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Issues: (i) Whether the Special Court constituted under the Essential Commodities Act, 1955 could exercise the power under section 167(5) of the Code of Criminal Procedure, 1973 in relation to an accused forwarded to it under section 12AA(1)(b) of the Act; (ii) Whether, after stoppage of investigation under section 167(5), the Special Court could still take cognizance on a police report filed under section 173(2) of the Code.
Issue (i): Whether the Special Court constituted under the Essential Commodities Act, 1955 could exercise the power under section 167(5) of the Code of Criminal Procedure, 1973 in relation to an accused forwarded to it under section 12AA(1)(b) of the Act.
Analysis: Offences under section 7(1)(a)(ii) of the Act, after the 1981 amendment, are triable by a Special Court in a summary way under section 12AA(1)(f), with the sentencing power on conviction restricted by the proviso to section 12AA(1)(f). By reason of section 262 of the Code, summary trials follow the procedure of summons-cases, and section 12AA(1)(c) expressly enables the Special Court to exercise the powers which a Magistrate may exercise under section 167 of the Code. Reading these provisions together, the six-month limitation in section 167(5) applies to such prosecutions.
Conclusion: Yes. The Special Court could invoke section 167(5) and was bound to stop further investigation if the statutory period expired without valid extension.
Issue (ii): Whether, after stoppage of investigation under section 167(5), the Special Court could still take cognizance on a police report filed under section 173(2) of the Code.
Analysis: Stoppage of further investigation does not invalidate the investigation already conducted within time. Section 173(2) requires forwarding of the police report after completion of investigation, and nothing in section 167(5) excludes cognizance on a report based on the lawful material collected before the investigation was stopped. The court distinguished the bar on further investigation from the separate question of cognizance on a completed police report.
Conclusion: Yes. The Special Court could entertain the police report and take cognizance on the basis of the investigation material already collected within the permissible period.
Final Conclusion: The appeal succeeded only to the extent that the quashing of cognizance was set aside, while the applicability of section 167(5) to Special Court proceedings was affirmed and the trial was directed to continue from the stage already reached.
Ratio Decidendi: Where a Special Court under the Essential Commodities Act tries offences summarily under section 12AA, section 167(5) of the Code applies, but stoppage of further investigation does not preclude cognizance on a valid police report founded on investigation lawfully completed within time.
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