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2025 Supreme(SC) 396

B. R. GAVAI, PRASHANT KUMAR MISHRA, K. V. VISWANATHAN
Hiralal Babulal Soni – Appellant
Versus
State of Maharashtra – Respondent


Advocates appeared:
For the Appellant(s) : Mr. A. P. Singh, Adv. Mr. Naman Saraswat, Adv. Mr. Tavinder Sidhu, Adv. For M/S. M. V. Kini & Associates, AOR Mr. Uday Gupta, Sr. Adv. Mr. Hiren Dasan, Adv. Mr. Chand Qureshi, AOR Mrs. Shivani Lal, Adv. Mr. Harish Dasan, Adv. Mr. Aarif Ali, Adv. Mr. Mujahid Ahmad, Adv. Mr. Pankaj Tiwari, Adv. Mr. Rajiv Ranjan, Adv. Mr. Ajay Sharma, Adv. Mr. Mahendra Mali, Adv. Mr. Deepanshu Rana, Adv.
For the Respondent(s): Mrs. V. D. Khanna, AOR Mr. Mahesh Kumar, Adv. Mr. Akshay Kumar Sharma, Adv. Ms. Devika Khanna, Adv. Mr. Vatan, Adv. Mr. K. M.Nataraj, A.S.G. Mr. R. Bala, Sr. Adv. Mr. Mukesh Kumar Maroria, AOR Mr. Sachin Sharma, Adv. Ms. Suhasini Sen, Adv. Mr. Chinmayee Chandra, Adv. Mr. Siddhant Kohli, Adv. Mr. Vinayak Sharma, Adv. Mr. Aaditya Aniruddha Pande, AOR Mr. Siddharth Dharmadhikari, Adv. Mr. Sourav Singh, Adv. Mr. Chand Qureshi, AOR

Judgement Key Points

Certainly. Based on the provided legal document, here are the key points:

  1. The prosecution must prove its case beyond all reasonable doubts by positively establishing a chain of circumstances. Weaknesses in the defense or the accused's failure to substantiate facts cannot be used as strengths for the prosecution (!) .

  2. Strong suspicion alone cannot replace proof beyond reasonable doubt. The evidence must be conclusive and exclude all other hypotheses of innocence (!) .

  3. In cases involving possession of stolen property, the prosecution must establish that the property was in possession of the accused, that it was previously in the possession of others, and that the accused had knowledge of its stolen nature (!) .

  4. The burden of proof under Section 106 of the Evidence Act allows the court to infer certain facts within the knowledge of the accused if established by the prosecution. However, failure by the accused to provide a proper explanation can be used against them (!) (!) .

  5. The identification of property as stolen requires clear proof that the property in possession is the same as that which was stolen or sold through fraudulent means. Delay in recovery and identification issues can weaken the case and increase the possibility of mistaken identity (!) (!) .

  6. When the evidence does not conclusively prove that the property is the same as that sold by a certain firm, and the chain of circumstances is incomplete, the court cannot draw a conclusive inference of guilt. In such cases, the benefit of doubt should be given to the accused (!) (!) .

  7. Resistance to police during search and seizure can be considered an adverse factor, but it alone does not establish guilt. The primary focus remains on whether the prosecution has proved its case beyond reasonable doubt (!) .

  8. The failure of witnesses to fully support the prosecution's case, especially regarding the identity and origin of the property, can undermine the evidence and lead to acquittal or reversal of conviction (!) (!) .

  9. The invocation of certain legal presumptions or inferences (such as those under Section 114 or 114(a) of the Evidence Act) depends on the strength and completeness of the evidence establishing the chain of circumstances. When the prosecution fails to meet this standard, such presumptions cannot be legally invoked (!) .

  10. Ultimately, if the evidence fails to establish the identity of the property as stolen or the accused’s knowledge of its stolen nature, the accused is entitled to the benefit of doubt, and their conviction should be set aside. Similarly, the return of seized property depends on whether its identity as stolen property has been conclusively proved (!) (!) .

  11. Orders regarding the return of property are contingent upon the proof of its stolen nature; if not established, the property should be returned to the rightful owner or the person from whom it was seized (!) .

  12. The courts emphasize that suspicion cannot substitute for proof beyond reasonable doubt and that the entire chain of evidence must be complete and convincing to sustain a conviction (!) (!) .

Please let me know if you need further analysis or specific legal advice based on this document.


JUDGMENT :

PRASHANT KUMAR MISHRA, J.

1. These criminal appeals are disposed of by this common order as they are directed against the common judgment and order dated 16.07.2009 of the High Court of Judicature at Bombay whereunder the High Court dismissed the appeal of the appellant/Hiralal Babulal Soni (Criminal Appeal Nos. 579-580/2012) and the appeal of the appellant/accused No. 3 namely, Nandkumar Babulal Soni, (Criminal Appeal No. 581-583/2012) whereas the appeals of Mr. S.K. Sheenappa Rai (accused no. 1), Devdas Shetty (accused no. 2) and Vijaya Bank were allowed. We shall later notice the conviction and sentence awarded by the courts below.

2. The offence pertains to commission of fraud by remittance through fake Telegraphic Transfers1 [“TT”] and subsequent withdrawals to the tune of Rs. 6,70,00,000/- at Vijaya Bank, Nasik Branch, Maharashtra.

2.1 On 30.01.1997, one person disclosing as a representative of M/s. Globe International, a proprietary concern, approached the bank for opening an account which was not immediately accepted by the accused no. 1 (S.K. Sheenappa Rai), Branch Manager as he wanted to verify the documents as there was difference in signatures. However, since one

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