Smt. Priya Rally vs The State Of Madhya Pradesh on 31 July, 2026

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    Madhya Pradesh High Court

    Smt. Priya Rally vs The State Of Madhya Pradesh on 31 July, 2026

    Author: Milind Ramesh Phadke

    Bench: Milind Ramesh Phadke

               NEUTRAL CITATION NO. 2026:MPHC-GWL:23109
    
    
    
    
                                                                1                             WP-29234-2026
                                IN     THE      HIGH COURT OF MADHYA PRADESH
                                                      AT GWALIOR
                                                          BEFORE
                                        HON'BLE SHRI JUSTICE MILIND RAMESH PHADKE
                                                      ON THE 31st OF JULY, 2026
                                                  WRIT PETITION No. 29234 of 2026
                                                    SMT. PRIYA RALLY
                                                          Versus
                                        THE STATE OF MADHYA PRADESH AND OTHERS
                             Appearance:
                                     Shri M.P.S. Raghuwanshi - Senior Advocate alongwith Shri Vineet -
    
                             Advocate for the petitioner.
                                     Shri Sohit Mishra - GA for the respondents/State.
    
                                                                    ORDER
    

    The instant petition under Article 226 of the Constitution of India has
    been preferred assailing the order dated 16.12.2025 passed by the
    Collector/District Magistrate, Gwalior, whereby the firearm licence bearing
    No.746/2021 of the petitioner was suspended till the decision of the criminal
    case registered against her.

    2. Learned counsel appearing for the petitioner submits that the

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    impugned order has been passed in complete disregard of the provisions
    contained under Section 17(3) of the Arms Act, 1959. It is submitted that the
    licensing authority is empowered to suspend an arms licence only when any
    of the contingencies mentioned under the said provision exist. According to
    learned counsel, the only ground which could have been invoked in the
    present case is Section 17(3)(b) of the Arms Act, 1959, namely, that such

    Signature Not Verified
    Signed by: NEETU
    SHASHANK
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    2 WP-29234-2026
    suspension is necessary for the security of public peace or for public safety.

    3. It is contended that the District Magistrate has not recorded any
    finding regarding the existence of any threat to public peace or public safety.
    The order has been passed only on account of registration of an FIR against
    the petitioner and there is no allegation that the licensed firearm was ever
    used, displayed or misused by the petitioner in connection with the alleged
    offence. It is further submitted that the dispute involved in the criminal case
    is essentially arising out of business transactions and this Court, while
    considering the application for anticipatory bail, has already noticed the civil
    nature of the dispute.

    4. Learned counsel for the petitioner further submits that the order
    impugned is also contrary to the settled legal position that mere registration

    or pendency of a criminal case cannot be a ground for suspension of an arms
    licence unless the licensing authority records a satisfaction that continuance
    of such licence is detrimental to public peace or public safety. In support of
    his submissions, learned counsel has placed reliance upon the judgments of
    this Court in the cases of Abdul Saleem Vs. State of M.P. and Others
    reported in 2019 (3) MPLJ 332 and Gajendra Singh Vs. State of M.P. and
    Others
    reported in 2020 (2) MPLJ 441 .

    5. Learned counsel appearing for the State opposed the prayer and
    submitted that considering the registration of the criminal case against the
    petitioner, the District Magistrate was justified in suspending the arms
    licence and no interference is called for.

    6. Heard learned counsel for the parties and perused the material

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    available on record.

    7. In the matter of Abdul Saleem (supra), while considering the scope
    of Section 17 of the Arms Act, 1959, this Court had held in paragraphs 17 to
    23 as under:-

    17. A Full Bench (consists of three Judges) of Allahabad High Court in the case of Changga
    Prasad Sahu vs. State of U. P.
    (supra) in the context of applicability of the provision of section 17
    of the Act with respect to recording satisfaction and to explain the object of enquiry has held as
    under:–

    15. The object of the enquiry that a licensing authority may, while proceeding to consider
    the question as to whether or not an arms licence should be revoked or suspended, like to
    make, clearly is to enable the licensing authority to come to a conclusion as to whether or
    not the facts stated in clauses (a) to (e) of section 17(3) exist and as already explained it is
    not obliged to before considering that a case for revocation/ suspension of licence has
    been made out, associate the licensee in such enquiry. In this view of the matter it can
    safely be taken that where a licensing authority embarks upon such an enquiry it is, till
    then, not convinced about existence of the conditions mentioned in clauses (a) to (e) of
    section 17(3) of the Act. So long as it is not so convinced no case to make an order either
    revoking or suspending an arms licence as contemplated by the section will be made out.

