Orissa High Court Orders Conditional Release of Seized Betel Nuts

The Orissa High Court at Cuttack, presided over by Justice V. Narasingh, heard the petition of Rajkumar Enterprises, represented through its proprietress Smt Pamparani Jena, challenging the order of the J.M.F.C. (Rural), Balasore, dated 21.04.2026. The trial court had earlier dismissed the plea for release of 665 bags of betel nuts seized in connection with C.T.

The petitioner maintained that ownership of the goods was not contested, as the Department of CT & GST Enforcement Unit had already obtained a penalty of Rs 6,98,250 from the consignor, with the receipt bearing the petitioner’s name. The Investigating Agency’s report, however, also added that “the seized betel nuts are not necessary for the ongoing investigation”. Nevertheless, the lower court had refused to grant release. The State objected to the revision on the ground that as the matter was still under investigation, release should not be granted.

Justice Narasingh, however, referred to the Supreme Court’s decision in Sunderbhai Ambalal Desai v. State of Gujarat (2002) 10 SCC 290, saying “no prejudice would be caused to the prosecution, if the 665 bags of betel nuts are released in favour of the Petitioner”, provided suitable safeguards were imposed. Thus, 660 out of 665 bags were ordered to be released to the petitioner upon furnishing cash security of Rs 5,00,000 and unencumbered property security equivalent to the GST value.

The Court also ordered that the cash security be kept in an interest-bearing account and clarified that all such securities would be subject to the final outcome of the case. These directions disposed of the criminal revision.

To Read The Full Judgement Download The PDF Given Below.