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  • Section 16 read with Sections 7 and 2(j) of the Prevention of Food Adulteration Act (Central Act No. 37 of 1954) hereinafter referred
  • Rules 26, 28 and 29 with Rule 30
  • article of food. Rule 28
  • Rule 30 of the Rules
  • Rule 30 and rule 29
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citation codes
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  • Section 16 read with Sections 7 and 2(j) of the Prevention of Food Adulteration Act (Central Act No. 37 of 1954) hereinafter referred
  • Rules 26, 28 and 29 with Rule 30
  • article of food. Rule 28
  • Rule 30 of the Rules
  • Rule 30 and rule 29
Smart Summary

Structured Summary of the Opinion

Factual and Procedural Background

These appeals challenge the judgment and order of the Judicial First Class Magistrate, Visakhapatnam, which directed the acquittal of the accused (the respondent) in three charge-sheets preferred under Section 16 read with Sections 7 and 2(j) of the Prevention of Food Adulteration Act (Central Act No. 37 of 1954).

The prosecution case, in summary, is as follows: on 10-8-1957 a Food Inspector visited the premises of the Markendeya Rice Mill and found 98 bags of Toor dhall. The Inspector purchased three quarters seer from each of three lots. The accused was alleged to be the Managing Partner of Sri Rama Trading Company, a wholesale dealer in pulses, and a partner in the Markendeya Rice Mill; the 98 bags were said to be stocked on those premises for Sri Rama Trading Company. The Inspector observed a bad smell and that the stocks were drenched in water.

Samples were prepared in the presence of mediators; each sample was divided into three parts, placed in bottles and sealed. One bottle from each lot was sent to the Food Analyst, whose report found an artificial water-soluble yellow colouring matter derived from coal-tar (allegedly Tartrazine / F.D.C. Yellow No. 5) in each sample and therefore concluded the samples were misbranded. The accused was prosecuted accordingly.

The Magistrate who tried the cases acquitted the accused on the basis of a construction of subordinate Rules (specifically Rule 30) governing permissible colour limits in food. The State appealed against that acquittal.

Legal Issues Presented

  1. How should Rules 26, 28, 29 and 30 (the Rules framed under the Act) be construed together — in particular, whether Rule 30 (stating a maximum limit of permissible colour of one grain per pound) can be read independently to permit the use of coal-tar dyes in any food not listed in Rule 29.
  2. Whether the accused can be held personally liable under Section 17 (company liability provisions) for an offence allegedly committed by the company — specifically whether the prosecution has established knowledge, consent, connivance or neglect on the part of the accused.
  3. Whether the complaint is valid where the authorisation required by Section 20 was not produced and a Sanitary Inspector (an apparently unauthorised officer) was joined in the complaint.
  4. Whether the presence of the dhall on the premises and the sale of samples to the Food Inspector constitute a "sale" or "possession for sale" under Section 2(xiii) and thus an offence under Section 7, even if the accused lacked knowledge that the food was misbranded.
  5. Whether multiple prosecutions were warranted for samples taken from the same consignment.

Arguments of the Parties

Accused's Arguments (as advanced by Mr. Adavi Ramarao)

  • There was no valid complaint under Section 20 because the authorisation enabling the Food Inspector (Municipal Health Officer) to file the complaint was not produced; further, the complaint signed also named a Sanitary Inspector, who was not authorised and whose inclusion invalidated the complaint.
  • The prosecution against the accused (sued as Managing Partner of Sri Rama Trading Company) was barred by Section 17(2) because the prosecution had not established that the sale was with the consent or connivance of, or due to the neglect of, the accused.
  • The stocks of dhall were not intended for sale nor stored for sale: they were on the mill premises for drying because they were soaked, and the accused had not decided what to do with them pending instructions from the sender — therefore the acts complained of did not amount to storing or sale within the Act.

Public Prosecutor's Arguments

  • Under Section 2(xiii) the definition of "sale" includes having in possession for sale; since the dhall was an article of food and a sample was sold to the Food Inspector and found misbranded, the offence was committed.
  • Implicitly, the prosecution also relied upon the Magistrate's (earlier) construction of Rule 30 to argue that the measured quantity of colour (being under the maximum) did not render the sample misbranded — though this was the ground on which the Magistrate acquitted and which the appellate court later found erroneous.

Table of Precedents Cited

No precedents were cited in the provided opinion.

Court's Reasoning and Analysis

The court proceeded in two principal strands: interpretation of the Rules governing permissible use of colour in food, and assessment of factual and statutory liability of the accused under the Act (including company-liability provisions).