    18. The said case of Changga Prasad Sahu vs. State of U. P. (supra) has been reconsidered by
    Five Judges’ Bench of Allahabad High Court in Rana Pratap Singh vs. State of U. P., reported in
    1996 All LJ 301 :–

    19. The scheme of the Act i.e. section 17 itself contemplated suspension or revocation on
    two independent counts; when challenge is made to suspension directed by the licensing
    authority; the ground for suspension is to be scrutinised to find out as to whether it falls
    under the scheme of section 17(3) or not. The action of suspension if found justified and
    in accordance with the provisions of section 17(3) its affect and validity shall not be
    denuded only because the licensing authority wants to give an opportunity before
    cancelling the licence. As laid down by all the Full Benches the revocation order can be
    made if satisfaction is recorded under section 17(3) without giving an opportunity to the
    licensee.However, five Judge Full Bench in Kailash vs. State of U. P. case AIR 1985 All
    291 (supra) has observed that finality to such revocation be not attached unless the
    licensee is given an opportunity to represent against such revocation. Although power is
    given to revoke a licence on being satisfied with the grounds under section 17(3) but in a
    case where licensing authority wanted to give an opportunity before passing the
    revocation order, the said action cannot denude the jurisdiction and power of the licensing
    authority to suspend the licence. Each case has to be examined from the orders passed by
    the licensing authority to test it whether the suspension has been ordered without forming
    requisite opinion or the authority has not formed opinion and wanted to enquire before
    forming opinion, as noted above, if the authority has not formed a definite opinion and is
    in process of enquiry to come to a definite conclusion suspension cannot be ordered.

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    However, if the opinion is recorded and there is already material, suspension of arm
    licence cannot be faulted with.

    19. In the case of Ganesh Chandra Bhatt vs. District Magistrate, Almora (supra), the Allahabad
    High Court has considered the issue of grant of licence in the context of provision of section 14
    of the Act. However, the said case can only be relevant in the context of meaning of the phrase
    “public peace and public safety” otherwise the power of grant of licence and its revocation are in
    contradistinction to each other.

    20. In the case of Ajay Jayawant Bhosale vs. Commissioner of Police, Pune City, Pune and others
    (supra), the Division Bench of Bombay High Court has considered the question of cancellation of
    arm licence and held as under:–

    12. The question, therefore, arises as to whether there was sufficient material placed
    before the Commissioner of Police for arriving at subjective satisfaction that continuation
    of licence or renewal would be endangering public peace or public safety. It seems that
    the show-cause notice was issued by the Commissioner, Pune consequent to filing of
    application by the petitioner to the Home Department of the State Government for getting
    all India arms licence. Nevertheless at any stage the licensing authority after getting
    subjectively satisfied and on the basis of material placed before it could revoke licence
    under section 17 of the Act but whether there was sufficient material with the licensing
    authority to pass order of revocation.

    13. The right to life and liberty are guaranteed under Article 21 of the Constitution of
    India. Arms licence is granted for personal safety and security after due enquiry by the
    authorities in accordance with provisions contained in the Arms Act, 1959. The provisions
    of Arms Act with regard to suspension or cancellation of Arms licence cannot be invoked
    lightly in an arbitrary manner. The provisions of the Arms Act particularly section 13 to
    17 indicate that once a licence is granted under the Act, the same shall be renewed from
    time to time unless there exist a ground of refusal as enumerated under section 14 of the
    Act. Protection to life, property of citizen is responsibility of the State. It is only when
    person apprehends that machinery of State would not come to his help for protection,
    he/she applies for licence under the Act. The provisions of section 17-A of the Arms Act
    indicate that arms licence can be cancelled or suspended if the licensing authority finds it
    necessary for the security of public peace or public safety. Merely because a criminal case
    is pending, the provisions of section 17 of the Arms Act would not be attracted. Such
    provisions would be attracted in case the licensing authority finds that continuance of
    licence is detrimental to public peace or public security and safety. But the authority
    concerned will have to record a finding that how and under what circumstances and in
    what manner possession of arms licence could be contrary to the provisions of section 17-
    B
    of the Arms Act. Each case is required to be considered on its own merits.

    14. Nothing was placed before us by the respondents to indicate that the petitioner had
    misused the licenced weapon at any point of time in past. The order of revocation of
    license refers to two criminal cases registered against the petitioner. In the facts we find
    that mere registration of criminal case/cases could not be a ground to revoke the license.

    The order shall indicate clearly that continuance of licence would be against public peace,
    safety and security.

