CAV ORDER

The petitioner is before this Court calling in question proceedings in Special C.C.No.1055 of 2019 arising out of crime registered for offences punishable under Sections 7, 7A, 8, 9, 10 and 12 of the Prevention of Corruption Act, 1988 and Sections 120- B r/w 420, 406, 218 and 409 of the IPC. The petitioner is accused No.23.

2. The facts, in brief, germane are as follows:-

The petitioner was a public servant at the relevant point in time. On 12-08-2016 an Officer of Reserve Bank of India communicates a letter to the Director General and Inspector General of Police of the State of Karnataka observing that he has received information of unauthorized deposits by the I Monitory Advisory (‘IMA’ for short). The said letter is treated as a complaint on 08-09-2016 and a direction was issued to the Deputy Commissioner of Police to investigate the same. Correspondences between the departments galore and a report is submitted by the Deputy Commissioner of Police that the IMA is conducting business in accordance with law. The report was sent to the Reserve Bank of India as also to the Securities and Exchange Board of India as was informed by the Reserve Bank of India.

3. When things stood thus, on 17-10-2017 the General Manager of Reserve Bank of India communicates to the Principal Secretary, Department of Revenue, Government of Karnataka that certain inputs are received regarding distinct possibility of unauthorized acceptance of deposits by the IMA group and further action was sought to be initiated through the said communication. Based upon the aforesaid communication, the Deputy Secretary, Revenue Department communicates to the Deputy Commissioner, Bangalore Urban District directing him to take action against IMA and its entities and submit a report. On 10-04-2018 in order to protect the interests of depositors and financial establishments, Government of Karnataka appoints Assistant Commissioners of all Districts to be the Competent Authorities to carry out the purposes of the Karnataka Protection of Interest of Depositors in Financial Establishments Act, 2004 (‘the Act’ for short). It is here the petitioner springs into action. The petitioner was functioning as Assistant Commissioner, Bangalore North. In the light of the aforesaid notification, he becomes the Competent Authority under the Act apart from discharging of his regular duty as Assistant Commissioner. On 18-06-2018, 10 days after the appointment of the petitioner as the Competent Authority, the Deputy Commissioner directs the petitioner to take action against the IMA group by registering a complaint through the Tahsildar under Section 3 of the Act. The complaint was directed to be registered as was directed by the Deputy Commissioner. A complaint then sought to be registered on 13-08-2018.

4. On wanting to register the complaint, the Police of Commercial Street, the jurisdictional police issued an endorsement that there were no irregularities or illegalities committed by the IMA and there was no necessity to immediately lodge the crime. This is communicated to the Tahsildar on 14-08-2018 and later to the petitioner on the same day. The petitioner communicates the same to the Deputy Commissioner and the Commissioner of Police bringing to their knowledge about the endorsement given by the Commercial Street Police. On 16-11-2018 the petitioner issues a public notice informing the general public at large that he is the Competent Authority under the Act and calling upon the general public to furnish any information about functioning of the IMA. It is averred in the petition that no complaint was received from any quarter. The petitioner then issues a notice upon Mohammed Mansoor Khan, the Chairman of the IMA group calling upon him to furnish all the documents pertaining to the financial transactions of the group within 15 days. This is complied with by submission of voluminous documents.

5. When such examination was in progress, on 01-02-2019 the Government order by which