Sunday, 19 December 2021

Whether court can refuse to grant bail to accused if he is found in possession of sexual enhancement drugs?

  After carefully examining the arguments advanced by learned counsel for the parties and having cursorily glanced at the records, we are of the opinion that the impugned order cancelling the bail granted in favour of Bharat Chaudhary [A-4], is not sustanabile in view of the fact that the records sought to be relied upon by the prosecution show that one test report dated 6th December, 2019, two test reports dated 17th December, 2019 and one test report dated 21st December, 2019 in respect of the sample pills/tablets drawn and sent for testing by the prosecuting agency conclude with a note appended by the Assistant Commercial Examiner at the foot of the reports stating that “quantitative analysis of the samples

could not be carried out for want of facilities”. In the absence of any clarity Petition for Special Leave to Appeal (Criminal) No. 5703 OF 2021 so far on the quantitative analysis of the samples, the prosecution cannot be heard to state at this preliminary stage that the petitioners have been found to be in possession of commercial quantity of psychotropic substances as contemplated under the NDPS Act. Further, a large number of the tablets that have been seized by the DRI admittedly contain herbs/medicines meant to enhance male potency and they do not attract the provisions of the NDPS Act. Most importantly, none of the tablets were seized by the prosecution during the course of the search conducted, either at the office or at the residence of A-4 at Jaipur, on 16th March, 2020. Reliance on printouts of Whatsapp messages downloaded from the mobile phone and devices seized from the office premises of A-4 cannot be treated at this stage as sufficient material to establish a live link between him and A-1 to A-3, when even as per the prosecution, scientific reports in respect of the said devices is still awaited. {Para 10}

11. In the absence of any psychotropic substance found in the conscious  possession of A-4, we are of the opinion that mere reliance on the statement made by A-1 to A-3 under Section 67 of the NDPS Act is too tenuous a ground to sustain the impugned order dated 15th July, 2021. This is all the more so when such a reliance runs contrary to the ruling in Tofan Singh (supra). The impugned order qua A-4 is, accordingly, quashed and set aside and the order dated 2nd November, 2020 passed by the learned Petition for Special Leave to Appeal (Criminal) No. 5703 OF 2021 Special Judge, EC & NDPS Cases, is restored. As for Raja Chandrasekharan [A-1], since the charge sheet has already been filed and by now the said accused has remained in custody for over a period of two years, it is deemed appropriate to release him on bail, subject to the satisfaction of the trial Court.

REPORTABLE

IN THE SUPREME COURT OF INDIA

EXTRAORDINARY APPELLATE JURISDICTION

PETITION FOR SPECIAL LEAVE TO APPEAL (CRL.) NO. 5703 OF 2021

BHARAT CHAUDHARY Vs  UNION OF INDIA 

Author: HIMA KOHLI J.

Dated: December 13, 2021

1. By this common order, we propose to dispose of two Petitions for

Special Leave to Appeal filed against the common judgment and order

dated 15th July, 2021 passed by the learned Single Judge of the High Court

of Madras. SLP(Crl) No. 5703/2021 has been filed by Bharat Chaudhary

Petition for Special Leave to Appeal (Criminal) No. 5703 OF 2021

[A-4] who is aggrieved by the reversal of the bail order dated 02nd

November, 2020 granted in his favour by the learned Special Judge, EC &

NDPS Cases, Chennai whereas Raja Chandrasekharan [A-1] has

challenged the dismissal of the bail application filed by him under Section

439 of the Criminal Procedure Code.

2. The case set up by the prosecution is that on specific information

received by the Directorate of Revenue Intelligence, Chennai Zonal Unit1,

Officers of DRI had seized about 1,37,665 tablets of different types

collectively weighing 90Kgs. (approx.) described as psychotropic

substances from the following four locations, all situated in Chennai:

(i) Office of M/s. Aviation Star Express, Ekkattuthangal, a Franchisee

of M/s DHL Express India Private Limited;

(ii) 2 Destination, a Franchisee of M/s S.T. Courier;

(iii) residence of Raja Chandrasekharan [A-1]; and

(iv) office premises of M/s. DHL Express India Private Limited.

