Prosecution must substantiate FIR with proper evidence; lack of crucial documentation can lead to dismissal of charges.

JUDGMENT

The State, which is the complainant in C.C.No.70 of 2011 of the Enquiry Commissioner and Special Judge, Kottayam, aggrieved by the judgment dated 22.05.2018 by which all the accused in the above crime were acquitted of offences alleged against them under section 13(1)(d) r/w section 13(2) of the Prevention of Corruption Act , 1988 and 420 and 468 and 120B IPC has preferred this appeal.

2. The first accused was the Village Officer of Velliyanad Grama Panchayath and the second accused was the President of the said Grama Panchayath. Third accused was a resident of the above Grama Panchayath and was the beneficiary of a housing scheme of the Panchayath known as Mythri Housing Scheme. The third accused had applied to the Kerala State Housing Board through the Village Office for financial assistance for construction of a house in her property having an extent of 3 cents in Veliyanadu Panchayath. Along with the application, she had submitted a certificate issued by the first accused affirming that neither she nor her family members had a house of their own in the village. She was included in the list of eligible candidates and accordingly was sanctioned Rs.28,000/- as housing loan. It was disbursed in three installments as per the terms and conditions of the said scheme.

3. In the meanwhile, a complaint was laid, on an allegation that the third accused gave a false certificate affirmed by the first accused that, neither she nor her family members had a house of their own, whereas, her husband owned a residential house in the same village. It was also alleged that, without constructing a building in that property, she misused the loan amount and submitted false completion stage certificate regarding the stages of construction and got the fund released in installments. On the basis of the complaint laid,crime was registered investigation was conducted.After conclusion of investigation, final report was laid by the Vigilance and Anti Corruption Bureau. Cognizance was taken and the parties were called upon to face trial in C.C.No.70 of 2011 before the Enquiry Commissioner and Special Judge, Kottayam. On the side of the prosecution, PWs.1 to 14 were examined and Exts.P1 to P28 were marked. On the side of the accused, DW1 and DW2 were examined and Exts.D1 to D6 series were marked. On an evaluation of the available materials, the court below found the accused not guilty and acquitted the accused. This is under challenge in the present proceedings at the instance of the State. Heard the learned Special Government Pleader for the Vigilance Department and the learned counsel for the accused. Examined the records.

4. The submission of the application for housing financial support, the submission of the affirmation and submission of the stage certificates as Exts.P7(a), P7(b) and P7(c) are not in dispute. It is also an undisputed fact that, based on the above documents, a sum of the Rs.28,000/- was sanctioned as housing loan and it was released in three installments on the basis of the submission of Ext.P7 series documents. There is also no dispute that, thereafter entire amount was repaid by the third accused with interest.

5. The crux of the prosecution allegation was that, pursuant to a conspiracy entered into between the first, second and third accused, to obtain pecuniary benefits for the accused and to cause corresponding loss to the State, a false certificate was issued by the first accused affirming that the third accused did not have any house of her own. Application was forwarded by the Panchayath. Subsequently, Ext.P7 series were issued at the different stages of alleged construction and amounts were released.

6. The crux of the prosecution allegation was that the third accused did not construct any house and mis utilized amounts so obtained.

7. The defence set up by the first and second accused was that they had acted honestly and have not entered into any criminal conspiracy with the third accused. They have not caused any loss