KANCHANLAL MANEKLAL CHOKSHI vs THE STATE OF GUJARAT AND ORS.

The Supreme Court held that while the possibility of prosecution is not an absolute bar to preventive detention under the Conservation of Foreign Exchange and Prevention of Smuggling Activities Act, 1974, the detaining authority must consider this possibility. Failure to do so may indicate that the authority did not apply its mind to the necessity of detention, rendering the order void. The Court clarified that the mere existence of a potential prosecution does not preclude preventive detention, but the authority must demonstrate that it considered this aspect before issuing the detention order.