    15. Learned Counsel appearing for petitioner submits that in fact petitioner and his driver

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    were attacked in the year 2009 regarding which he had filed a complaint. Considering the
    business activities, political and social work of the petitioner, it was submitted that to
    protect petitioner’s life and property, arms licence was applied for and it was granted. The
    petitioner still requires the same. The licensing authority has not given any opinion as to
    whether the petitioner requires licence to protect his life and property. The subjective
    satisfaction of the authority, therefore, plays a vital role while assessing merits of a case
    before passing orders under the provisions of section 13, 14 or 17(b). Each case needs to
    be assessed, tested on its own merits. Therefore, it is imperative that before arriving at a
    conclusion of invoking powers under the provisions of section 17(b), the licensing
    authority ought to have considered the entire material, threat perception of the licence and
    pass appropriate orders.

    21. This Court in the case of Badshah alias Taj Mohammad vs. State of M.P. and another,
    reported in 2007(4) M.P.L.J. 527 has an occasion to consider altogether similar issue as involved
    in the present case wherein the Court relying upon some of the judgments of the Allahabad High
    Court observed as under :–

    From the aforesaid discussion, it is clear that there is no finding in the aforesaid criminal
    cases that the firearm owned by the petitioner under valid licence was ever used or
    misused by the petitioner. No threat is stated to have been extended by the petitioner on
    the strength of the said firearm. There is no specific provision in Arms Act or elsewhere
    that no licence is to be issued when criminal cases are pending against the applicant.
    There is further no material on record to infer that the petitioner has caused obstruction to
    public safety. This being so, the revocation of the petitioner’s licence on the ground of
    public safety is not sustainable in law.

    On perusal of the order dated 8-1-2001 contained in Annexure P/3 it may be seen that
    certain criminal cases were pending at that time against the petitioner. This position was
    entirely changed at the time of passing of the impugned orders contained in Annexures
    P/1 and P/2 in the year 2005 because firstly, no criminal case was pending against the
    petitioner, secondly, cases under sections 107, 110, 116(3) of Criminal Procedure Code
    came to an end on account of expiry of six months. Only in one criminal case namely
    Criminal Case No. 285/92, a fine was imposed on the petitioner. Remaining criminal
    cases stood terminated in his favour on account of acquittal or compromise. From perusal
    of the record of criminal cases, it is ample clear that the firearm was not found to have
    been used or misused. Even in the order of District Magistrate, Narsinghpur, there is no
    mention that the licensed weapon was used or misused. Mere apprehension of the District
    Magistrate that the licensed firearm may be misused by the petitioner has no foundation
    and does not provide a ground for revoking the licence of the firearm. Moreover, it is
    quite clear that the licensing authority did not take into consideration the effect of
    termination of criminal cases while passing the impugned order.

    In view of this, the earlier order dated 8-1-2001 cannot form a basis for passing the
    impugned orders in the year 2005 when admittedly, the criminal cases against the
    petitioner were not pending. Thus, on the date of impugned orders the grounds assigned
    for cancellation of licence earlier on 8-1-2001 were non-existent and the impugned orders
    are, therefore, found to be unsustainable in law.

    Considering the case in hand on the aforesaid parameters, it may be seen that there is

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    absolutely no material on record to establish that the petitioner used or misused the
    firearm and that possession of firearm poses a threat to the security of the public peace
    and public safety. In this view of the matter, the impugned orders contained in Annexures
    P/1 and P/2 are clearly unsustainable in law and the same are hereby set aside.

    Respondent No. 2 is hereby directed to consider the application of the petitioner afresh in
    accordance with law keeping in view the aforesaid observations within a period of one
    month from the date of receipt of certified copy of this order.

    22. The Division Bench of this Court in the case of Sunderlal Bhardwaj vs. State (supra) has dealt
    with the issue regarding cancellation of arm licence for the security of public peace or public
    safety. In the said case, the Court while considering the issue of cancellation of arm licence
    interpreted the words “for the security of public peace” in the context of section 17(3)(b) of the
    Act and observed that expression “security of public peace” means maintenance of public
    tranquility and order. The Court referring the judgment of Supreme Court in the case of Romesh
    Thappar vs. State of Madras
    , reported in AIR 1950 SC 124 observed that public safety ordinarily
    means security of public or their freedom from danger.

