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TMI Blog2022 (2) TMI 557X X X X Extracts X X X X X X X X Extracts X X X X ..... unsel for the opposite party has placed reliance on a decision of the Apex Court in the case of ADALAT PRASAD VERSUS ROOPLAL JINDAL OTHERS [ 2004 (8) TMI 647 - SUPREME COURT] reported in (2004) 29 OCR (SC) 264 which does not apply to the fact situation of the present case. Similarly, the case of STATE OF KARNATAKA VERSUS SIR JANAKUSA JEEVANSA BAKALE [ 1999 (4) TMI 85 - SC ORDER] cited by the opposite party which affirms the legality of institution of a criminal proceeding during pendency of confiscation proceeding, is not applicable to the case at hand, inasmuch as here the challenge is not to the launching of the criminal prosecution. Regard being had to the position of law and in the facts and circumstances involved in the case at ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... titioners indulged in suppression of manufacture of Vanaspati and clandestine removal thereof in the guise of various refined oil products in contravention of different rules of Central Excise Rules, 1944 with intent to evade payment of Central Excise duty. It is further averred in the complaint that the Commissioner of Central Excise Customs, Bhubaneswar, i.e., the Adjudicatory Authority vide his order dated 23.12.1999 passed in Proceeding No.1/9 (CE)/99 was satisfied that the evasion of the Central Excise duty was to the tune of ₹ 2,46,93,445/- by way of fraud, willful suppression of facts, manipulation of documents etc. and that it was a fit case for launching of a prosecution against the petitioners under the Central Excise Act, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... et of facts or allegations, continuance of the proceeding of the complaint case would be an abuse of the process of the Court in the event of exoneration of the petitioners from the allegations in the adjudication proceeding. His further contention is that continuance of the criminal proceeding during pendency of the departmental enquiry / adjudication proceeding is also likely to throw up an absurd and unjust result in the event the departmental proceedings culminate with quashment of the demand raised against the petitioners leading to their exoneration from the charge of contravention of the provisions of law. 6. On the other hand, the learned counsel appearing for the opposite party submits, inter-alia, that the petitioners having ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rticle 20(2) of the Constitution or Section 300 of the Code of Criminal Procedure. (vi) The finding in the adjudication proceeding in favour of the person facing trial for identical violation will depend upon the nature of finding. If the exoneration in adjudication proceeding is on technical ground and not on merit, prosecution may continue; and (vii) In case of exoneration, however, on merits where allegation is found to be not sustainable at all and person held innocent, criminal prosecution on the same set of facts and circumstances cannot be allowed to continue, underlying principle being the higher standard of proof in criminal cases. 39. In our opinion, therefore, the yardstick would be to judge as to whether allegation in t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rned shall be an abuse of the process of the court. On the basis of the aforesaid principles, the majority proceeded to analyse the factual matrix and analysed the finding recorded by the adjudicating authority and opined when there is a finding by the Enforcement Directorate in the adjudication proceeding that there is no contravention of any of the provisions of the Act, it would be unjust and an abuse of the process of the court to permit the Enforcement Directorate to continue with the criminal prosecution. 18. We respectfully concur with the said view and do not perceive any reason to disagree with the same and refer the pronouncement in Radheshyam Kejriwal for reconsideration by the larger Bench. 9. Thus, as per the settled ..... X X X X Extracts X X X X X X X X Extracts X X X X
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