- 1 - HC-KAR NC: 2025:KHC-D:11026 CRL.P No. 103138 of 2025 IN THE HIGH COURT OF KARNATAKA, AT DHARWAD DATED THIS THE 29TH DAY OF AUGUST, 2025 BEFORE THE HON'BLE MR. JUSTICE S.VISHWAJITH SHETTY CRIMINAL PETITION NO. 103138 OF 2025 (482(CR.PC)/528(BNSS)) BETWEEN: MR. RAHEED S/O UMARKAYYAM KAZI, AGE. 43 YEARS, OCC. BUSINESS, R/O. C/O. BELAGAVI POLY ORGANIC FERTILIZERS PVT. LTD., 1314, KANBARGI INDUSTRIAL ESTATE, AUTO NAGAR, NEAR TATA POWER PROJECT, TQ. AND DIST. BELAGAVI-590 015. … PETITIONER (BY SRI. S.H. YADAWAD, ADVOCATE) AND: THE STATE OF KARNATAKA, FERTILIZER INSPECTOR AND ASSISTANT AGRICULTURE DIRECTOR, AGRICULTURAL DEPARTMENT, BELAGAVI, REPRESENTED BY SPP, HIGH COURT BUILDING, DHARWAD-580 011. … RESPONDENT (BY SMT. GIRIJA S. HIREMATH, HCGP) THIS CRIMINAL PETITION IS FILED UNDER SECTION 482 OF CR.P.C. (UNDER SECTION 528 OF BNSS), PRAYING TO ALLOW THIS PETITION AND QUASH THE ENTIRE PROCEEDINGS IN C.C. NO.713/2021 PENDING ON THE FILE OF II JMFC BELAGAVI UNDER SECTION 7(I)(A)(II) OF ESSENTIAL COMMODITIES ACT, AGAINST PETITIONER/ACCUSED NO.1 IN THE INTEREST OF JUSTICE. THIS PETITION, COMING ON FOR ADMISSION THIS DAY, ORDER IS MADE THEREIN AS UNDER: RAKESH S HARIHAR Digitally signed by RAKESH S HARIHAR Location: HIGH COURT OF KARNATAKA DHARWAD BENCH - 2 - HC-KAR NC: 2025:KHC-D:11026 CRL.P No. 103138 of 2025 ORAL ORDER (PER: THE HON'BLE MR. JUSTICE S.VISHWAJITH SHETTY) Petitioner is before this Court under Section 482 of Cr.P.C. with a prayer to quash the entire proceedings in CC No.713/2021 pending before the Court of II JMFC, Belagavi registered for the offence punishable under section 7(1)(a)(i) of Essential Commodities Act 1955. 2. Heard the learned counsel for the parties. 3. Learned counsel for the petitioner submits that petitioner who is the owner of the company is being prosecuted for the alleged offence in the absence of the company being made as a party to the impugned proceedings. He submits that in view of Section 10 of the Essential Commodities Act, in the absence of the company being made as a party to the criminal proceedings, the petitioner cannot be prosecuted for the alleged offence. 4. Section 10 of the Essential Commodities Act, 1955, reads as under: - 3 - HC-KAR NC: 2025:KHC-D:11026 CRL.P No. 103138 of 2025 “10. Offences by companies.―(1) If the person contravening an order made under section 3 is a company, every person who, at the time the contravention 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 contravention 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 if he proves that the contravention took place without his knowledge or that he exercised all due diligence to prevent such contravention. (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 corporate, and includes a firm or other association of individuals; and (b) “director” in relation to a firm means a partner in the firm.” 5. A reading of the aforesaid provision of law makes it very clear that, when the offences are alleged to have been committed by a company, the person in-charge of the company and was responsible for the sales of the company - 4 - HC-KAR NC: 2025:KHC-D:11026 CRL.P No. 103138 of 2025 as well as the company shall be deemed to be guilty of the contravention and shall be proceeded against and punished accordingly. Therefore, company of which the accused are employees of office bearers is required to be arraigned as accused in the impugned proceedings and the complaint cannot be proceeded as against the Managing Director, Director or any employee of the company in the absence of the Company being made as a party to the criminal proceedings. In similar circumstances, this Court in Criminal Petition No.200686/2024, disposed of on 28.06.2024, has quashed similar criminal proceedings. 6. Under the circumstances, I am of the opinion that, since the company has not been arraigned as accused in the present case, the criminal proceedings initiated gets vitiated for not complying the requirement of Section 10 of the Act, 1955. Hence, the impugned criminal proceedings cannot be sustained. Accordingly, I pass the following: - 5 - HC-KAR NC: 2025:KHC-D:11026 CRL.P No. 103138 of 2025 ORDER (i) The criminal petition is allowed; (ii) The entire proceeding in CC No.713/2021 pending before the Court of II JMFC, Belagavi registered for the offences punishable under sections 7(1)(a)(i) of Essential Commodities Act 1955, is quashed as against the petitioner herein. (iii) However, this order will not come in the way of the respondent taking action against the petitioner in accordance with law. Sd/- (S.VISHWAJITH SHETTY) JUDGE Vmb CT:BCK LIST NO.: 1 SL NO.: 88