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MCQs on The Punjab Prevention of Hoarding Act 2020

Description: The Punjab Prevention of Hoarding Act 2020

The Punjab Prevention of Hoarding Act 2020 was enacted to control artificial shortages, stabilize market prices, and ensure the availability of essential goods to the public. The law strictly prohibits hoarding of more than the permitted quantity of scheduled items, which include over 40 essentials like wheat, sugar, flour, cement, fuel, medicines, and masks.

Key features of the Act include:

Strict Punishments: Up to 3 years imprisonment and heavy fines (50% of hoarded goodsโ€™ value).

Non-bailable Offences: All offences are cognizable and non-bailable.

Inspection & Seizure: Deputy Commissioners and notified officers are empowered to inspect, seize, and even conduct searches without warrant if reasonable grounds exist.

Auction of Goods: Seized goods are auctioned immediately, and proceeds are kept until final court decision. If acquitted, the dealer gets the money back with profit; if convicted, proceeds go to the government.

Company & Dealer Liability: Both individuals and companies, including their responsible officers, can be prosecuted.

Trials: Summary in nature, to be completed within 30 days, with a right of appeal within another 30 days.

Informersโ€™ Reward: Informers are entitled to 10% of the value of hoarded goods upon conviction.

Province-wide Enforcement: Applicable across Punjab, with the list of essential items updated by the Government of Punjab.
๐Ÿ‘‰ Overall, the Act serves as a legal weapon against profiteering and black-marketing, ensuring uninterrupted supply of essential commodities to the people.

What is the main objective of the Act?

A. To collect taxes
B. To prevent hoarding and ensure availability of essential items
C. To regulate exports
D. To fix wages
Correct answer is: B. To prevent hoarding and ensure availability of essential items
The lawโ€™s aim is to stop hoarding and ensure supply of essentials.

Is there any reward for informers?

A. No
B. Yes, 5% of goods value
C. Yes, 10% of value upon conviction
D. Only government employees
Correct answer is: C. Yes, 10% of value upon conviction
Informers receive 10% reward after conviction.

How is hoarding defined under the Act?

A. Importing goods illegally
B. Storing goods beyond allowed limit to create scarcity
C. Selling without license
D. Smuggling goods abroad
Correct answer is: B. Storing goods beyond allowed limit to create scarcity
Hoarding means keeping more than the allowed stock to create shortage.

Who is considered a dealer under the Act?

A. Only manufacturers
B. Only wholesalers
C. Anyone making, storing, selling, or distributing essential goods
D. Only retailers
Correct answer is: C. Anyone making, storing, selling, or distributing essential goods
The law defines dealer broadly to include all handlers of essential goods.

Which of the following are examples of scheduled goods?

A. Toys, clothes, jewelry
B. Wheat, sugar, flour, fuel, masks, medicines, cement
C. Mobile phones, laptops, cars
D. None
Correct answer is: B. Wheat, sugar, flour, fuel, masks, medicines, cement
These are listed as scheduled essential goods.

What is the punishment for hoarding under this Act?

A. 1 year jail
B. Up to 3 years jail and 50% fine of value of hoarded goods
C. Only fine
D. Lifetime imprisonment
Correct answer is: B. Up to 3 years jail and 50% fine of value of hoarded goods
Punishment is imprisonment up to 3 years and 50% value fine.

Does the Act also cover producers and wholesalers?

A. No, only retailers
B. Yes, including producers and wholesalers
C. Only companies
D. Only importers
Correct answer is: B. Yes, including producers and wholesalers
Producers and wholesalers are covered under definition of dealer.

Are offences under this Act bailable?

A. Yes, bailable
B. No, non-bailable and cognizable
C. Only by High Court
D. Compoundable with fine
Correct answer is: B. No, non-bailable and cognizable
The law makes offences non-bailable and cognizable.

Who has authority to inspect or seize goods?

A. Police only
B. Deputy Commissioners and other notified officers
C. Judges
D. Federal Government
Correct answer is: B. Deputy Commissioners and other notified officers
DCs and notified officers have inspection/seizure powers.

Does the Act allow random inspections?

A. No, never
B. Yes, with reasonable belief
C. Only in cities
D. Only by police
Correct answer is: B. Yes, with reasonable belief
Random inspections allowed if reasonable belief exists.

What happens to seized goods?

A. Kept in godowns
B. Auctioned and proceeds held till decision
C. Given to poor
D. Sent to federal govt
Correct answer is: B. Auctioned and proceeds held till decision
Goods are auctioned, money kept until case is decided.

If convicted, what happens to auction proceeds?

A. Returned to accused
B. Confiscated by government
C. Given to poor
D. Shared with informer only
Correct answer is: B. Confiscated by government
Proceeds are forfeited to the government if found guilty.

Are auctions allowed before final judgment?

A. No
B. Yes, proceeds kept till court decision
C. Only with High Court order
D. Only if goods are perishable
Correct answer is: B. Yes, proceeds kept till court decision
Goods may be auctioned before judgment, money held until decision.
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