Bombay High Court Quashes Prosecution for Display of Signboard of Bar Name, Holding It Not an Advertisement Under Mumbai Municipal Corporation Act. Signboard indicating business name does not constitute advertisement under Section 328A of the Mumbai Municipal Corporation Act, 1888, and display without license is not punishable under Section 471.

High Court: Bombay High Court Bench: BOMBAY In Favour of Accused
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Case Note & Summary

The case involves multiple criminal writ petitions filed by the petitioners, who were prosecuted for displaying an illuminated signboard bearing the name 'Deepa Bar' outside their business premises. The petitioners, holding different positions in the same bar, were charged under Section 328A read with Section 471 of the Mumbai Municipal Corporation Act, 1888, for allegedly displaying an advertisement without a license. The complaints were cryptic, containing only a one-line allegation that a signboard of a particular size was displayed. The core legal issue was whether a signboard indicating the name of a business place amounts to an advertisement under the Act. The petitioners argued that such a signboard is not an advertisement and therefore not an offence. The court relied on the Supreme Court's decision in ICICI Bank & Anr. v. Municipal Corpn. Of Greater Bombay & Ors., (2005) 6 SCC 404, which held that whether a signboard constitutes an advertisement depends on the facts of each case, considering factors like commercial interest. The court noted that the complaints lacked any details to suggest that the signboard had a commercial or business interest beyond identifying the location. Consequently, the court quashed the complaints and the proceedings against the petitioners, holding that the display of a signboard indicating the name of a business place does not amount to an advertisement under Section 328A, and therefore no offence under Section 471 is made out.

Headnote

A) Municipal Law - Advertisement - Definition - Section 328A, Mumbai Municipal Corporation Act, 1888 - Signboard indicating name of business place - The court considered whether a signboard displaying the name of a bar (Deepa Bar) constitutes an advertisement. Relying on ICICI Bank v. Municipal Corpn. of Greater Bombay, (2005) 6 SCC 404, the court held that whether a signboard amounts to an advertisement depends on the facts of each case. In the absence of any details in the complaints, the signboard merely indicating the name of the business place cannot be treated as an advertisement. The prosecution under Section 471 for violation of Section 328A was quashed. (Paras 2-5)

B) Criminal Procedure - Complaint - Sufficiency of Allegations - Section 328A, Mumbai Municipal Corporation Act, 1888 - The complaints were cryptic, containing only a one-line allegation that a signboard of a particular size was displayed outside the bar. No details of the alleged offence were provided. The court held that such vague complaints cannot sustain a prosecution for an offence under Section 328A read with Section 471. (Paras 2, 5)

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Issue of Consideration

Whether the display of an illuminated signboard indicating the name of a business place amounts to an advertisement within the meaning of Section 328A of the Mumbai Municipal Corporation Act, and whether such display without a license is punishable under Section 471 of the said Act.

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Final Decision

The court allowed the petitions and quashed the complaints and proceedings against the petitioners. The court held that the display of a signboard indicating the name of a business place does not amount to an advertisement within the meaning of Section 328A of the Mumbai Municipal Corporation Act, and therefore no offence under Section 471 is made out.

Law Points

  • Signboard indicating name of business place does not amount to advertisement
  • Display of signboard without license not an offence under Section 328A and 471 of Mumbai Municipal Corporation Act
  • Question of whether signboard is advertisement depends on facts of each case
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Case Details

2014 LawText (BOM) (09) 73

Criminal Writ Petition No. 1028 of 2014 with Criminal Writ Petition No. 2830 of 2013, Criminal Writ Petition No. 3287 of 2013, Criminal Writ Petition No. 1244 of 2009, Criminal Writ Petition No. 1245 of 2009

2014-09-17

M.L. Tahaliyani

Mr. S. P. Kanuga for petitioners, Mr. Ajit Patil APP for respondent-State, Mr. Prakash Naik for respondent-BMC

Bajpe Shivram Shetty, Vinay Shetty

State of Maharashtra & Ors.

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Nature of Litigation

Criminal writ petitions challenging prosecution for display of signboard without license under Mumbai Municipal Corporation Act.

Remedy Sought

Quashing of complaints and proceedings against the petitioners for alleged offence under Section 328A read with Section 471 of the Mumbai Municipal Corporation Act.

Filing Reason

The petitioners were prosecuted for displaying an illuminated signboard bearing the name 'Deepa Bar' outside their business premises, which the Municipal Corporation alleged was an advertisement displayed without a license.

Issues

Whether the display of an illuminated signboard indicating the name of a business place amounts to an advertisement within the meaning of Section 328A of the Mumbai Municipal Corporation Act. Whether such display without a license is punishable under Section 471 of the said Act.

Submissions/Arguments

The petitioners argued that a signboard indicating the name of a business place does not amount to an advertisement and therefore does not constitute an offence under Section 328A or punishable under Section 471 of the Mumbai Municipal Corporation Act. The respondent-State and BMC argued that the signboard was an advertisement and required a license under the Act.

Ratio Decidendi

A signboard indicating the name of a business place does not per se amount to an advertisement under Section 328A of the Mumbai Municipal Corporation Act. Whether a signboard constitutes an advertisement depends on the facts of each case, and in the absence of any details suggesting commercial interest beyond identification, such display is not an offence under Section 471.

Judgment Excerpts

The issue involved in these petitions is common and is being decided by the common judgment and order. The issue raised by the learned counsel for the petitioners is that the signboard indicating the name of business place does not amount to an advertisement and, therefore, the display of signboard will not amount to an offence within the meaning of Section 328A of Mumbai Municipal Corporation Act and will not be punishable u/s 471 of the said Act. The Hon'ble Supreme Court has made the following observations in respect of ATM signboards of the bank at para 20: 'From the aforesaid analysis, in all fact situations and circumstances, at the outset it cannot be said that the signboards indicating ATM centres cannot have commercial interest but would only tell about the location of the ATM centres to the existing account-holders only. Whether signboard of an ATM centre tantamounts to be an advertisement or not would depend upon the facts of each case...'

Procedural History

The petitions were filed challenging the complaints and proceedings initiated against the petitioners under Section 328A read with Section 471 of the Mumbai Municipal Corporation Act. Two petitions (1244/2009 and 1245/2009) were already admitted and listed for final hearing; the rest were admitted and heard finally by consent. The court decided all petitions by a common judgment.

Acts & Sections

  • Mumbai Municipal Corporation Act, 1888: 328A, 471
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