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M/S Shiv Shankar Enterprises vs Union Of India
2026 Latest Caselaw 5743 Raj

Citation : 2026 Latest Caselaw 5743 Raj
Judgement Date : 13 April, 2026

[Cites 7, Cited by 0]

Rajasthan High Court - Jodhpur

M/S Shiv Shankar Enterprises vs Union Of India on 13 April, 2026

Author: Pushpendra Singh Bhati
Bench: Pushpendra Singh Bhati
[2026:RJ-JD:16095-DB]

      HIGH COURT OF JUDICATURE FOR RAJASTHAN AT
                       JODHPUR
                D.B. Civil Writ Petition No. 14098/2025

1.       Bhagwat Singh Chauhan S/o Bheru Singh Chauhan, Aged
         About 48 Years, 478-C Sector, Panchwati Ward No. 33,
         Bhilwara, Po Bhilwara, Dist Bhilwara, Rajasthan - 311001
2.       Jeevraj Sankhla And Company Through Proprietor And
         Occupier Of Le-3, License Narendra Kumar Sankhla S/o
         Jeevraj Sankhla R/o 1,495, Housing Board, Nagaur -
         341001
3.       Ms Mahavir Shivshakti Drilling Company, Through Partner
         And Occupier Of Le-3 License Shri Radheshyam Jat S/o
         Chitarmal Jat Aged About 43 Years R/o Hanuman Mandir
         Ke Saamne, Gram Bhavna S, Bhaolas, Joravarpura,
         Bhilwara, Rajasthan 311402
4.       M/s   Devnarayan           Enterprises,         Through    Partner   And
         Occupier Of Le-3 License Sh. Kailash Chandra Jat S/o
         Devi Lal Jat Aged About 29 Years, R/o Koshithlal, Jato Ka
         Mohalla, Vtc Koshithlal, Po Koshithlal, Sahara, Bhilwara
         Rajasthan - 311805
5.       M/s Balaji Enterprises, Through Partner And Occupier Of
         Le-3 License Sh. Shankar Lal Jat S/o Sheshmal Jat Aged
         About 48 Years, R/o 30, Dev Narayan Mandir Ke Pass,
         Merniya Khera, Kot, Merniya Khera, Bhilwara - 311803
6.       M/s K K Nagda And Company, Through Partner And
         Occupier Of Le-3 License Sh. Om Prakash S/o Devi Lal Jat
         Aged About 33 Years, R/o Jato Ka Mohalla, Koshithal,
         Koshithal, Bhilwara, Rajasthan - 311805
7.       M/s Karni Enterprise, Hrough Partner And Occupier Of Le-
         3 License Sh. Laxman Singh Barhath S/o Himmat Singh
         Barhath Aged About 43 Years, R/o 148 Uganda Bass,
         Khari Kallan, Khari Kalan, Polasani, Jodhpur 342027
8.       M/s Shri Krishna Agency, Through Partner And Occupier
         Of Le-3 Sh. Mahesh Kumar Ajmera S/o Roop Lal Ajmera
         Aged About 45 Years, R/o 107, Kanchipuram, Bilwara,
         Bhilwara, Rajasthan - 311001
9.       M/s Divya Enterprises, Through Partner Sh. Kailash
         Chandra Pancholi S/o Amba Lal Pancholi Aged About 47
         Years, R/o Vishnu Mohalla, Palran, Palran, Bhilwara -
         311803