Construction of Rules 26, 28, 29 and 30

  • The Magistrate had construed Rule 30 in isolation, treating it as prescribing a maximum permissible limit of colour (one grain per pound) that could be added to any food and therefore held that Rule 30 need not be read with Rule 29. The Magistrate concluded that because the quantity of colour in the samples was below the Rule 30 maximum, the dhall was not misbranded.
  • The appellate court rejected that approach. It held that Rule 30 must be read with Rules 26, 28 and 29 because Rule 30 refers to the use of "permissible colours as laid down" in those rules. Rules 26 and 28 list permitted natural and certain coal-tar dyes; Rule 29 expressly prohibits the use of permitted synthetic organic colours or coal-tar dyes in or upon any food other than those enumerated in Rule 29.
  • Because dhall is not among the foods enumerated in Rule 29, the court concluded that no coal-tar dye could lawfully be used on dhall, even in an infinitesimal amount. Therefore Rule 30's maximum-limit provision could not be relied upon to permit colouring dhall; Rule 30 does not override or authorise colouring foods excluded by Rule 29.

Validity of the Complaint and Authorisation

  • The court noted that a Sanitary Inspector had joined the complaint and that the authorisation authorising the Municipal Health Officer had not been produced in evidence. The court regarded the inclusion of the Sanitary Inspector as a superfluity because the Municipal Health Officer himself signed and filed the complaint and the authorisation was asserted in the complaint and in the evidence of P.W.1.
  • The court observed that if the accused had seriously questioned the authorisation, he could have sought production of the authorisation at trial; the absence of that step weakened the argument that the complaint was invalid on that ground. Accordingly, the court found little force in this point of attack on the complaint.

Liability under Section 17 (company and persons in charge)

  • The court examined Section 17, which provides that where an offence has been committed by a company, persons in charge of the company's business (including partners, under the Explanation) may be deemed guilty unless they prove the offence occurred without their knowledge or that they exercised due diligence to prevent it; subsection (2) makes persons guilty if the offence was committed with their consent or connivance or attributable to their neglect.
  • The court found there was no evidence that the accused (admittedly the Managing Partner) knew that the 98 bags, which had arrived soaked and damaged the previous day, were misbranded. The necessary element of knowledge, consent or connivance was not established, nor was there evidence of neglect connecting the accused to the sale of misbranded goods.
  • Hence the court concluded the required ingredient to fasten personal liability under Section 17 was absent; it also observed that, on the evidence, it could not even be said that the Company itself had committed the offence.

Factual findings relevant to knowledge and possession for sale

  • The accused's defence, accepted in material respects by the court, was that he had ordered 220 bags; 122 had arrived on 5-8-1957 presumably in good condition, and the remaining 98 arrived on 9-8-1957 soaked and damaged. The accused took open delivery of the damaged bags in the presence of the Station Master to avoid further damage, pending instructions from the sender.
  • Those 98 bags were kept on the premises of the Markendeya Rice Mill (of which the accused was also a partner) for drying; the accused had not decided whether to destroy the stock or return it to the vendor. The Food Inspector admitted that the bags were soaking wet and emitted a bad smell.
  • Given these circumstances, and that the Food Inspector arrived the following day (before the dhall could be dried and its condition fully ascertained by the accused), the court found it impossible to hold that the accused had knowledge that the dhall was misbranded. The accused reasonably believed the later consignment would correspond to the earlier one.

Interpretation of "sale" and purpose of the Act

  • The court acknowledged the Public Prosecutor's reliance on the definition of "sale" in Section 2(xiii) (which includes "having in possession for sale"). However, the court emphasized the object and purport of the Act: to prevent a conscious sale of adulterated or misbranded foodstuffs.
  • The court reasoned that Section 7 (which prohibits storing, selling and distribution of misbranded food) necessarily implies that the prohibited acts must take place with the knowledge that the food is misbranded. If a person innocently believed the goods were genuine, fit for sale and not prohibited, the offence could not be said to have been committed.
  • On the evidence, the court concluded the stage for "storing" had not arrived because the bags were unfit for storage and their fate had not been decided; there was no proof of possession with a view to sell. Thus the court found against the prosecution on this point as well.

Procedural note on multiple prosecutions

  • The court observed it was unnecessary and improper for the Food Inspector to have launched three separate prosecutions in respect of samples taken from the same consignment; such multiplicity could amount to an abuse of process and cause harassment to the accused.

Holding and Implications

CORE RULING: The appeal is dismissed and the acquittal of the accused is confirmed.

Direct effect on the parties: the accused remains acquitted of the charges preferred under the Prevention of Food Adulteration Act in respect of the samples taken from the 98 bags of dhall; the appellate court affirmed that acquittal, for reasons different from those relied upon by the trial Magistrate.

