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Karnataka High Court Exonerates Samsung India, Quashes Criminal Complaint on Alleged Packaging Rules Violation

Karnataka High Court

SAMSUNG INDIA ELECTRONICS PVT. LTD V. STATE OF KARNATAKA

CRIMINAL PETITION NO. 9771 OF 2017

Bench- HON’BLE MR. JUSTICE SACHIN SHANKAR MAGADUM

Decided On 31-05-2023

 Facts of the case-

The petitioner in this case is a company registered under the Companies Act, 1956, with its registered office in New Delhi. The petitioner asserts itself as a prominent company in the consumer and household electronics and appliances sector in India. Its business activities involve the manufacture, import, marketing, and sale of consumer durable electronic products, home appliances, and cellular mobile phones through distributors and retailers.

The complainant, an Inspector from the Department of Legal Metrology, conducted an inspection at M/s. ABM Tele Mobiles India Pvt. Ltd., a distributor of the petitioner located in Bengaluru. During the inspection, the complainant examined a pre-packaged Samsung Galaxy Tab-4 manufactured by the petitioner and discovered that the maximum retail price printed on it as Rs.14,000/- did not conform to Rule 4(2) of the Legal Metrology (Numeration) Rules, 2011, in conjunction with Section 6(2) and (3) of the Legal Metrology Act, 2009. The complainant also alleged a violation of Section 11 read with Section 29 of the Metrology Act, 2009. Additionally, the complainant inspected a pre-packaged wholesale product containing 20 individual packages that lacked the qualifying symbol ‘N’ to indicate the quantity, which is required under Rule 13 sub-clause (5)(ii) of the Legal Metrology (Packaged Commodities) Rules, 2011. Consequently, the complainant argued that the mere mention of the numeral ’20’ without the qualifying unit ‘N’ constituted a violation of the Packaged Commodities Rules, 2011.

The petitioner responded to the show cause notice issued by the Department with a detailed reply. However, despite the petitioner’s response, the respondent issued a final notice, directing the petitioner to appear for compounding. Failure to comply with the notice would result in a complaint being lodged under the provisions of the Metrology Act, 2009. As a result, the petitioner filed the present complaint under Section 482 of the Criminal Procedure Code (Cr.P.C.), contending that the initiation of the prosecution was illegal and that even if the alleged violations mentioned in the complaint were accepted, they would not constitute an offense.The jurisdictional Magistrate, upon receiving the private complaint, registered the case and issued summons to the petitioner.

Relevant Provisions

Legal Metrology Act Related to
Sec. 6 Base unit of numeration.

 

Judgement

The Court has rendered a decision to quash a criminal case filed against Samsung India under the provisions of the Legal Metrology Act, 2009. The Court elucidated that Rule 4(2) of the Numeration Rules does not apply to price/MRP, thereby concluding that no offense has been committed under Section 11 read with Section 29 of the Metrology Act, 2009.

Furthermore, the Court astutely observed that the regulation of price/MRP for packaged goods falls within the purview of the Packaged Commodities Rules, 2011, and not the Numeration Rules, 2011. The Court found that the Department/complainant has misinterpreted the applicable law concerning price/MRP and has erroneously issued a notice for compounding the alleged offense.

Subsequently, the Court referred to Rule 13(5)(i) and 13(5)(ii) and noted that these provisions exclusively pertain to retail packages and are not applicable to wholesale packages. On the other hand, Rule 24 governs wholesale packages.

The Court expounded, upon scrutinizing Rule 24(c), that the second offense alleged in the complaint has been erroneously attributed. The said provisions are pertinent solely to retail packages, not wholesale packages. Under Rule 24(c), the disclosure of the quantity should only include the numerical value, without adding a prefix such as ‘N’ or ‘U,’ as stipulated in Rule 13(5)(ii) of the Packaged Commodities Rules, 2011.

Furthermore, the Court noted that the complaint lacks sustainability as it has been filed against all the Directors despite the company clearly nominating a person under Section 49 of the Metrology Act, 2009. Considering that no prima facie offense has been established in this matter, the Court has quashed the case.

Accordingly, based on the aforementioned considerations, the Court has rendered its judgment to quash the criminal case.

JUDGEMENT REVIEWED BY ABHAY SHUKLA

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“PRIME LEGAL is a full-service law firm that has won a National Award and has more than 20 years of experience in an array of sectors and practice areas. Prime legal fall into a category of best law firm, best lawyer, best family lawyer, best divorce lawyer, best divorce law firm, best criminal lawyer, best criminal law firm, best consumer lawyer, best civil lawyer.”

 

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There is no absolute bar to take cognizance on an anonymous complaint: Gujarat High Court upholds the inquiry initiated against the petitioner

Dipakkumar Dineshbhai Luhar vs State Of Gujarat on 12 April, 2023

Bench: Mauna M. Bhatt

R/SPECIAL CIVIL APPLICATION NO. 2164 of 2023

 The present petition is filed challenging the departmental proceedings initiated against the petitioner pursuant to the charge-sheet which culminated into a Departmental Case

Facts

In the instant case, the petitioner pursuant to the advertisement issued by the State applied for the post of Class-II (Accounts Officer and after selection was appointed in the year 2011. Thereafter, he was promoted and transferred to various places and lastly posted at Gandhinagar as an accounts Officer in the office of Commissioner Rural Development. However, pursuant to an anonymous complaint regarding sexual harassment, a preliminary inquiry came to be initiated against him and upon allegations being held proved, a show cause notice was issued by respondent No.2 calling for response of the petitioner. The petitioner responded to the said show cause notice. Thereafter, a charge-sheet was issued by respondent No.1, aggrieved by which the petitioner filed the present petition.

The petitioner addressed a letter requesting to be provided with a copy of the anonymous complaint as well as certain other documents through which the departmental inquiry was initiated against him. However, it was expressly denied. Raising this contention, the learned counsel for the petitioner contended that the chargesheet was bad in law. Moreover, no action can be initiated based on an anonymous complaint of which rule the department has gone against. Moreover, for an inquiry to sustain under the Prevention of sexual harassment at workplace(POSH) act, the complaint is to be made in writing. However, in the present case, there was nothing that was written down.

The pleader for the state on the other hand held that in the case of complaint of sexual harassment, the disciplinary authority is free to cause an inquiry in to the matter. In this case, in the preliminary inquiry held, the allegations prima facie was held to be true and therefore, the charge-sheet was issued to the petitioner. Moreover, there is nothing specifically mentioned in the POSH Act that prohibits initiation of departmental proceedings

Judgement

The Gujarat High Court held that despite of a general practice where it is not necessary to take due cognizance and action on an anonymous complaint, there is no absolute bar. In the present case, facts on record suggests that the complaint/representation was made not by any anonymous person but by the employees of Pension Payment Office, Vadodara, where the petitioner was working and during preliminary inquiry, the statement of all the female employees were recorded. The statement of female employees was provided to the petitioner along with the charge-sheet. These facts show that the chargesheet is initiated in accordance with the law and hence, the Court dismissed the petition.

JUDGEMENT REVIEWED BY AMIT ARAVIND

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“PRIME LEGAL is a full-service law firm that has won a National Award and has more than 20 years of experience in an array of sectors and practice areas. Prime legal fall into a category of best law firm, best lawyer, best family lawyer, best divorce lawyer, best divorce law firm, best criminal lawyer, best criminal law firm, best consumer lawyer, best civil lawyer.”