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Issues: (i) Whether drugs notified as manufactured drugs under the narcotic law, though also regulated by the drugs legislation, can be prosecuted under the narcotic law. (ii) Whether the dosage-based exceptions in the notification governing manufactured drugs apply to bulk possession and carriage of such drugs without authorization, and how quantity is to be determined.
Issue (i): Whether drugs notified as manufactured drugs under the narcotic law, though also regulated by the drugs legislation, can be prosecuted under the narcotic law.
Analysis: The statutory scheme treats manufactured drugs as falling within the narcotic law when they are notified by the Central Government under the definition of manufactured drug. The fact that the same substances may also be controlled under the drugs legislation does not exclude the operation of the narcotic law, because the latter is in addition to, and not in derogation of, the former. Where the substance is covered by the notification and the possession, sale, transport or use is in contravention of the narcotic law or its rules, prosecution under the narcotic law is maintainable.
Conclusion: Yes. A person in contravention of the narcotic law in relation to a notified manufactured drug can be prosecuted under the narcotic law, even if the substance is also governed by the drugs legislation.
Issue (ii): Whether the dosage-based exceptions in the notification governing manufactured drugs apply to bulk possession and carriage of such drugs without authorization, and how quantity is to be determined.
Analysis: The notification exceptions for certain dosage units are meant for legitimate medicinal or therapeutic use. Where the substances are found in bulk form, carried, stored, sold or transported without a valid licence or permit, the court treated the entire bulk as relevant for determining contravention and rejected a per-capsule or per-dosage approach. The quantity notifications on small and commercial quantity apply to the entire mixture or dosage form, not merely to pure drug content, and the absence of authorization makes the exception inapplicable in such cases.
Conclusion: No. The dosage-based exception does not protect bulk, unauthorized possession or carriage, and quantity must be assessed with reference to the entire bulk or mixture for the purpose of contravention and punishment.
Final Conclusion: The reference was answered by holding that notified manufactured drugs and covered psychotropic substances, when possessed or dealt with in bulk without lawful authorization and in a manner inconsistent with therapeutic or medicinal use, can be proceeded against under the narcotic law.
Ratio Decidendi: When a substance is notified as a manufactured drug or covered psychotropic substance, overlapping regulation under the drugs legislation does not bar prosecution under the narcotic law, and unauthorized bulk possession or carriage is to be judged on the basis of the entire quantity rather than dosage-unit exceptions intended for lawful medicinal use.