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10.      M/s Shivam Explotech Private Limited, Through Director
         Ratan    Lal    Jagetiya        (Din-07359803)             S/o    Laxmi    Lal
         Jagetiya, Aged About 47 Years, Agalo Ka Mohalla, Bassi,
         Bassi, Chittorgarh, Chittorgarh, Rajasthan 312022
11.      M/s Nagda And Nagda Contractors, Through Partner And
         Occupier Of Le-3 License Sh. Uday Jaat S/o Bhanwar Lal
         Jat Aged About 25 Years, R/o 62, Nila Gear, Pachataron
         Ka Khera, Palran, Bhilwara, Rajasthan 311803
12.      M/s     Devnarayan         Enterprises,         Through      Partner      And
         Occupier Of Le-3 Kalu Lal Sharama S/o Narayan Lal
         Sharma Aged About 48 Years, R/o 180, Bade Mandir Ke
         Pass, Gadarmala, Gadarmala, Bhilwara - 311802
13.      M/s Poonam Explosives, Through Partner And Occupier Of
         Le-3 License Sh. Mushtaq Mohammad S/o Kamrudin
         Mohammad Aged About 59 Years, R/o Ward No. 7,
         Shorgaro Ka Mohalla, Deogarh, Rajsamand, Rajasthan
         313331
14.      M/s Sundar Explosives, Through Partner Rahul Jain S/o
         Rajmal Jain Aged About 31 Years, R/o Ward No. 3, Main
         Road, Simalwara, Dungarpur, Rajasthan - 314403
                                                                      ----Petitioners
                                       Versus
1.       Union Of India, Through Ministry Of Commerce And
         Industry, Department For Promote Industry And Internal
         Trade, Vanijya Bhawan, New Delhi - 110011
2.       Petroleum And Explosive Safety Organisation, Through
         Chief Controller Of Explosives, A Block Cgo Complex Fifth
         Floor Seminary Hills Nagpur - (Maharashtra) - 440006
3.       Joint Chief Controller Of Explosives, Hall No 502 And 507,
         Level-5, Block B, Old Cgo Complex Nh Iv, Faridabad-
         (Haryana) -121001
4.       Deputy Chief Controller Of Explosives, Amrapali Road,
         Near Power House, Vaishali Nagar, Jaipur-(Rajasthan) -
         302004
                                                                    ----Respondents
                                 Connected With
                 D.B. Civil Writ Petition No. 14477/2025
M/s Shiv Shankar Enterprises, C-164 Shastri Nagar, Bhilwara,


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Rajasthan Through Its Partner, Shri Ajay Pal Singh Shekhawat S/
o Shri Mithu Singh Shekhawat, Aged About 38 Years, Resident Of
Borda, District Bhilwara, Rajasthan.
                                                                       ----Petitioner
                                       Versus
1.       Union Of India, Through Joint Secretary, Department Of
         Promotion Of Industry And Internal Trade, Ministry Of
         Commerce And Industry, Government Of India, New Delhi
         - 110011.
2.       The Additional Secretary, Department Of Promotion Of
         Industry And Internet Trade, Ministry Of Commerce And
         Industry, Government Of India, New Delhi - 110011.
3.       The   Chief     Controller        Of      Explosives,      Petroleum   And
         Explosives Safay Organization, Government Of India, A-
         Block, 5Th Floor, Cgo Complex, Seminary Hills, Nagpur,
         Maharashtra - 440006.
4.       Joint Chief Controller Of Explosives, Bhopal Circle, Bhopal,
         E- 7/77, 2Nd Floor, Lal Lajpat Rai Society, Near 12
         Number Bus Stop, Area Colony, Bhopal, Madhyapradesh -
         462016.
                                                                    ----Respondents


For Petitioner(s)            :     Mr. Tapendra Sankhla
                                   Mr. Prakash Kumar, for
                                   Mr. Lokesh Mathur
For Respondent(s)            :     Mr. Vaibhav Bhansali, for
                                   Mr. B.P. Bohra, Sr. C.G.S.C.



     HON'BLE DR. JUSTICE PUSHPENDRA SINGH BHATI

HON'BLE MR. JUSTICE SANDEEP SHAH

Judgment

1. Date of conclusion of arguments 25.03.2026

2. Date on which judgment was reserved 25.03.2026

3. Whether the full judgment or only the operative part is pronounced: Full Judgment

4. Date of pronouncement 13.04.2026

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Per Dr. Pushpendra Singh Bhati, J

1. The present batch of writ petitions involves common

questions of law and fact arising out of challenge to the

Notification dated 01.07.2025 and the consequential Circular

dated 09.07.2025 issued by the respondent authorities. For the

sake of convenience, D.B. Civil Writ Petition No. 14098/2025

(Bhagwat Singh Chauhan & Ors. Vs. Union of India & Ors.) is

treated as the lead case, and the facts are being referred

therefrom.

