The Supreme Court on September 2, 2026, directed the interim release of a truck seized in a Gujarat prohibition case involving the alleged transportation of 8,064 bottles of Indian-Made Foreign Liquor (IMFL). The Court held that Section 98(2) of the Gujarat Prohibition Act cannot by itself prevent a criminal court from considering interim custody of a seized vehicle.
The judgment was delivered by a Bench comprising Justice Prashant Kumar Mishra and Justice Shree Chandrashekhar. The Court clarified that its findings were limited to custody of the vehicle and would not affect the pending trial on merits.
Background of the Case
The case arose from a seizure made during the intervening night of January 4-5, 2025, near Lunawada in Gujarat. Police intercepted an Ashok Leyland truck allegedly carrying IMFL while travelling from Modasa towards Vadodara.
According to the judgment, police recovered 8,064 bottles, amounting to about 22,532.253 litres, valued at approximately Rs. 17.02 lakh. The truck also contained edible goods valued at about Rs. 98.66 lakh.
A charge-sheet was subsequently filed against four accused persons under provisions of the Gujarat Prohibition Act. The truck owner sought its interim custody, but the Chief Judicial Magistrate, Sessions Court and Gujarat High Court declined the request.
Supreme Court's Observation
The Supreme Court examined whether the statutory restriction under Section 98(2) completely prevented release of the seized vehicle.
The Court referred to earlier decisions, including Sunderbhai Ambalal Desai and Khengarbhai Lakhabhai Dambhala, and noted that vehicles should not unnecessarily remain parked at police stations for years while their condition and value deteriorate.
The Bench observed:
“Section 98(2) of the Prohibition Act is not absolute embargo and the Trial Court must exercise its powers under Section 451 of the Code of Criminal Procedure, 1973 to pass appropriate order on the interim custody of the articles produced before the Court.”
The Court further found that the truck's continued detention caused ongoing loss to the appellant and that its evidentiary value could be preserved through a panchnama, photographs and videography.
Decision
The Supreme Court allowed the appeal, set aside the orders of the courts below and directed that interim custody of the truck be handed over to the appellant.
The release was made subject to a Rs. 15 lakh personal bond and appropriate security, production of the vehicle whenever directed, and a restriction on its sale or creation of third-party rights. The investigating officer was also directed to prepare a detailed panchnama along with photographs and videography before handing over the vehicle.
The Court clarified that the order concerned only interim custody and would not amount to an opinion on the merits of the pending trial.
Case Details
Case Title: M/s. ABC Express v. State of Gujarat
Case Number: Criminal Appeal No. 4172 of 2026, arising out of SLP (Crl.) No. 10301 of 2026
Judge: Justice Prashant Kumar Mishra and Justice Shree Chandrashekhar
Decision Date: September 2, 2026
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