3. Believing the tablets seized from the aforesaid premises to be

composed of psychotropic substances covered under the provisions of the

Narcotic Drugs and Psychotropic Substances Act, 19852 read with the

1 For short ‘the DRI’

2 For short ‘the NDPS Act’


Petition for Special Leave to Appeal (Criminal) No. 5703 OF 2021

Customs Act, the DRI conducted investigation and summoned M.V.

Srinivasan [A-2] – Director of M/s 2 Destination and Propreitor of M/s S.T.

Courier; Raja Chandrasekharan [A-1] – Proprietor of Ascure Pure Herbals;

M. Ashok Kumar [A-3] - employee of A-1 and after recording their

statements, booked them for the offences under Section 8(c) punishable

under Sections 22(c), 25, 28 and 29 of the NDPS Act and arrested them on

18th October, 2019. Based on the statements made by A-1 and A-3 that

they had colluded with suppliers in Nagpur and Rajasthan and procured

tablets composed of psychotrophic substances for exporting and sending

through courier service to customers in USA under the guise of herbal

tablets, on orders received from Bharat Chaudhary [A-4], officers of DRI,

Jaipur Unit conducted a search at his residence at Jaipur on 16th March,

2020 and seized some incriminating material. Thereafter, he was arrested

on 17th March, 2020 for contravening the provisions of Section 8(c)

punishable under Sections 22(c), 24 and 29 of the NDPS Act. On being

granted transit bail by the learned Chief Metropolian Magistrate, Jaipur, A-4

was produced before the NDPS Court at Chennai on 19th March, 2020 and

remanded on the same day.

4. Vide order dated 2nd November, 2020, the learned Special Judge, EC

& NDPS Cases, Chennai granted bail to Bharat Chaudhary[A-4]. The


Petition for Special Leave to Appeal (Criminal) No. 5703 OF 2021

reasons that weighed with the said Court for granting bail to A-4 were that :-

(i) he was not found to be in possession of any psychotropic substance

and no contraband was recovered from his residence or office during

the search;

(ii) the electronic gagets/devices that were seized from the office of A-4

had been sent for obtaining a scientific report which was still awaited;

(iii) while 1,37,665 tablets were seized from four different locations in

Chennai between 15th October, 2019 and 18th October, 2019, officers

of the DRI had gone to Jaipur to arrest A-4 after five months, solely

on the basis of the statement made by A-1 under Section 67 of the

NDPS Act;

(iv) there was no live link established against A-4, a resident of Jaipur of

having connived with the other accused, A-1 to A-3 who were all

residing in Chennai and arrested from there.

(v) the test reports in respect of the seized material were awaited and it

was not established whether the tablets which, as per the accused

were sexual enhancement tablets, would qualify either as a narcotic

or psychotrophic substance so as to fall within the ambit of the NDPS

Act;


Petition for Special Leave to Appeal (Criminal) No. 5703 OF 2021

(vi) The first test report received by the DRI on 21st November, 2019,

revealed that the tablets were actually sexual enhancement drugs

and not covered under the NDPS Act and the test report in respect of

26 tablets sent to CFSL, Hyderabad, was still awaited.

5. Being mindful of the recent verdict of a Three Judge Bench of this

Court in Tofan Singh v. State of Madras3 wherein as per the majority

decision, a confessional statement recorded under Section 67 of the NDPS

Act has been held to be inadmissible in the trial of an offence under the

NDPS Act, the learned Special Judge, EC & NDPS Cases, Chennai

granted bail to Bharat Chaudhary [A-4]. On the DRI challenging the

aforesaid order before the High Court of Madras, the bail order granted in

favour of A-4 has been cancelled by the learned Single Judge with scathing

remarks made against the learned Special Judge. Citing the same

reasons as have been given in the case of A4, the bail application moved

by A1 has also been rejected.