1.1. The instant D.B. Civil Writ Petition No. 14098/2025

(Bhagwat Singh Chauhan & Ors. Vs. Union of India & Ors.) had

been filed by the petitioners seeking, inter alia, the following

reliefs:

"It is, therefore, most respectfully and humble prayed that the writ petition may kindly be allowed and;

i. By an appropriate writ, order or direction Impugned Notification dated 01.07.2025 (ANNEXURE - P/1) may kindly be held as arbitrary, violative of rights conferred under Article 14 and Article 19.

ii. By an appropriate writ, order or direction Impugned (ANNEXURE P/2) Circular dated 09.07.2025 may kindly be set aside and held as arbitrary, illegal and violative of Article 14 and Article 19;

iii. By an appropriate writ, order or direction, Petitioners may kindly be allowed to lawfully utilise the existing stock of electric detonator held under licence in Form LE-3.

iv. Any other appropriate order or direction, which this Hon'ble Court considers just and proper in the facts and

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[2026:RJ-JD:16095-DB] (5 of 14) [CW-14098/2025]

circumstances of this case, may kindly be passed in favour of the petitioner.

v. Costs of the writ petition may kindly be awarded to the petitioner. "

2. The petitioners are holders of licences in Form LE-3 issued

under the Explosives Act, 1884 and the Explosives Rules, 2008 by

the Petroleum and Explosives Safety Organisation (PESO),

authorising them to possess and deal in explosives, including

electric detonators.

2.1. The respondent No.1 - Department for Promotion of Industry

and Internal Trade (DPIIT), Ministry of Commerce and Industry,

Government of India, exercises powers under the Explosives Act,

1884. The respondent No.2 - Petroleum and Explosives Safety

Organisation (PESO), along with its field authorities, administers

and enforces the provisions of the Act and the Rules framed

thereunder.

2.2. The Central Government, in exercise of powers under Section

6(1)(a) of the Explosives Act, 1884, issued a notification dated

29.09.2023, providing for prohibition on manufacture, possession

and import of electric detonators with effect from 01.04.2025.

Subsequent communications were issued by the respondent

authorities from time to time, including letters dated 10.10.2023,

30.04.2024, 27.08.2024, 30.12.2024, 03.04.2025 and

21.04.2025, in relation to phasing out of electric detonators.

2.3. Thereafter, vide notification dated 02.04.2025, the date of

enforcement of the prohibition was extended to 01.07.2025.

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2.4. A meeting dated 27.06.2025 was held involving the

concerned authorities and stakeholders in relation to the phasing

out of electric detonators.

2.5. Subsequently, notification dated 01.07.2025 was issued,

whereby manufacture, possession and import of electric

detonators was prohibited with effect from 01.07.2025, with

certain specified exceptions.

2.6. Thereafter, a circular dated 09.07.2025 was issued by the

respondent authorities directing declaration and destruction of

existing stock of electric detonators held by license holders.

2.7. Subsequent notification dated 29.12.2025 reiterated the

prohibition and provided for certain exceptions in specified

sectors.

2.8. Further, memoranda dated 18.12.2025 and 30.12.2025 were

issued by the respondent authorities regarding compliance and

monitoring of destruction of electric detonators.

2.9. The present writ petitions have been filed challenging the

notification dated 01.07.2025 and the circular dated 09.07.2025.

3. Mr. Tapendra Sankhla, Mr. Prakash Kumar, for Mr. Lokesh

Mathur, learned counsel for the petitioners submitted that the

petitioners are not challenging the larger policy decision of the

respondent-Union of India to prohibit manufacture, possession

and import of electric detonators in the interest of public safety,

but are seeking a limited relief with regard to utilisation of the

existing stock lawfully acquired under valid LE-3 licences.

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3.1. It was submitted that the procedure adopted by the

respondents in implementing the prohibition is arbitrary and

violative of Article 14 of the Constitution of India, inasmuch as

different classes of stakeholders have been treated unequally

without any reasonable basis.

3.2. Learned counsel submitted that the manufacturers were

permitted to continue manufacturing electric detonators from

29.09.2023 till 30.06.2025 and were also granted extensions and

facilitation to scale up production and exhaust their stock. It was

further submitted that entities engaged in coal, oil and gas sectors

were initially granted time till 30.09.2025 for usage of electric

detonators, which has subsequently been extended till 31.12.2027

vide notification dated 29.12.2025.

3.3. Learned counsel submitted that, in contrast, the petitioners,

who are LE-3 license holders, have not been granted any

reasonable time to exhaust their existing stock and have instead

been directed to destroy the same, thereby singling them out for

adverse treatment.

3.4. It was submitted that Section 6(1)(a) of the Explosives Act,

1884 does not contemplate retrospective application, and the

impugned notification dated 01.07.2025, insofar as it affects

existing stock lawfully acquired prior to its enforcement, operates

in a retrospective manner.

