IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 16^TH DAY OF FEBRUARY, 2026 BEFORE THE HON'BLE MR. JUSTICE M.G.S. KAMAL WRIT PETITION NO. 787 OF 2018 (GM-RES)

BETWEEN:

KARNATAKA LOKAYUKTHA M.S.BUILDINGS, DR.B.R.AMBEDKAR ROAD, BENGALURU - 560 001 REPRESENTED BY SRI SON OF SRI.MOHITH SAHADEV, THE POLICE INSPECTOR.

…PETITIONER (BY SRI. VENKATESH S ARBATTI.,ADVOCATE)

AND:

1. THE STATE OF KARNATAKA REPRESENTED BY SOCIAL WELFARE DEPARTMENT, D igitally VIDHANA SOUDHA signed by SUMA B N BANGALORE - 560 001.

Location:

HIGH COURT OF 2. SRI.GANESHAPPA KARNATAKA SON OF MAJOR, AGED MAJOR, OCCUPATION: DEPUTY COMMISSIONER DIRECTOR OF SCHEDULE TRIBE AND SCHEDULE CASTE DIRECTORATE, BANGALORE - 560 001.

…RESPONDENTS (BY SMT. B.P. RADHA, AGA FOR R1;

SRI. P.S. RAJAGOPAL, SENIOR COUNSELL FOR JAYANTH DEV KUMAR ADVOCATE FOR R2)

THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO QUASH THE ORDER PASSED BY R1 UNDER ORDER No.SKE/369/PKC/2015 DATED 07.09.2016 VIDE ANNEXURE-C;

AWARD THE COST OF THIS WRIT PETITION.

THIS PETITION, COMING ON FOR ORDERS, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE MR. JUSTICE M.G.S. KAMAL

ORAL ORDER

This petition is by the petitioner-Karnataka Lokayuktha, aggrieved by the Order dated 07.09.2016, produced at Annexure-C to the extent of declining grant of sanction to prosecute, respondent No.2 herein for the offences punishable under Section 13(1)(d)(ii)(iii) read with Section 13(2) of the Prevention of Corruption Act, 1988 (hereinafter referred to as 'the Act, 1988').

2. Brief facts of the case are that, the respondent No.1-

State by Order dated 27.03.2007 had released a sum of Rs.1,20,00,000/- for the purpose of carrying out renovation work of a tank called Doddareshme Haddlu situated at Tribal Colony categorized as a Reserve Forest. That originally the work was entrusted to the Engineering Division of Kodagu Zilla Panchayath. The Engineering Division could not carry out the work on account of certain technicalities and financial reasons. Consequently, the project was transferred to the Kodagu District Nirmithi Kendra, Kushalnagar by letter dated 06.10.2008. In the meanwhile, a complaint came to be filed by one Smt. Kenchmada Saritha Poonacha in PCR No.1/2011 against 1. Sri. K.G. Boppaiah, 2. Sri. A.S. Raja Rao, 3. Sri. N. Krishnappa, 4. Sri. Yoga Narasimha. The matter was referred under Section 156(3) of Cr.P.C to the Lokayuktha Deputy Superintendent of Police, Madikere, for investigation.

3. That after registration of the case in Crime No.8/2011 and during the investigation, petitioner secured credible information against respondent No.2, which was necessary and was sufficient for prosecuting respondent No.2 under the Act, 1988. Respondent No.2 during the said period, was the Project Coordinator and also acted as a Treasurer who was vested with the responsibility of managing and releasing the funds for execution of work. That as per the investigation and the material ascertained, respondent No.2 on 31.01.2011 had released a sum of Rs.59,00,000/- to said Kodagu District Nirmithi Kendra without proper enquiry and without sufficient documents for release of the funds. The said amount has been misappropriated, by the persons were accused in PCR No.1/ 2011. That it was further ascertained that a sum of Rs.39,50,000/- were shown towards the expenditure of the project by Kodagu District Nirmithi Kendra, Kushalnagar, though no work was done at all and the remaining sum of the Rs.19,50,000/- remained unaccounted. It was thus clear that the entire amount of Rs.59,00,000/-, which was released by respondent No.2 towards funds were misappropriated. That respondent No.2 was thus involved in the criminal conspiracy along with other members who were arrayed as accused. As such, it was alleged that respondent No.2 had committed offences punishable under Section 13(1)(d)(ii)(iii) of the Act, 1988.

4. That after completion of investigation, the Investigation Officer has come to the conclusio