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2017 Supreme(Mad) 4080

IN THE HIGH COURT OF JUDICATURE AT MADRAS
G. JAYACHANDRAN, J.
Kaliyan - Appellant
Versus
State rep. by the Inspector of Police, SPE, CBI : ACB, Chennai - Respondent
Criminal Appeal No. 172 of 2010
Decided On : 23-10-2017

Advocates Appeared:
For the Appellant : Mr. V. Gopinath, Mr. L. Mahendran
For the Respondent: Mr. K. Srinivasan

Headnote:

Criminal Procedure Code,1973 - Section 293 and 313 - Prevention of Corruption Act, 1988 - Section 7 and 13(2) r/s 13(1)(d) - Demand bribe - Charged - First Information Report was registered against accused by Inspector of Police, CBI, ACB, based on complaint by Director, M/s Coimbatore Auto Texmet Alloys Private Limited that appellant demand bribe to process her application for enhancement of cash credit limit - As a follow up, trap was laid andsmeared with phenolphthalein was recovered from accused/appellant in presence of witnesses - As per prosecution, M/s Coimbatore Auto Textmet Alloys Private Limited is one of customer of Indian Overseas Bank, Branch in which appellant/accused was Chief Manager of that Branch - Above said company had cash credit facility to a tune - To develop their business one of its director gave an application on for enhancement of Cash credit limit from rupees - When met appellant/accused on and enquired about her application, accused demanded bribe to enhance cash credit limit – Held, accused in his defence statement has said that, PW-3 dropped a cover in his table drawer and left his room abruptly - Before he could realise it, many men swarmed into his room and asked him to take envelope - So he took envelope in his left hand, crossed over to his right hand and gave it to them - His explanation read in isolation may appear to be less convincing, but inconsistency among the witnesses regarding what happened in accused cabin which has been narrated above, makes his case probable coupled with fact of animosity between accused and defacto complainant - Trial court has heavily relied upon motivated and interested witness PW-3, to base conviction without any corroboration - Further trial court has erred in holding that recovery of tainted money from table drawer of accused is proof of demand and acceptance of bribe money - This observation of trial court is contrary to law and fact - Demand and acceptance cannot be presumed solely based on recovery of tainted money - It has to be proved by prosecution through direct and cogent evidence beyond reasonable doubt - Accordingly, for reasons stated above, appeal is allowed - Trial court judgment of conviction and sentence is set aside.

JUDGMENT :

This Criminal Appeal is directed against the judgment of conviction passed by the trial court against the appellant for the offence under section 7 and 13(2) r/s 13(1)(d) of Prevention of Corruption Act, 1988.

2. The First Information Report was registered against the accused on 5.8.2008 by the Inspector of Police, CBI, ACB, Chennai based on the complaint by Tmt. Nalani, Director, M/s Coimbatore Auto Texmet Alloys Private Limited that the appellant demand bribe of Rs. 50,000/- to process her application for enhancement of cash credit limit from Rs. 70,000/- to Rs. 1,00,00,000/- As a follow up, trap was laid and Rs. 50,000/- smeared with phenolphthalein was recovered from the accused/appellant on 5.8.2008 in the presence of witnesses.

3. On completion of investigation and after obtaining sanction to prosecute the appellant/accused from the General Manager who is the competent authority to accord sanction, final report was laid against the accused/appellant for offences under section 7 and 13(1)(d) of the prevention of corruption Act.

4. The trail court has tried the accused for the said charges. The prosecution has examined 8 witnesses, 23 exhibits and 3 material objects. In defence, in addition to the written statement one witness and 3 exhibits were marked.

5. As per the prosecution, M/s Coimbatore Auto Textmet Alloys Private Limited is one of the customer of Indian Overseas Bank, Karamadai Branch in which the appellant/accused was the Chief Manager of that Branch. The above said company had cash credit facility to a tune of Rs 70 lakhs. To develop their business one of its director Mrs. Nalani gave an application on 11.07.2008 for enhancement of Cash credit limit from rupees 70,00,000/- to Rs. 100,00,000/- lakhs. When Tmt. Nalani met the appellant/accused on 4.8.2008 and enquired about her application, the accused demanded bribe of Rs 50,000/- to enhance the cash credit limit. Since Smt. Nalani was not inclined to give bribe, she contacted CBI office at Chennai and reported about the matter.

6. The next day, (5.08.2008) Thiru. Prabakaran, Inspector, CBI, Chennai came down to Coimbatore, met the defacto complainant Nalani and other witnesses at Cheran Towers, Coimbatore. Being satisfied with the genuineness of the complaint he arranged for trap, demonstrated phenolphthalein test and its significance to the witnesses, smeared phenolphthalein powder on the currency and the window cover in which the currency was kept and proceeded to IOB, Karamadai Branch. The accused who was in his cabin, demanded and received the money from the defacto complainant and kept it in the left side drawer of his table. This was witnessed by N.Manoharan the shadow witness. On receipt of the pre arranged signal from the defacto complainant, by whipping her face, the trap laying team entered the cabin of the appellant/accused. Recovered the tainted money and also seized the file connected with the application of the defacto complainant company. The hand wash samples were collected in two different bottles sealed and seized.

7. To prove the above version, the prosecution has relied upon the evidence of the defacto complainant Nalani, her husband Dhanraj, the shadow witness Manaoharan and the trap laying officer Prabakaran who were examined as PW-3, PW-4, PW-5 and PW-7 respectively. Apart from these witnesses, PW-1 the officer who accorded sanction to prosecute the accused, PW-2 who has furnished the service particulars of the accused, PW-6 Manager of IOB, Karamadai branch were also examined. 23 documents are relied by the prosecution. The remnant samples and currencies recovered from the accused were marked as M.O. 1 to M.O.3.

8. To prove his innocence, the accused has examined Mr. Ganeshamoorthy as DW-1 and 3 exhibits were marked. However, the explanation of the accused has not found favour by the trial court sufficient to discredit the case of the prosecution.

9. The trial court has held that, the demand of bribe by the accused on 4.8.2008 is proved

















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