3.5. Learned counsel submitted that the direction contained in the

circular dated 09.07.2025 for destruction of existing stock

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amounts to deprivation of property without authority of law and is

violative of Article 300A of the Constitution of India.

3.6. It was further submitted that the petitioners had lawfully

acquired the stock under valid licences issued by the respondents

themselves and after payment of applicable taxes, and therefore,

the respondents are estopped from directing destruction of such

stock without any provision for compensation, in view of the

doctrine of promissory estoppel and legitimate expectation.

3.7. Learned counsel submitted that the impugned action has

resulted in abrupt cessation of manufacturing and consumption

without any transition period or sunset mechanism, rendering the

same arbitrary and unreasonable.

3.8. It was submitted that in a similar situation concerning

prohibition of nitro-glycerine based explosives vide notification

dated 21.01.2004, additional time was granted till 01.12.2004 for

utilisation of existing stock, thereby indicating a consistent

regulatory approach of allowing transition.

3.9. Learned counsel further submits that controlled utilisation of

existing stock under the existing regulatory framework is

inherently safer than large-scale destruction, which itself involves

handling risks and safety concerns.

3.10. It was submitted that the petitioners were not consulted in

the decision-making process, whereas other stakeholders such as

manufacturers and large industries were consulted and

accommodated, thereby violating the principles of natural justice.

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3.11. Learned counsel submitted that no prejudice would be

caused to the respondents if the petitioners are permitted to

utilise the existing stock under regulatory supervision, whereas

irreparable financial loss would be caused to the petitioners if

destruction is enforced.

3.12. Learned counsel for the petitioners further placed reliance

upon the order passed by the Hon'ble Gujarat High Court in

Gujarat Explosive Dealers Association & Ors. vs. Union of

India & Ors. (Special Civil Application No. 10826 of 2025,

decided on 12.08.2025), wherein in similar circumstances

arising out of the very same notification dated 01.07.2025, the

Hon'ble Court took note of the fact that certain categories of users

were granted extended time for usage of electric detonators,

whereas similarly situated dealers were not extended such benefit.

It was submitted that the Hon'ble Gujarat High Court, while

directing consideration of the representation of the petitioners

therein, specifically observed that the authority shall keep in mind

that "usage of electric detonators for certain categories has been

given more time than that of the time given to the petitioners"

and that the decision should be taken in a manner so as not to

violate Article 14 of the Constitution of India.

3.13. It was, therefore, submitted that in light of the aforesaid

judicial pronouncement, the petitioners herein are entitled to

similar consideration and grant of reasonable time to exhaust the

existing stock, so as to ensure parity and avoid arbitrary

discrimination.

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4. Per contra, Mr. Vaibhav Bhansali, for Mr. B.P. Bohra, learned Sr.

C.G.S.C. learned counsel appearing for the respondents submitted

that the impugned notification dated 01.07.2025 and

consequential circular dated 09.07.2025 have been issued in

exercise of statutory powers under Section 6 of the Explosives Act,

1884, keeping in view overarching considerations of public safety

and national security.

4.1. It was submitted that electric detonators, being explosives of

sensitive nature, possess inherent risk of misuse and, therefore,

the decision to phase out and prohibit their manufacture,

possession and use is a matter of policy falling within the exclusive

domain of the executive.

4.2. Learned counsel submitted that the scope of judicial review in

such policy matters is limited and unless the decision is manifestly

arbitrary or violative of statutory or constitutional provisions, the

same ought not to be interfered with by this Hon'ble Court.

4.3. It was further submitted that adequate time was granted to

all stakeholders, including manufacturers and license holders,

from the initial notification dated 29.09.2023 till 01.07.2025, to

phase out electric detonators and to exhaust existing stock.

4.4. Learned counsel submitted that repeated advisories and

communications were issued by the competent authority directing

all concerned to plan and ensure exhaustion of stock well within

the stipulated time, and therefore, the petitioners cannot now

claim any vested right to continue possession or use beyond the

notified cut-off date.

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4.5. It was submitted that no fundamental right exists to carry on

trade in hazardous substances such as explosives, and such

activity is always subject to strict regulatory control in the interest

of public safety.