Broader implications: the court's decision rests on (a) a construction of the relevant Rules that requires reading Rules 26, 28 and 29 with Rule 30 (so that Rule 30 cannot be used to permit colouring foods excluded by Rule 29), and (b) factual findings that the accused lacked the requisite knowledge, consent, connivance or neglect to attract liability under Section 17. The opinion does not state that it establishes any binding new precedent beyond its application to the facts of this case. The court also cautioned against multiplicity of prosecutions arising from multiple samples taken from the same consignment.

BD/K.S.B

Disposition: Appeal dismissed.

    Public Prosecutor v. Nelluru Subrahmanyam, Accused .

    1. These appeals are directed against the judgment and order of the Judicial First Class Magistrate, Visakhapatnam directing the acquittal of the respondent, hereinafter referred to as the accused, of the three charge-sheets preferred against him under Section 16 read with Sections 7 and 2(j) of the Prevention of Food Adulteration Act (Central Act No. 37 of 1954) hereinafter referred to as the Act.

    2. The facts of the prosecution case are briefly as follows: On 10-8-1957, the Food Inspector, complainant in the case, proceeded to the premises of the Markendeya Rice Mill and found there a number of bags with Toor Dhall stocked, in all amounting to 98 bags. He wanted that three quarters seer of the redgram contained in these bags be sold to him for Rs. 0-6-6. It is the case of the prosecution that the accused is the Managing Partner of Sri Rama Trading Company which company was a whole-sale dealer in pulses and other food-stuffs, that the accused is also a partner of the Markendeya Rice Mill at Visakhapatnam and that the 98 bags of Dhall have been stocked on the premises of the Markendeya Rice Mill for and on behalf of Sri Rama Trading Company. He noticed that the three lots of bags were emitting bad smell and he could know from the smell that the stocks were drenched in water.

    3. After having purchased the three quarters seer of red gram from each of the lots, the complainant (P.W 1) prepared in the presence of mediators three separate samples and making each sample into three parts, placed them in three bottles, which were duly sealed in the presence of the witnesses. One of the bottles containing the sample from one lot, along with two other bottles similarly containing samples from the other two lots were sent to the Food Analyst, whose report showed that each one of the samples consisting of redgram dhall contained an artificial water-soluble yellow colouring, matter derived from coal-tar and hence the Analyst found that each of the samples sent to him was misbranded. Hence the prosecution.

    4. The learned Judicial First Class Magistrate, who tried the cases acquitted the accused, basing his acquittal on an erroneous view of the construction of Rule 30 of the Rules framed by the Central Government in exercise of the rule-making power conferred under the Act. He took the view that Rule 30 prescribed the maximum limit of permissible colour which may be added to any food as one grain per pound of food.

    5. From this, the learned Magistrate concluded that Rule 30 and rule 29 need not be read together. Rule 29 provides that coal tar dyes or synthetic organic colours within the permissible limits could only be employed in respect of the food stuffs enumerated in the said rule, which list did not include dhall, and concluded that under rule 30 colour may be added to any food. He held that rule 30 is not subordinate to Rule 29, and that, as in this case the quantity of colour that was shown to be contained in the samples of dhall did not amount to the maximum provided in the rule 30, the learned Magistrate held that the samples of dhall in question were not misbranded and on that ground acquitted the accused.

    6. I have no hesitation in holding that the learned Judicial First Class Magistrate was entirely wrong in the view he took of the Rules 29 and 30. In this connection, it is necessary to note that Rule 26 contained a list of natural colouring matters that could be used in-or upon any article of food. We are not concerned with this rule. Rule 27 prohibited the use of any form of inorganic colour or pigments in any article of food. Rule 28 specified the use of coal tar dyes in food and item (e) of this rule, refers to Tartazine (F.D.C Yellow No. 5), which is the colour matter that is alleged by the prosecution to have been used in this case. Rule 29 is as follows:

    “Use of Permitted Synthetic Organic Colours or Coal Tar Dyes Prohibited: Use of permitted Synthetic organic colours or coal tar dyes in or upon-any food other than those enumerated below is prohibited:

    (a) Ice cream including mixed ice-cream

    (b) Dairy products except milk, dahi, butter, ghee, chhana, condensed milk, cream and baby food.

    (c) Smoked fish.

    (d) Egg preparations.

    (e) Sweets including pastry and confectionery.

    (f) Fruit products as per specifications under Fruit Products Order.

    (g) Non-alcoholic beverages except tea, cocoa and coffee”.