6. The learned Single Judge has faulted the Special Judge, EC & NDPS

Cases] for having conducted a roving enquiry to grant bail to A-4. It has

been held that the ruling in Tofan Singh’s case, does not bar the

Prosecuting Agency from recording the statement of the co-accused for the

purpose of apprehending the other accused in the offence. Observing that

3 [2021] 4 SCC 1


Petition for Special Leave to Appeal (Criminal) No. 5703 OF 2021

it was not on the basis of the statement of A-4 that he has been arrested

and detained, but rather on the basis of the information furnished by A-1 to

A-3 who have implicated him as a person involved in the offence and for

arranging supply of contraband, it was held that absence of any evidence

to establish a link between A-1, A-3 and A-4 could not form the basis for

granting any relief to A-4. As for the observation of the Special Judge, EC

& NDPS Cases that the test reports received by the prosecuting agency on

22nd November, 2019 revealed that many of the tablets were sexual

enhancement drugs and not covered under the NDPS Act, the High Court

opined that the test reports did not totally negate the fact that the seized

contraband goods were not narcotic substances. Much emphasis was laid

on the total quantity of the contraband seized and it was held that once the

test reports showed that some of the tablets contained narcotic substances,

it was sufficient to refuse bail to A-4. Critical of the approach of the trial

Court that held that since the test reports were not filed by the prosecuting

agency along with the complaint, the benefit ought to enure in favour of A-

4, the High Court observed that, by the time the Special Judge, EC &

NDPS Cases had pronounced the order on 2nd November, 2020, test

reports were available and ought to have been taken into consideration.

7. Appearing for Bharat Chaudhary [A-4], Mr. Gopal

Shankaranarayanan, learned Senior Advocate has assailed the impugned


Petition for Special Leave to Appeal (Criminal) No. 5703 OF 2021

order contending that there was no good reason for the High Court to have

cancelled the bail granted to A-4 by the learned Special Judge, EC & NDPS

cases. He submitted that a grave error has been committed by the High

Court by completely overlooking the fact that not a single tablet was

recovered from the possession of A-4; that the tablets were seized from the

premises of A-1 to A-3 and some of the extracted samples sent for testing

showed that a large number of the seized pills were sex enhancement

drugs and not contraband; that the seized contraband had not been

produced or sampled before the Magistrate and that A4 has been dragged

into the matter solely on the basis of the confession/statements made by

Raja Chandrasekaran [A-1] under Section 67 of the NDPS Act, despite the

fact that in a recent judgment of this Court in Tofan Singh (supra), the

majority view is that a confessional statement is not admissible in evidence

which view has been followed in Criminal Appeal No. 1273 of 2021 titled

“Sanjeev Chandra Agarwal vs. Union of India”, decided on 25th October,

2021.

8. Mr. Anand Grover, learned Senior counsel appearing on behalf of

Raja Chandrasekharan [A-1] has argued that the High Court has fallen into

an error by rejecting the bail application of A-1 without considering the

submission made that no commercial quantity of the psychotropic

substance had been proved so far. The test reports produced by the


Petition for Special Leave to Appeal (Criminal) No. 5703 OF 2021

prosecution showed that the Ayurvedic/herbal medicines seized were

meant for sex enhancement which do not fall under the ambit of the NDPS

Act and that Standing Order 1/89 issued by the Government of India under

Section 52A of the NDPS Act has been completely disregarded inasmuch

as the samples were not drawn on the spot and/or recovered from the

premises of A-1, nor were the samples drawn in the office of DRI in the

presence of the accused and the Panchas. It was canvassed that the

sanctity and integrity of the seizure made is highly doubtful on account of

failure on the part of the prosecuting agency to follow the procedure

prescribed in Sections 42 and 52 of the NDPS Act. It was also argued that

the information received and recorded in the present case, was in respect

of the alleged export of the psychotropic substances from the premises of

M/s Aviation Star Express, a franchisee of M/s. DHL Express Limited and

there is no mention of A-1 or his premises in the information referred to

under Section 42 of the NDPS Act.