4.6. Learned counsel further submitted that the contention

regarding discrimination is misconceived, as the limited exemption

granted to certain sectors such as oil and gas operations was

based on operational and technical considerations peculiar to

those sectors and cannot be equated with general commercial

dealers like the petitioners. It was submitted that such

classification is based on intelligible differentia having a rational

nexus with the object sought to be achieved, namely, ensuring a

controlled and secure transition in critical infrastructure sectors.

4.7. Learned counsel submitted that the direction for destruction

of existing stock is a necessary consequence of the prohibition

imposed and is aimed at eliminating potential risk arising from

continued storage of such sensitive explosives.

4.8. It was further submitted that permitting continued use or sale

of existing stock would defeat the very object of the notification

and prolong the presence of hazardous materials in circulation.

4.9. Learned counsel also submitted that the reliance placed by

the petitioners on the order passed by the Hon'ble Gujarat High

Court is misconceived, inasmuch as the said order was passed at

an interim stage without entering into the merits of the

controversy and, therefore, cannot be relied upon as a precedent

to seek similar relief.

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4.10. Learned counsel submitted that the petitioners have not

demonstrated any legal right that has been infringed, and the

present petition is essentially an attempt to seek extension of time

on equitable considerations, which cannot override prohibition

imposed in public interest.

4.11.It was thus submitted that the writ petition being devoid of

merit deserves to be dismissed.

5. Heard learned counsel for the parties at length and perused the

material available on record.

5.1. This Court observes that the core challenge in the present

batch of writ petitions is confined to the Notification dated

01.07.2025 and the consequential Circular dated 09.07.2025,

whereby manufacture, possession and import of electric

detonators has been prohibited and directions have been issued

for declaration and destruction of the existing stock.

5.2. This Court notes that the power exercised by the respondent-

Union of India emanates from Section 6 of the Explosives Act,

1884, which confers wide regulatory authority upon the Central

Government to prohibit or regulate manufacture, possession, use,

sale, transport, import and export of explosives in the interest of

public safety.

5.3. This Court finds that the impugned notification is a policy

decision taken in larger public interest, particularly having regard

to the hazardous nature of electric detonators and the potential

risks associated with their misuse. This Court further observes

that the prohibition was not brought into effect abruptly, but was

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preceded by the initial notification dated 29.09.2023, followed by

a series of communications and extensions, ultimately culminating

in enforcement from 01.07.2025. Thus, sufficient time was made

available to all stakeholders, including the present petitioners, to

regulate their affairs and exhaust existing stock.

5.4. This Court notes that the contention of discrimination raised

by the petitioners, on the ground that certain sectors such as oil

and gas industries have been granted extended timelines, does

not merit acceptance. This Court further observes that the

classification made by the respondents is founded upon an

intelligible differentia, inasmuch as the sectors which have been

granted limited relaxation, such as oil, gas and certain critical

infrastructure operations, stand on a distinct footing when

compared to general category licence holders like the present

petitioners. This Court notes that such sectors are intrinsically

linked with essential and continuous operations of national

importance, where abrupt discontinuation of the use of electric

detonators may lead to serious operational disruptions, safety

hazards, and cascading effects on energy supply and

infrastructure stability. This Court further observes that the grant

of extended timelines to such sectors is, therefore, guided by

operational necessity, safety considerations, and the requirement

of ensuring a smooth and controlled transition to alternative

technologies.

5.5. This Court thus holds that the distinction drawn between

such critical sectors and the petitioners, who are engaged in

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commercial dealing and distribution, is neither artificial nor

arbitrary, but is based on a rational assessment of differing

operational exigencies. The said classification has a direct and

reasonable nexus with the object sought to be achieved, namely,

phased elimination of hazardous explosives while simultaneously

safeguarding essential services and maintaining public safety.

5.6. This Court further observes that no vested or indefeasible

right accrues in favour of the petitioners to continue possession or

use of explosives beyond the date of prohibition, merely on the

ground that such stock was lawfully acquired under a licence.

Regulatory regimes governing hazardous substances are

inherently subject to change in public interest.

5.7. This Court finds that the petitioners have failed to

demonstrate any arbitrariness, illegality or unconstitutionality in

the impugned notification or the consequential circular so as to

warrant interference by this Court.

6. In view of the aforesaid discussion, this Court does not find

any merit in the present batch of writ petitions.

7. Consequently, the writ petitions are hereby dismissed. All

pending applications, if any, stand disposed of.

(SANDEEP SHAH),J (DR.PUSHPENDRA SINGH BHATI),J

SKant/-

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