable to be forfeited on payment of value  

of such property but the plain language that is retained in Section 54  

(2) after amendment which reads, ‘on payment of such sum of money  

to  such  officer,  the  suspected  person,  if  in  custody,  shall  be  

discharged and no further proceedings in respect of the offence shall  

be taken against  such person’ does not show that  the Legislature  

intended to empower the specified officer under Section 54 to forfeit  

the seized property used  by the suspected person in commission of  

offence against the Act.    There is no replacement of the deleted  

words by any express provision.    Section 54 substituted by Act  16  

of 2003 does not speak of seized property at all – neither its return  

nor its forfeiture – while providing for composition of offence.  The  

property seized under Section 50(1)(c )   and Section 50(3A) has to  

be dealt with by the Magistrate according to law.  This is made clear  

by Section 50(4)  which  provides that  things seized shall  be taken  

before a Magistrate to be dealt with according to law.  Section 54  

substituted by Act 16 of 2003 does not empower the specified officer  

to deal with the seized property.  In this view of the matter, we  are  

unable to accept the submission of the learned senior counsel for the  

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appellants that a comparative reading of pre-amended Section 54(2)  

and  Section  54  (2)  as  substituted  by  Act  16  of  2003  makes  the  

legislative  intent  clear  that  seized  articles  shall  be  forfeited  on  

composition of the offence under the 1972 Act.   When the language  

of the statutory provision is plain and clear no external aid is required  

and the legislative intention has to be gathered from the language  

employed.  In our view, neither Section 54(2) of the 1972 Act by itself  

nor Section 54(2) read with Section 39(1)(d) or any other provision of  

the 1972 Act empowers and authorizes the specified officer under  

Section 54, on composition of the offence,  to  deal with the seized  

property much less order forfeiture of the seized property used by the  

person suspected of commission of offence  against the Act.   

40. In view of the above, the order passed by the Conservator  

of Forests, Nizamabad for forfeiture of the vehicle and two rifles to the  

state  government  is  de  hors the  provisions  of  the  1972  Act  and  

unsustainable.   The  High  Court  has  rightly  set  aside  such  illegal  

order. However, the Single Judge was not right in his order dated  

March  29,  2005  in  directing  the  respondents  therein  (present  

appellants) to release the vehicle and rifles.  The Division Bench also  

erred in maintaining the above direction.  Since the items were seized  

in exercise of the power under Section 50(1)( c), the seized property  

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has to be dealt  with by the Magistrate under Section 50(4) of  the  

1972 Act.  The respondent nos. 1 to 3 must accordingly apply to the  

concerned Magistrate for the return of seized items who obviously will  

consider such application according to law.  

41. We hold, as we must, that a specified officer empowered  

under Section 54(1) of the 1972 Act as substituted by Act 16 of 2003  

to compound offences,  has no power, competence or authority to  

order forfeiture of the seized items on  composition of the offence by  

a person who is suspected to have committed offence against the  

Act.  Our  answer  to  the  question  framed  at  the  outset  is  in  the  

negative.

42. The  appeal  is  disposed of  as  indicated  above with  no  

order as to costs.

………………………J (R.M. LODHA)   

               ….…………………………….J.        (JAGDISH SINGH KHEHAR )

NEW DELHI OCTOBER 17, 2011.                         

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