Point of law: Demand and acceptance of the amount as illegal gratification is a condition precedent for constituting an offence under the Act, it is to be noted that there is a statutory presumption Under Section 20 of Act which can be dislodged by accused by bringing on record some evidence, either direct or circumstantial, that money was accepted other than for motive or reward as stipulated Under Section 7 of the Act.

JUDGMENT :

1. This appeal is preferred under Section 374(2) of Cr.P.C. challenging the conviction and sentence imposed in C.C.No.27 of 2001 by the Additional Special Judge for SPE & ACB Cases, City Civil Court, Hyderabad.

2. Originally, the accused officer, who was working as Work Inspector in Singanamala Section of A.P. Housing Corporation, was tried for the offences punishable under Sections 7 & 13(1)(d) read with Section 13(2) of the Prevention of Corruption Act. Vide its judgment dated 31st August, 2006, the learned Special Judge convicted the accused officer under both the counts and sentenced him to suffer rigorous imprisonment for a period of one year and to pay a fine of Rs.500/-, in default, to suffer simple imprisonment for three months under each of the count. The substantive sentences of imprisonment were directed to run concurrently.

3. The substance of the charge against the accused is that on 12.10.2000, the accused, who was working as Work Inspector, demanded and accepted a sum of Rs.500/-as illegal gratification, from P.W.1 for sanctioning the pending bill amount of Rs.4,500/-, spent towards construction of house sanctioned to P.W.6.

4. The facts, as culled out from the evidence of the prosecution witnesses, are as under :

P.W.6 is a mother-in-law of P.W.1. On 24.10.1998, the M.L.A. of Singanamala sent proposal for six houses at Narsapuram, in his quota for B.Cs. and E.B.Cs. The said letter was forwarded to the District Collector for sanction and accordingly the Collector sanctioned six houses and sent the proceedings to the A.P. State Housing Corporation. P.W.4, who was working as Senior Assistant in the A.P. State Housing Corporation, sent these proceedings to Deputy Executive Engineer, Housing, for construction of those houses.

5. P.W.5 was working as Assistant Engineer in the office of Singanamala Section of A.P. Housing Corporation during the said period. According to him, after receipt of proceedings from the Collector, the concerned Work Inspector visits the beneficiary, observe the position of land and mark boundaries for construction of house. Thereafter, the Corporation shall issue proceedings to the beneficiaries for release of cement, steel & bricks to the beneficiaries for construction of the basement, after making entries in the Form No.30 register. Thereafter, P.W.5 will sign the indent form and give it to the concerned beneficiaries. The beneficiaries will collect the same from the go-down. It has come on record that in case the beneficiary himself intends to construct the house with his funds, P.W.5 will take measurements of that house, prepare M-book and submit it to D.E. for check measurement. The Work Inspector concerned will take valuation form, which will be incorporated in M-book. The D.E., as per the said valuation, issues proceedings and send it to the District Manager Office, who, in turn, will send it to the bank and then the amount will be credited to the account of the beneficiary. It is said that under Rural Permanent Housing Scheme, an amount of Rs.17,500/-will be given to each beneficiary, which includes cost of cement, bricks, W.C. pan. After subtracting the costs of this material out of Rs.17,500/-, the balance would be remitted to the account of the beneficiary.

6. The evidence discloses that a house was sanctioned to P.W.6 under RPHS scheme. After complying with the requirements, on 17.4.1999, about 35 bags of cement, price ranging from Rs.105/-to Rs.100/-were given to P.W.6, apart from 250 cement bricks worth Rs.5.50 ps. each and a W.C. panal worth Rs.285/-. The estimated value of the material supplied to P.W.6, was about Rs.5,205/-. The Work Inspector prepared the valuation form relating to P.W.6 and P.W.5 prepared M-book record, which is placed on record as Ex.P8. The total construction value as assessed by P.W.5 was at Rs.13,000/-, including the cost of the material supplied. While things stood thus, the claim of P.W.6 is that she was given a cheque by the Housing Corporation