    Rule 30 reads as follows: “The maximum limit of permissible colour which may be added to any food shall be one grain per pound of food.’

    7. It is obvious Rule 30 was referring to the use of permissible colours as laid down in Rules 26, 28 and 29. The only correct method to be followed in construing these rules is to read Rules 26, 28 and 29 with Rule 30 and as under Rule 29 dhall is not one of the foodstuffs enumerated therein, no coal tar dye could have been used even to any infinitesimal part in treating dhall. Hence Rule 30 cannot in any way affect the guilt or innocence of the accused in respect of the two sections under which he was prosecuted.

    8. Mr. Adavi Ramarao, the learned counsel for the accused raised the following points:

    1. There was no complaint in this case as required by Section 20 of the Act inasmuch as the authorisation authorising the Food Inspector in this case to file the complaint had not been produced in evidence; and the complaint purports to be signed not only by the Municipal Health Officer, Food Inspector, but also by the Sanitary Inspector, whose designation appears in the cause title to the complaint. As an unauthorised person, namely, Sanitary Inspector, has been impleaded as a party to the complaint, the complaint must be deemed to be invalid.

    2. The prosecution of the accused was barred by Sec. 17(2) of the Act inasmuch as it has not been established that the sale in question was made with the consent or connivance of or through the neglect of the accused, who is being prosecuted as the Managing Director of the Company along with the Company itself.

    3. The stocks of dhall were never intended for sale. They were not even stored. They were lying on the premises of the Markendeya Rice Mill for the purpose of drying up as they were soaked wet and to determine how to deal with them after they are dried up and are in a fit state to be stored.

    9. As regards the first point, it is true that the Sanitary Inspector has joined in the complaint. But this may be regarded as mere superfluity, as he is only a subordinate of the Health Officer, and as the Municipal Health Officer himself signed and filed the complaint as the complainant. It is true that the authorisation authorising the Municipal Health Officer has not been produced.

    10. That the Municipal Health Officer has been so authorised has been stated in the complaint itself and also in the evidence of P.W I. In fact the number of the Municipal council's resolution and the date are also stated in the complaint. If this was not enough and if the accused seriously questioned the authorisation, it was open to him to have sent for the same and satisfy himself and if in fact the Municipal Health Officer was not authorised, nothing could have been easier for the accused than insisting on the prosecution being stopped in its initial stages. I do not consider that there is much force in this point.

    11. As regards the second point, it is not disputed by the learned Public Prosecutor that the prosecution in this case against the accused has been launched in his capacity as the Managing Partner of the Sri Rama Trading Company. That being the case, we have got to look to Section 17 of the Act, which specifically provides for the prosecution of a company and persons in charge of the business of the company, such as the Director, Partner, Secretary and other persons holding similar office.

    12. Section 17 of the Act is as follows:

    “1. Where an offence under this Act has been committed by a company, every person who at the time the offence was committed was in charge of, and was responsible to the company for the conduct of, the business of the Company as well as the Company shall be deemed to be guilty of the offence and shall be liable to be proceeded against and punished accordingly:

    Provided that nothing contained in this sub-section shall render any such person liable to any punishment provided in this Act if he proves that the offence was committed without his knowledge or that he exercised all due diligence to prevent the commission of such offence.

    2. Notwithstanding anything contained in sub-section (1) where an offence under this Act has been committed by a company and it is proved that the offence has been committed with the consent or connivance of, or is attributable to any neglect on the part of, any director, manager, secretary or other officer of the company, such director, manager, secretary or other officer shall also be deemed to be guilty of that offence and shall be liable to be proceeded against and punished accordingly.

    Explanation: For the purposes of this section—

    (a) “company” means any body corporated, and includes a firm or other association of individuals; and

    (b) “director” in relation to a firm means a partner in the firm”.

    It may be seen from the section that where an offence under this Act has been committed by a Company, every person who at the time the offence was committed was in charge of or was responsible to the company, for the conduct of the business of the company, could be also prosecuted for the same offence and shall be deemed to be guilty of the oflence along with the company and shall be liable to be prosecuted and punished accordingly, provided it is established that the offence in question had been committed with the consent and connivance of the said director, manager, secretary or other officer in charge of or responsible to the company, for the conduct of its affairs, or when it is proved that the offence is attributable to any neglect on the part or such director, manager etc.