9. Per contra, Ms. Aishwarya Bhati, learned Additional Solicitor General

appearing for DRI has supported the impugned judgment and vehemently

argued that A-4 is the mastermind behind the entire criminal conspiracy

and he, in connivance with A-1, has been supplying contraband to A-1 to A-

3, for being illegally exported abroad under the garb of sex enhancement

tablets. She alluded to the 71 samples sent for testing and the test report


Petition for Special Leave to Appeal (Criminal) No. 5703 OF 2021

of CRCL, Chennai dated 18th December, 2019 confirming the presence of

narcotic substances along with male potency increment drugs and

strenuously argued that the nexus between A-4 and A-1 to A-3 is not only

established through the statements of A-1 to A-3 recorded under Section 67

of the NDPS Act, but also from the documents in the form of printouts of the

data downloaded from the moblie phone and laptop of A-4, in particular, the

Whatsapp chats and bank transactions between A-1 and A-4. Submitting

that since the twin tests laid down under Section 37 of the NDPS Act in

respect of commercial quantity for grant of bail have not been satisfied, the

impugned order does not deserve interference.

10. After carefully examining the arguments advanced by learned

counsel for the parties and having cursorily glanced at the records, we are

of the opinion that the impugned order cancelling the bail granted in favour

of Bharat Chaudhary [A-4], is not sustanabile in view of the fact that the

records sought to be relied upon by the prosecution show that one test

report dated 6th December, 2019, two test reports dated 17th December,

2019 and one test report dated 21st December, 2019 in respect of the

sample pills/tablets drawn and sent for testing by the prosecuting agency

conclude with a note appended by the Assistant Commercial Examiner at

the foot of the reports stating that “quantitative analysis of the samples

could not be carried out for want of facilities”. In the absence of any clarity


Petition for Special Leave to Appeal (Criminal) No. 5703 OF 2021

so far on the quantitative analysis of the samples, the prosecution cannot

be heard to state at this preliminary stage that the petitioners have been

found to be in possession of commercial quantity of psychotropic

subtances as contemplated under the NDPS Act. Further, a large number

of the tablets that have been seized by the DRI admittedly contain

herbs/medicines meant to enhance male potency and they do not attract

the provisions of the NDPS Act. Most importantly, none of the tablets were

seized by the prosecution during the course of the search conducted, either

at the office or at the residence of A-4 at Jaipur, on 16th March, 2020.

Reliance on printouts of Whatsapp messages downloaded from the mobile

phone and devices seized from the office premises of A-4 cannot be

treated at this stage as sufficient material to establish a live link between

him and A-1 to A-3, when even as per the prosecution, scientific reports in

respect of the said devices is still awaited.

11. In the absence of any psychotropic substance found in the conscious

possession of A-4, we are of the opinion that mere reliance on the

statement made by A-1 to A-3 under Section 67 of the NDPS Act is too

tenuous a ground to sustain the impugned order dated 15th July, 2021. This

is all the more so when such a reliance runs contrary to the ruling in Tofan

Singh (supra). The impugned order qua A-4 is, accordingly, quashed and

set aside and the order dated 2nd November, 2020 passed by the learned


Petition for Special Leave to Appeal (Criminal) No. 5703 OF 2021

Special Judge, EC & NDPS Cases, is restored. As for Raja

Chandrasekharan [A-1], since the charge sheet has already been filed and

by now the said accused has remained in custody for over a period of two

years, it is deemed appropriate to release him on bail, subject to the

satisfaction of the trial Court.

12. Before parting with the cases, it is clarified that the prima facie

observations made hereinabove are limited to considering the relief of

regular bail prayed for by the petitioners and nothing expressed

hereinabove shall be treated as an observation on the merits of the case,

i.e., CC No.0000037/2020, pending trial. The petitions for special leave to

appeal are disposed of in the above terms.

.................................CJI.

[N. V. RAMANA]

...................................J.

[SURYA KANT]

...................................J.

[HIMA KOHLI]

New Delhi,

December 13, 2021


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