Orissa High Court
Omprakash Gupta vs The Collector on 27 February, 2026
Author: Mruganka Sekhar Sahoo
Bench: Mruganka Sekhar Sahoo
IN THE HIGH COURT OF ORISSA AT CUTTACK
W.P.(C) No.6260 of 2026
Omprakash Gupta .... Petitioner
Mr. Amiya Kumar Mishra, Advocate
-versus-
The Collector, Balasore and .... Opp. Parties
others
Mr. P.K. Mohanty, ASC
Mr. P.K. Sahoo, ASC
CORAM:
JUSTICE MRUGANKA SEKHAR SAHOO
ORDER
27.02.2026
(Hybrid Mode)
Order No.
01. 1. Heard learned counsel for the petitioner at length.
2. Concededly the petitioner’s vehicle was
authorized to transport and was carrying the oil
purchased by dealer from oil depot at Balasore to
Retail Point at Keonjhar. The petitioner is a transporter
of fuel oil an essential commodity having entered into a
contract with the Indian Oil Corporation Limited for
transportation of bulk petroleum product for three
years with effect from 16.12.2022 upto 15.12.2022.
Copy of the said transportation contract for
transportation of bulk petroleum products has been
annexed to the writ petition marked as Annexure-2.
Page 1 of 12
3. Pursuant to the said contract the petitioner-
transporter was directed/entrusted to transport eight
Kiloliters of petrol and four Kiloliters of diesel by the
Indian Oil Corporation Limited from Somanathpur
Depot at Balasore to Maata Shree Filling Station (KSK),
At/Po-Bhanda, District-Keonjhar by the oil tanker
No.OD-22D-0571.
The oil has been purchased by the invoice dated
11.10.2023 (copy annexed as Annexure-3 to the writ
petition) indicating the name of the supplier-IOCL and
the name of consignee-dealer.
4. Oil was being transported, on the way to the
destination as it is alleged, the oil was stolen from the
tanker and transferred by utilizing a Ashok Leyland
Pick-up van carrying plastic barrels. The seizure list
produced before the learned JMFC, Balasore dated
12.10.2023 indicates the articles seized as the
following:
“(1) 3 nos of 200 Ltrs capacity of sky colour
plastic barrel containing about 600 Ltrs petrol
(2) 3 nos of 200 Ltrs capacity of sky colour
plastic barrel containing about 600 Ltrs crude
oil
(3) One Honda GX 80 motors along with 10
metrs plastic pipe.
(4) Two numbers of plastic funnel
(5) Ashok Leyland Mini Pick-up bearing Regd
No-OD- 01F-7814.”
5. After the incident of ‘theft’, the petitioner-
transporter and owner of the vehicle carrying the oil
also lodged an F.I.R. dated 12.10.2023 copy of which
Page 2 of 12
has been marked to the writ petition as Annexure-5
series. Pursuant to the said F.I.R., the seizure list has
been enclosed marked as Annexure-6 which indicates
the following articles to have been seized:
“1. One Re particulars of Oil Tanker bearing
Regd No-OD-22D-0571 stand the name of
Omprakash Gupta.
2. One certificate of Regn bearing Regn.
No.OD-22D-0571
3. One permit ID respect of goods permit of
vehicle bearing Regd No-OD-22D-0571
4. One Insurance Certificate (The new India
Assurance Co LTD) having the policy
No.55080131220100005350 of vehicle bearing
Regn No. OD-22D-0571
5. One licence of Petroleum product on land
by Tanker Lorry Regn No. OD-22D-0571 by
Petroleum and explosive safety organisation,
BBSR
6. One certificate of verification by Govt. of
ODISHA”.
6. The Collector and District Magistrate, Balasore
being the authority under the Essential Commodities
Act passed the following order dated 24.11.2023 in
E.C. Case No.02 of 2023:
“Having considered the submissions of
Learned APP for prosecution, Advocate for O.P.
No-6 and materials on record following orders
are passed:-
“1. The seized oil tanker bearing no.OD-22D-
0571 is released on interim basis in favour of
O.P. No.6 subject to compliance of following
conditions:-
(i) O.P No-6, Sri 0mm Prakash Gupta, owner of
the oil tanker bearing Registration No OD-22D-
0571 is to file Indemnity Bond to the tuneof Rs
2,00,000/- (Rupees two lakh only).
Page 3 of 12
(ii) He should produce the vehicle as and when
so directed by this court as well as other
competent courts.
(iii) He shall not change ownership of the
vehicle until final disposal of the case.
(iv) He shall not change the nature, engine and
mode of the vehicle till disposal of the case.
(v) He is to undertake the number of such type
of vehicle he has owned.
The seized petrol and diesel in the tanker
as well as Ashok Leyland Pick-up van is to be
returned to I.O.C.L., Balasore Depot,
Somanathpur Industrial Estate, Somanathpur,
Odisha for fresh transportation which is to be
acted upon by the IIC, Industrial Area P.S. The
C.S.O., Balasore is to supervise the exercise of
return of seized petrol and diesel in the oil
tanker as well as seized Ashok Leyland Pick-
up van bearing Registration No.OD-01F-7814.
