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Delhi HC Quashes SWM Act Proceedings Against Directors Without Company as Accused

Case Law Details

TaxGuru Citation
2026 taxguru.in 10975
Case Name
Amar Tea Pvt. Ltd. Vs State Govt of NCT. of Delhi (Delhi High Court)
Date of Judgement/Order
Only available for paid members
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Amar Tea Pvt. Ltd. Vs State Govt of NCT. of Delhi (Delhi High Court)

The Delhi High Court allowed a petition under Section 482 of the Code of Criminal Procedure, 1973 filed by Amar Tea Pvt. Ltd., seeking quashing of the Summoning Order dated 31.07.2010 in C.C. No. 2593-2594/2010 and proceedings arising under Sections 39 and 63 of the Standards of Weights and Measures Act, 1976 (SWM Act).

Amar Tea Pvt. Ltd., a company registered under the Companies Act with its registered office at Mumbai, was engaged in manufacturing and marketing tea and allied products under the trademark “Society Tea”. An inspection was conducted on 29.03.2010 at the premises of M/s Jain Sales Co., Shahdara, Delhi, during which a 250-gram packet of tea under the brand of Amar Tea was seized. It was alleged that the packet did not contain a customer care number and that its packaging date was handwritten as “3/10”. The packet indicated Amar Tea Pvt. Ltd. as “Packaged and Marketed by”.

A notice dated 25.05.2010 was served upon M/s Jain Agencies through its proprietor, Naveen Jain. The proprietor pleaded guilty and the matter was disposed of. A fine of Rs.3,000/- was imposed upon him by order dated 11.06.2010. Subsequently, a second notice relating to the same inspection was issued to “All Directors, M/s Amar Tea Ltd.”, and cognizance was taken, resulting in the Summoning Order dated 31.07.2010.

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Author Info

CA Sandeep Kanoi
Qualification: CA in Job / Business
Company: Taxguru Consultancy
Location: Mumbai, Maharashtra
Articles Published: 20,920

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