    23. Hon’ble the Apex Court in the case of Ashok Kumar vs. Delhi Administration and others,
    reported in (1982) 2 SCC 403 has an occasion to consider the issue affecting “public order” vis-à-
    vis “law and order”. As discussed, “public order” would include the public peace and public
    safety. However, the observations of Hon’ble the Apex Court in the said case, in the context of
    this case are relevant, therefore, they are reproduced as under :–

    “12. The most crucial question on which the decision must turn is whether the activities
    of the detenu fall within the domain of ‘public order’ or ‘law and order’
    xxxxxxxxxxxxxxxxxxx

    13. The true distinction between the areas of ‘public order’ and ‘law and order’ lies not in
    the nature or quality of the act, but in the degree and extent of its reach upon society. The
    distinction between the two concepts of ‘law and order’ and ‘public order’ is a fine one but
    this does not mean that there can be no overlapping. Acts similar in nature but committed
    in different contexts and circumstances might cause different reactions. In one case it
    might affect specific individuals only and therefore touch the problem of law and order,
    while in another it might affect public order. The act by itself therefore is not determinant
    of its own gravity. It is the potentiality of the act to disturb the even tempo of the life of
    the community which makes it prejudicial to the maintenance of public order. That test is
    clearly fulfilled in the facts and circumstances of the present case.”

    8. In another matter of Gajendra Singh (supra) while discussing
    provision of Section 17 of the Arms Act in paragraph 17, this Court had held
    as under:-

    ”17. As far as the discretion of the licencing authority in regard to maintenance of public peace or
    public safety is concerned, there should have been some elements of discussion as to conduct of
    the petitioner which would have thrown light to his conduct being dangerous to the security of the
    public peace or for public safety. Even there is no such discussion that after obtaining the licence,

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    petitioner’s conduct has been such so to cause threat to security of the public peace or public
    safety. In view of such fact, it can be conveniently inferred that the impugned order passed by the
    Collector is cryptic and is devoid of any reasons and, therefore, on the touch stone of
    reasonableness it cannot be sustained. In fact, it is in clear violation of the provisions of the Act so
    also it violates the provisions of the Article 14 of the Constitution of India. Even the
    Commissioner has failed to appreciate these facts in the appeal as the Commissioner has acted as
    a post office while deciding the appeal. There is lack of application of mind while deciding the
    appeal and, therefore, even appellate order cannot be sustained.”

    9. In view of the law laid down in the aforesaid decisions, it is clear
    that only such acts which have the tendency to disturb public peace or
    endanger public safety would fall within the ambit of Section 17(3)(b) of the
    Arms Act, 1959. Mere involvement of a licence holder in a criminal case, by
    itself, would not confer jurisdiction upon the licensing authority to suspend
    the arms licence unless the authority records a specific satisfaction that
    continuance of such licence is prejudicial to public peace or public safety.

    10. In the present case, the impugned order dated 16.12.2025 indicates
    that the District Magistrate has proceeded primarily on the basis of
    registration of the criminal case against the petitioner. However, there is no
    discussion regarding the conduct of the petitioner demonstrating that she
    poses any threat to public peace or public safety. There is also no finding that
    the licensed firearm was used or misused in connection with the alleged
    offence.

    11. The allegations contained in the FIR, as reflected from the material
    placed on record, relate to a dispute arising out of business transactions.
    There is no material available to show that possession of the licensed firearm
    by the petitioner has any nexus with disturbance of public peace or public
    safety. The satisfaction required under Section 17(3)(b) of the Arms Act has

    Signature Not Verified
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    to be based on objective material and cannot rest merely on apprehension or
    conjecture.

    12. The impugned order further reflects that the arms licence has been
    suspended “till the decision of the criminal case “. Such an order amounts to
    suspension for an indefinite period, whereas Section 17(3) of the Arms Act
    contemplates suspension for such period as may be considered appropriate
    by the licensing authority upon satisfaction of the statutory requirements.
    The order, therefore, also suffers from the vice of being disproportionate.

    13. Though under Section 18 of the Arms Act, there is a provision of
    appeal against the order impugned herein, but since the very order passed by
    the Collector is in total derogation of provision of Section 17 of the Arms
    Act and appears to have been passed in the absence of the present petitioner
    without giving her any opportunity of hearing, can be said to be against the
    principle of natural justice thus, this Court deems it fit to entertain the present
    petition.

    14. Accordingly, this Court is of the considered opinion that the
    impugned order dated 16.12.2025 passed by the District Magistrate, Gwalior,
    cannot be sustained in law. Consequently, the instant petition is allowed. The
    impugned order dated 16.12.2025 passed by the District Magistrate, Gwalior,
    is hereby set aside. The respondents are directed to restore the arms licence
    of the petitioner and take necessary steps for return of the licensed firearm
    and ammunition to the petitioner, subject to compliance of all statutory
    formalities.

    15. It is, however, made clear that this Court has not expressed any

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    opinion on the merits of the case.

    16. With the aforesaid directions, the petition stands allowed.

    (MILIND RAMESH PHADKE)
    JUDGE

    neetu

    Signature Not Verified
    Signed by: NEETU
    SHASHANK
    Signing time: 8/4/2026
    5:18:03 PM



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