3. The seized Ashok Leyland Pick-up van
bearing registration No.OD-01F-7814 shall be
kept under seizure as it is till further order by
the competent court.
Besides the case is to be taken up prior to
the date fixed as and when opposite party
No.6 shall comply with the all conditions for
release of Oil Tanker for issue of release
order.”
7. The petitioner furnished indemnity bond as
directed. It is stated and submitted the petitioner has
complied with the order dated 24.11.2023 in all
aspects.
8. It is submitted by Mr. Mohanty, learned
Additional Standing Counsel for the State on being
repeatedly asked and after much persuasion who was
the owner of the oil tanker that carried the fuel oil from
the OICL depot from which oil was allegedly stolen, on
Page 4 of 12
the way; he submits that the Ashok Leyland Pick-up
Van which was intended to carry the stolen oil in
barrels belongs to one Nasima Bibi.
Nasima Bibi is not the petitioner in this case nor
a party.
9. He further submits that the oil belongs to Indian
Oil Corporation Limited though it was specifically
asserted by the petitioner that the dealer had
purchased the oil from Indian Oil Corporation Limited
which was transported by the petitioner-transporter on
the basis of letter dated 28.12.2022 for road
transportation of bulk petroleum products for three
years with effect from 16.12.2022 upto 15.12.2025.
The oil was transported from Indian Oil Corporation
Limited, Balasore purchased by the dealer i.e. Maata
Shree Filling Station (KSK), At/Po-Bhanda, District-
Keonjhar to be transported by the petitioner.
10. On being asked by which order the confiscation
proceeding was started and by which order it was
concluded, it is submitted by the learned ASC for the
State the E.C. Case No.02 of 2023 was initiated by
order dated 08.11.2023 i.e. confiscation proceeding
under section 6-A of the Essential Commodities Act,
1955 relating to Industrial Area P.S. Case No.185 of
2023. It is submitted that the final order in the said
confiscation proceeding has not been passed.
11. On being asked what is the nature of the order
dated 05.12.2025 passed by the authority in the E.C.
Page 5 of 12
case, the learned ASC takes a long pause and does not
answer the provision under which such order has been
passed imposing fine. He submits that 05.12.2025 is
the last order.
Apparently, while passing the order dated
05.12.2025 the authority has not referred to any
provision or the context in which during pendency of
the confiscation proceeding he has directed deposit of
Rs.4,00,000/- to the owner of the transporting vehicle
that was transporting the oil purchased by the dealer
as indicated above. It has been directed “the owner of
the tanker bearing No.OD-22D-0571 i.e. opposite party
no.6-Omm Prakash Gupta is directed to deposit
Rs.4,00,000/- (Rupees four lakh) … in the office of CSO,
Balasore as fine in shape of treasury challan through
proper receipt in lieu of confiscation within three months.
After compliance of the above order, further course of
action for release the cost of returned petrol/crude oil in
favour of OP No.6 shall be taken up.”
12. The learned Additional Standing Counsel, Mr.
P.K. Sahoo supplements the arguments of Mr. P.K.
Mohanty, the learned Additional Standing Counsel and
submits that Section 6-A proviso deals with the vehicle
carrying the essential commodity which is actually
reiteration of the submissions of Mr. Mohanty that has
been recorded above.
On being repeatedly asked that by which order
the confiscation proceeding was initiated by the
Page 6 of 12
authority and by which order the final order was
passed by the Collector in the confiscation proceeding,
the learned Additional Standing Counsel, Mr. Sahoo
has no answer, apart from saying that on 05.12.2025
the confiscation proceeding was initiated.
Though the order itself does not indicate much
effort has been made by the learned Additional
Standing Counsel, Mr. Sahoo appearing for the State
to argue that the said order is an order of confiscation.
13. On being asked several times and after being
given sufficient time, the learned ASC, Mr. Mohanty
has not shown the Court any provision and apparently
there is no such provision contained in the Essential
Commodities Act, 1955 wherein during pendency of a
proceeding under Section 6-A the oil purchased by the
dealer from the seller-Indian Oil Corporation can be
directed to be returned to the Indian Oil Corporation
Limited. Evidently the purchaser dealer has not been
made a party in the E.C. case. Further, there is no
provision contained in the Essential Commodities Act,
1955 that would authorize the authority to impose a
fine of Rs.4,00,000/- on the transporter from whose
vehicle the oil was stolen during pendency of the
Confiscation Proceeding. After the vehicle allegedly
stilling the oil being transported i.e. the pick-up van
with barrels is seized and subjected to confiscation
proceeding.
