In Mahendra Prasad Singh @ Mahendra Singh vs. The State of Bihar through the Principal Secretary Excise and Prohibition Department, Government of Bihar & Ors. (2025), in his 29 page long judgement dated September 1, 2025, Patna High Court's Division Bench of Justice S. B. Pd. Singh and Acting Chief Justice P. B. Bajanthri concluded:"the respondent authorities are directed to release the house of the petitioner henceforth which was seized in connection with Prohibition Case No. 1217 of 2024." The respondent authorities were: The State of Bihar through the Principal Secretary Excise and Prohibition Department, Government of Bihar, the Excise Commissioner, Bihar Excise, Patna, the Divisional Commissioner, Magadh Division, Patna, the District Magistrate-cum-Collector, Patna, the Superintendent of Excise, Madh Nishedh Bihar, Patna, the S.H.O. of Excise, P.S. Patna and the Investigating Officer, Excise and Prohibition Case no. 1217/2024, namely Devendra Singh, S.I. Excise and Prohibition, P.S. Patna, District Patna. The judgement was authored by Justice Singh.
The petitioner had sought issuance of writ/writs, order/orders, direction/directions in the nature of Mandamus seeking directing the respondents S.I. Madh Nishedh Excise, P.S., Patna, so that to immediately release the seized ground floor building, which was earlier given on rent to respondent no. 8, on rent each month Rs. 1500/- total area 300 sq. feet ground floor building of the petitioner, which was earlier on rent utilized by Randhir Kumar, the respondent no. 8, but the same room was seized by the S.H.O. of Excise P.S., Patna in connection with Prohibition case no. 1217/2024, dated 21.05.2024 registered under Sections 30(A), 32 and 56(B) of Bihar Prohibition and Excise Act, 2016 and (Amendment) Act, 2022, which was illegally seized by the police. He also prayed for directing the respondent to immediately release the ground floor of building house of the Bihar, which was earlier seized by the police in Excise Case but the petitioner is being the house owner of the said premises, which was used by the respondent no. 8 after agreement on rent. It also sought a direction for the respondent to freeze/seize the house of the petitioner which is subject matter of Excise Case which was seized by the S.H.O. of Excise P.S., Patna but that property which was utilised by the tenant that is respondent no. 8, so far, the petitioner was given the said property ground floor house on a rent on the basis of an agreement dated October 1, 2023, and in the said ground floor there is a water logging, because in the said premises the respondent no. 8 have kept some goods items, therefore, in view of the under Section 45 of the Cr. P. C., the said building order for custody and disposal property pending trial in certain cases must be released in favour of the petitioner, because the petitioner has got no knowledge about the said building, which was used by the tenant respondent no. 8 and doing some illegal business having without knowledge of the petitioner.
The counsel of the petitioner submitted that from bare perusal of the FIR, it was evident that the name of the petitioner transpired in the present case only for the reason that he was the owner of the said building from where the alleged recovery has been made. The premises in question was given on rent is not in dispute. There was not even iota of evidence which could suggest that the petitioner was facilitating the culprit or providing access for storage of incriminating articles. Either directly or indirectly, he did not contravene Section 30 of the Bihar Prohibition and Excise Act, 2016 and for this reason his premises was not liable to be confiscated under Section 56 of the Act. The counsel also submitted that the petitioner had given the said house on rent much prior to the alleged incident and for this reason, no case would be made out against the petitioner as he was not in possession of any incriminating article in contravention of any provisions of the Act and neither he was having any knowledge of running of illegal business by the tenant Dr. Randhir Kumar. When the petitioner was able to satisfy the authorities that the premises in question was let out on rent and nothing came on record suggesting the knowledge of the petitioner about the storage of several types of Homeopathic medicines in the premises in question, seizure of premises of the petitioner appears to be arbitrary, unreasonable and illegal. These authorities did not take into consideration the rights of the petitioner under Article 19 (1) (g) and Article 300 (A) of the Constitution of India, whereunder, the petitioner had a right to own the property and he had also got right to carry on any occupation, trade or business. The action of the authorities was arbitrary, unreasonable and shows complete non-application of mind when the fact was crystal clear that the premises owned by the petitioner was undisputedly being used by the tenant under a valid deed of agreement.
Referring to the specific offences under the Bihar Prohibition and Excise Act, 2016 under which the petitioner was charged, Justice Singh observed:"....it seems that whenever offence punishable under this Act has been committed, any premises or part thereof used for committing any offence might be seized/confiscated and released upon penalty. It leaves no doubt that a premises can be seized and even confiscated and auctioned merely upon its involvement in any offence under the Act. This is indeed a draconian provision and so it must be used with complete circumspection. The existing provisions of the Act gives unfettered and unguided and arbitrary powers to the authorities. In the absence of any specific guidelines, such powers can be abused or misused and such powers can be exercised arbitrarily insofar as alleged proven charge and commensurate penalty could be seen in the better legislation- like provisions of Criminal Procedure Code read with Indian Penal Code, where the sentence/conviction is proportionate to the proved charges. 12. We have noted some disturbing trends with regard to the aforesaid provisions. Though the Act talks about necessary directions, guidelines, regulations, instructions to be issued by the State Government with respect to mode and manner of search and seizure, destruction and confiscation, we have provisions only under Section 57 B of the Act and Rules 12 B, 13 B and 14 of the Bihar Prohibition and Excise Rules, 2021 to meet such situations. These provisions are clearly insufficient and authorized officers are very likely to misuse the provisions and the decisions are taken arbitrarily."