    13. The explanation to the section makes it clear that the expression ‘director’ includes a partner of a firm who is in charge of the affairs of the firm in question. In this case, there is absolutely no evidence placed to show that the accused, who admittedly was the Managing Director of Sri Rama Trading Company, knew that the stock of dhall in the 98 bags, which had arrived on the previous day in a soaked and damaged condition, was misbranded, and since that necessary element of knowledge has not been shown to have existed, there can be no question of the accused having consented to the sale of misbranded article or connived at that sale; nor is there evidence that through the neglect of the accused such misbranded articles came to be sold as genuine. It is thus clear that the most important ingredient necessary to connect the accused, who was only the managing director of the firm, with the activities of the firm, is lacking. That apart, it cannot even be said on the evidence before me that the Company itself had committed the offence under the Act.

    14. It is the defence of the accused in this case that he had placed an order for 220 bags of dhall with a firm Ganesh Lal Omprakash of Aligarh. Of these, 122 bags had been received by goods on 5-8-1957 presumably in a good state. The remaining 98 bags arrived on 9-8-1957 and as they were found to be in a wet and damaged condition, the accused took open delivery of the bags in the presence of the Station Master, in order that further damage may be avoided and pending the instructions from the sender.

    15. These bags were apparently dumped on the premises of the Markendeya Rice Mills of which the accused was also a partner. It is also the defence of the accused that the order placed by him was for pure special toor dhall and not for the dhall which was polished or coloured. That the bags were damaged and were emitting a bad smell and soaking wet is admitted by the Food Inspector, who inspected these bags.

    16. In these circumstances and as the main plank of the defence is not in dispute, it is impossible to hold that the accused had any knowledge of the condition of the dhall inside the bags. It is true, as contended by the learned Public Prosecutor, that had it been shown that the earlier stocks of 122 bags that were received were also similarly coloured it must have been put to the accused during enquiry whether the subsequent stocks have not been in the same state, in which case there is the possibility to infer that the accused might have the same knowledge that the stock should have been misbranded even in regard to the subsequent consignment of 98 bags. As it is, there is no such evidence.

    17. Therefore it is only reasonable to assume that the accused expected or believed that when the earlier consignment corresponded to the sample, the latter one also would so correspond. In any event, having regard to the conditions in which the stock was received and also having regard to the fact that the Food Inspector came on the scene only on the following day, even before the dhall could be dried and its condition ascertained by the accused, it is impossible to hold that the latter had any knowledge of what the state of the dhall was — whether it was misbranded or otherwise.

    18. It is contended by the learned Public Prosecutor that it is unnecessary to enter into the niceties of the possible interpretation of the various expressions used in the Act in view of the fact that under section 2(xiii), “Sale” means the sale of any article of food, whether for cash or on credit……… for human consumption or use, and includes having in possession for sale of any such article and also an attempt to sell any such article.

    19. From this it is contended that as the dhall in question was an article of food and as it was sold to the food Inspector and as its condition was found to be misbranded, the offence must be said to have been committed. This argument overlooks the, very purport and object of the Act, namely, to prevent a conscious sale of adulterated or misbranded foodstuffs. Section 7 which prohibits the storing and selling and distribution of misbranded food, clearly implies that the selling, storing and distribution must have taken place with the knowledge that the food in question was misbranded. For, if a person innocently believed that it was not misbranded goods that he was selling, but that it was genuine commodity, fit for sale, and not prohibited, the offence could not be said to have been committed.

    20. In this case, it is in evidence that having regard to the bad state of the stocks of the dhall, the accused has not even decided as to what to do with it — whether it should be destroyed or should be returned to his vendor, as unfit for human consumption — and unless it is known affirmatively that the bags were kept in the Markendeya Rice Mills and not on the premises of Sri Rama Trading Company for the purpose of sale and with that object they were stocked there, in my opinion, no offence could be said to have been committed. According to me, the stage has not come for the storing of the bags as they were not in a fit state for storage.

    21. In the view I have taken on the merits of the case, it is unnecessary for me to consider the scope of the expression “sale” used in the definition of section 2(xiii) of the Act, which clearly contemplates that if possession is what is regarded as an offence, that possession must be with a view to sell the article. There is no such evidence in this case.

    22. In the result, I dismiss the appeal and confirm the acquittal of the accused in this case, not on the ground on which the learned Magistrate has done, but for the reasons set out above.

    23. It is completely unnecessary for the Food Inspector to have launched three prosecutions in this case as obviously they relate to one and the same consignment and it could not have been the intention of the legislature that for every sample taken the Food Inspector should launch a separate prosecution. Such attempts to launch multifarious prosecutions might result in an abuse of the process of the law apart from the harassment to the accused involved in doing so.

    BD/K.S.B

    24. Appeal dismissed.

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    Public Prosecutor v. Nelluru Subrahmanyam, Accused .
    (Jul 13, 1959)