The history of the case is, one P.Periyasamy, S/o. Pachamuthu Pillai, Kichipalayam, Salem District, gave a written complainant dated 19.11.2002 to the Inspector of Police, Department of Vigilance and Anti Corruption, Salem, alleging that he borrowed a sum of Rs.90,000/- from S.Gnanasekaran during the month of February 1999, for business purpose and executed two signed blank promissory notes promising to repay the said sum on demand. It was agreed between him and S.Gnansekaran and that the principal and interest will be repaid in 40 equal monthly instalment at the rate of Rs.4,500/- per month. Accordingly, he paid 30 instalment, thereafter due to loss in business, he could not pay the remaining 10 instalment.

2. Hence, S.Gnansekaran demanded the balance amount and took three post dated cheques each for Rs.30,000/- and presented the same for collection. The cheques got bounced for want of funds. Meanwhile S.Gnansekaran gave a complaint, to Kitchipalayam Police Station alleging that Periyasamy has borrowed money and refusing to pay the sum on demand and also threatening to kill him. Based on the said complaint given by the S.Gnansekaran, Periyasamy was called for enquiry by S.Palanimuthu/A1, Head Constable. After negotiation the Periyasamy gave a letter of undertaking and sought time till 15.11.2002 to clear the debts. However, he could not pay the money to S.Gnansekaran has promised.

3. On 13.11.2002, S.Palanimuthu/A1 called Periyasamy over phone and enquired whether he has paid the money to S.Gnansekaran as promised. Periyasamy has said that there is disputed in re-conciliation of account so he need some more time to settled the loan, for which S.Palanimuthu/A1 demanded as Rs.4,000/- to negotiate with S.Gnansekaran and get extension of time for payment and if the money demanded not given, he will arrest him, based on the complaint given by S.Gnansekaran. Fearing consequence, Periyasamy the de-facto complainants had gone to Police Station on 14.11.2002 and met S.Palanimuthu/A1 at 6.p.m.

4. At that time, S.Palanimuthu/A1 again demanded Rs.4,000/- and promised to settle entire dispute for Rs.60,000/- and close the complaint of S.Gnansekaran. Against on 15.11.2002 and 19.11.2002 S.Palanimuthu/A1 had called the de-facto complainant to the Police Station and reiterated the demand. Since, the de-facto complainant was not inclined to give any bribe to S.Palanimuthu/A1, Head Constable, he has lodge the complaint Ex.P.3 before the Vigilance and Anti Corruption Police, Salem.

5. Based on the complaint, FIR was registered by the respondent Police. After smearing phenolphthalein on the currency (Rs.500 * 5 and Rs.100 * 15), the same was entrusted to the de-facto complaint and he asked to met S.Palanimuthu/A1 at Police Station and give the tainted money if he demands it.

6. Accordingly, the de-facto complainant along with the accompanying witnesses M.Sathyamurthy/P.W.3, went to Police Station by 7.30 a.m. met S.Palanimuthu/A1. He told them to wait. After ten minutes S.Palanimuthu/A1 come out the Police Station and demanded money. Immediately the de-facto complainant P.W.2 took out money from his packet and gave it to S.Palanimuthu/A1, who received it and kept it in his packet. S.Palanimuthu/A1 went to the medical shop near the Police Station and came back to the Police Station. By the time, on receiving the pre-arranging signal from P.W.2. the trap team surrounded S.Palanimuthu/A1 and interrogated him. He admitted the receipt of bribe from P.W.2, the fingers of the S.Palanimuthu/A1 was tested with Sodium Carbonate Solution which had turned into Pink turbid liquid indicating the presence of phenolphthalein. On further interrogation, S.Palanimuthu/A1 informed that he has entrusted money to B.Harisudhan/A2 who is running the medical shop near the Police Station. Hence, the trap team went to Sri Senthil Medical Store, run by B.Harisudhan/A2 and recovery the tainted money kept in the show case drawer. After completion of investigation, the r