Page 7 of 12
14. As the learned ASC relies on the Section 6A(1),
second proviso of the E.C. Act, the said provision is
reproduced herein:
“[6A. Confiscation of essential
commodity.―[(1)] Where any 4[essential
commodity is seized] in pursuance of an order
made under section 3 in relation thereto, 5[a
report of such seizure shall, without
unreasonable delay, be made to] the Collector
of the district or the Presidency town in which
such 1[essential commodity is seized] and
whether or not a prosecution is instituted for
the contravention of such order, the Collector
2[may, if he thinks it expedient so to do, direct
the essential commodity so seized to be
produced for inspection before him, and if he is
satisfied] that there has been a contravention
of the order 3[may order confiscation of―
(a) the essential commodity so seized;
(b) any package, covering or receptacle in
which such essential commodity is found; and
(c) any animal, vehicle, vessel or other
conveyance used in carrying such essential
commodity:]
[Provided further that in the case of any
animal, vehicle, vessel or other conveyance
used for the carriage of goods or passengers
for hire, the owner of such animal, vehicle,
vessel or other conveyance shall be given an
option to pay, in lieu of its confiscation, a fine
not exceeding the market price at the date of
seizure of the essential commodity sought to be
carried by such animal, vehicle, vessel or other
conveyance.]”
15. Perusal of the order dated 05.12.2025 reveals an
interesting aspect regarding the witness and the
evidence as recorded by the Collector and reads thus:
Page 8 of 12
“On perusal of case record it appears that
the Chief Depo Manager, IOCL, Somanathpur,
Balasore was issued summon to appear before
the Court of Collector, Balasore for adduce
evidence on 30.01.2025 & 23.05.2025. Though
the summon was properly served and returned
to this court vide letter No.6374 dt.13.06.2025
of Tahasildar, Remuna but the Chief Depo
Manager was remained absent.”
16. Though the submissions made by Mr. Sahoo,
learned ASC regarding final order has been passed in
confiscation proceeding is factually incorrect as the
order itself does not say so and the authority has not
recorded that how he has arrived at a conclusion or
how he has initiated the confiscation proceeding or
evaluated the evidence, assuming for the sake of
argument, the said order is the final order passed in
the confiscation proceeding, at running page-83 of the
case brief internal page-4 of the order, the following
has been observed by the Collector/Authority.
“In view of the above discussions, it is
clear that there is evil intension of the OP No.6
& 7. Accordingly, the owner of the tanker
bearing No.OD-22D-0571 i.e. OP No.6-Omm
Prakash Gupta is directed to deposit
Rs.4,00,000/- (Rupees four lakh) & the owner
of the pick up van bearing No.OD-01F-7814 i.e.
OP No.7, Nasima Bibi is directed to deposit
Rs.2,00000/- (Rupees two lakh) in the Office of
CSO, Balasore as fine in shape of Treasury
challan through proper receipt in lieu of
confiscation within three months. After
compliance of the above order, further course of
action for release the cost of returnedPage 9 of 12
petrol/crude oil in favour of OP No.6 shall be
taken up.”
17. Both the learned Additional Standing Counsel for
the State though have argued with much force and
vehemence but have not been able to show prima facie,
from the available records: when the confiscation
proceeding was initiated and to what extent it has
proceeded and when the final order has been passed is
the same is not indicated in the order dated
05.12.2025.
Significantly, the authority has noted the non-
appearance/absence of the principal witness on behalf
of prosecution i.e. Chief Depo Manager, IOCL,
Somanathpur where the stock originated for being
transported to Keonjhar.
The order also does not refer to any other witness
or material on record or any evidence to decide and
conclude the confiscation of the vehicle owned by the
petitioner i.e.OD-22D-0571-oil tanker which was used
pursuant to the agreement of the Indian Oil
Corporation Limited and the petitioner-transporter.
18. Issue notice along with this order to the opposite
parties.
19. The learned Additional Standing Counsel upon
advance copy served, appear and waive notice on
behalf of the opposite party nos.1 and 2.
Page 10 of 12
Notice to the opposite party nos.3 and 4 be issued
by speed post with registration and proof of delivery.
Requisites for issuance of notice to the opposite party
nos.3 and 4 be filed within five working days fixing
returnable date to 26.03.2026.
20. List in the week commencing 30.03.2026.
Liberty to mention.
I.A. No.3837 of 2026
21. Learned counsel for the petitioner as well as both
the learned Additional Standing Counsel were heard
extensively regarding scope of Section 6A(1) of the
Essential Commodity Act. Learned counsel for the
petitioner as well as both the learned Additional
Standing Counsels reiterate their submissions as
noted above.
22. Issue notice as above. Accept one set of process
fee as well as postal requisites.
The learned Additional Standing Counsel upon
advance copy served appear and waive notice on behalf
of the opposite party nos.1 and 2.
Notice to opposite party nos.3 and 4 shall be
issued along with the writ petition as directed above.
23. In the interim, it is directed that operation of the
order dated 05.12.2025 (annexed to the writ petition
marked as Annexure-23) regarding deposit of
Rs.4,00,000/- by the petitioner-transporter shall
remain stayed until further orders.
Page 11 of 12
24. List in the week commencing 30.03.2026. Liberty
to mention.
Issue urgent certified copy as per rules.
(Mruganka Sekhar Sahoo)
Judge
jyostna
Signature Not Verified
Digitally Signed
Signed by: JYOSTNARANI MAJHEE
Reason: Authentication
Location: OHC
Date: 28-Feb-2026 16:23:43
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