Justice Singh added: "....there is no subjective assessment under Section 56 of the Act regarding involvement of the premises and the hardship which will be faced by the persons apparently without any fault of their own. Let us take certain examples to make issue clear. As in the present case, the premises was given on rent and apart from the tenant/lessee, the owner has been made accused. We can take another example of the joint family owned premises. Suppose a person of the joint family keeps a bottle of liquor in the premises without knowledge to other inmates, will that premises be seized and sealed and confiscation proceeding will be started ousting all the inmates of joint family property simply on the ground that the law provides so? Third example could be taken of a government quarter. If any recovery is made from a government quarter, will the State come forward and seize/seal/confiscate and auction the property? Then another issue which is to be considered is that there is no subjective relationship between the quantity of liquor seized and the premises sealed or the penalty imposed as we could decipher from the aforesaid provisions. Even the Rules, though provide for taking status of the individual, nature of his involvement in the crime, location of the premises and quantum of intoxicant recovered while deciding the quantum of the tine, yet the Rules also provide that the fine shall not be less than Rs. one lakh. This is simply absurd as to whether there is recovery of 100 ml. of intoxicant or 1,00,000 liters, minimum fine shall be Rs. one lakh. The provisions of law discussed here-in-before even give complete discretion to the confiscating authorities with regard to imposition of penalty since no guidelines have been provided. This may create anomalous situation as the jurisdictional authority in one area, in similar circumstances, may impose a lesser penalty, whereas for the same act, the jurisdictional authority in another area may impose higher penalty. 14. Enactment of law and rules in such manner may make such laws and rules arbitrary and the same goes against the spirit of Article 19 (6) of the Constitution...."
Article
19(6) of the Constitution of India reads: "Nothing in sub-clause (g) of
the said clause shall affect the operation of any existing law in so
far as it imposes, or prevent the State from making any law imposing,
in the interests of the general public, reasonable restrictions on the
exercise of the right conferred by the said sub-clause, and, in
particular, nothing in the said sub-clause shall affect the operation of
any existing law in so far as it relates to, or prevent the State from
making any law relating to,—
(i) the professional or technical
qualifications necessary for practising any profession or carrying on
any occupation, trade or business, or
(ii) the carrying on by the
State, or by a corporation owned or controlled by the State, of any
trade, business, industry or service,
whether to the exclusion, complete or partial, of citizens or otherwise”.
Justice Singh recalled the decision of the Supreme court in Romesh Thappar vs. State of Madras, reported in 1950 SCC 436, considered the possibility of law concerned being applied in unconstitutional manner and held such law be declared void.
He also referred to paragraph 85 of the Court's decision in E .P. Royappa vs. State of Tamil Nadu and another, reported in AIR 1974 SC 555. It reads: “85. ...Articles 14 and 16 strike at arbitrariness in State action an ensure fairness and equality of treatment. They require that State action must be based on valid relevant principles applicable alike to all similarly situate and it must not be guided by any extraneous or irrelevant considerations because that would be denial of equality. Where the operative reason for State action, as distinguished from motive inducing from the antechamber of the mind, is not legitimate and relevant but is extraneous and outside the area of permissible considerations, it would amount to mala fide exercise of power and that is hit by Arts. 14 and 16. Mala fide exercise of Power and arbitrariness are different lethal radiations emanating from the same vice : in fact the latter comprehends the former. Both are inhibited by Arts. 14 and 16. It is also necessary to point out that the ambit and reach of Articles 14 and 16 are not limited to cases where the public servant affected has a right to a post. Even if a public servant is in an officiating position, he can complain of violation of Arts. 14 and 16 if he has been arbitrarily or unfairly treated or subjected to mala fide exercise of power by the State machine. It is, therefore, no answer to the charge of infringement of Articles 14 and 16 to say that the petitioner had no right to the post of Chief Secretary but was merely officiating in that post. That might have some relevance to Art. 311 but not to Articles 14 and 16. We must, therefore, proceed to consider whether the transfer of the petitioner first to the post of Deputy Chairman and then to the post of Officer on Special Duty was arbitrary, hostile and in mala fide exercise of power. What was the operative reason for such transfer: was it the exigencies of public administration or extra administrative considerations having no relevance to the question of transfer? Was the transfer to the post of Deputy Chairman or Officer on Special Duty so irrational or unjust that it could not have been made by any reasonable administration except for colaterial reasons? These are the questions which call for our consideration”.
Justice Singh noted that although these observations were made in a different context, yet the underlying principle remain the same. There cannot be any arbitrariness in the matter of state policy and principles.
Justice Singh also referred to the Supreme Court's decision in Menka Gandhi vs. Union of India, reported in (1978) 1 SCC 248, wherein it was held that that every law has to be just, fair and reasonable; otherwise it will be considered unconstitutional.
Justice Singh observed that the provisions of law as framed under the Bihar Prohibition and Excise Act "does not appear to be perfect law and suffers from a number of infirmities. However, since the provisions of Act or the Rules framed therein are not in challenge, we refrain ourself from making any further comments on the provisions under the Act."
With regard to the case before him, he noted that it was undisputed that the premises in question was let out on rent. The said lease deed was prepared for 11 months between the parties which was effective from October 1, 2023 to August 30, 2024 and this period covered the alleged date of occurrence, pertaining to this case. He underlined in the penultimate paragraph of his judgement that in such a situation, "the petitioner could not be made to suffer for being the landlord/owner of the premises in question if recovery of some intoxicant materials have been made without his knowledge or intention."