Public officials can be prosecuted for conspiracy and misappropriation of funds, even in the absence of prior sanctions, if evidence suggests inflationary practices in procurement procedures.

COMMON ORDER

These petitions have been filed to quash the charge sheet against the petitioners (A2 to A10 as per F.I.R.)/Accused Nos.1 to 3 in Spl.C.C.Nos.1 to 3 of 2024 pending on the file of Special Court for Trial of Cases under Prevention of Corruption Act , Salem.

(i) The petitioners in Crl.O.P.No.7342 of 2025 and Crl.O.P.No.2989 of 2025 are the Accused Nos.1 to 3 in Spl.C.C.No.1 of 2024.

(ii) The petitioners in Crl.O.P.No.2854 of 2025 and Crl.O.P.No.7340 of 2025 are the Accused Nos.1 to 3 in Spl.C.C.No.2 of 2024.

(iii) The petitioners in Crl.O.P.No.7352 of 2025 are the Accused Nos.1 to 3 in Spl.C.C.No.3 of 2024.

2.All the three cases originate from a common F.I.R. in Crime No.3 of 2021 with regard to purchasing of vehicle mounted fogging machines to Town Panchayats at exorbitant rate and causing huge loss to the Town Panchayat funds during the year 2018 – 2019. Since the allegations are similar and the grounds raised taken by the petitioners are similar, the above Criminal Original Petitions are taken up and disposed of by way of a common order.

3.(i) The gist of the case is that based on a vigilance report in VR No.20894/2020/TP/SL a case in Crime No.3 of 2021 for offences under Sections 13 (2) r/w 13(1)(a) of the Prevention of Corruption (Amendment) Act, 2018 and Section 120-B , 167, 409, 420, 465, 467, 468, 471 and 474 of I.P.C. registered on 28.01.2021 against A1/N.M.Murugan, formerly Assistant Director of Town Panchayats, Salem Zone, Salem, A2/S.Balasubramani, formerly Executive Officer, Sankagiri Special Grade Town Panchayat, Salem District, A3/D.Srinivasan, formerly Executive Officer, Sentharapatty Selection Grade Town Panchayat, Salem District, A4/K.Sundaramurthi, formerly Executive Officer, Thammampatty Selection Grade Town Panchayat, Salem District, A5/V.Ganesh, formerly Executive Officer, Valapady Selection Grade Town Panchayat, Salem District, incharge of Pethanaickenpalayam Town Panchayat, A6/S.Arumganainar, formerly Executive Officer, Kannankurichi Selection Grade Town Panchayat, Salem District, A7/R.Ashokkumar, formerly Executive Officer, Omalur Selection Grade Town Panchayat, Salem District, A8/M.Meganathan, formerly Executive Officer, Edangannasalai Town Panchayat, Salem District, A9/K.Ganesan, formerly Executive Officer, Panamarathupatty First Grade Town Panchayat, Salem District and A10/M.Kadar Batcha, formerly Executive Officer, Keeripatty First Grade Town Panchayat, Salem District.

(ii). During investigation, it was found that the Executive Officers of the Town Panchayat, namely, A2 to A10 (as per F.I.R.) hatched a criminal conspiracy with the Traders, namely, A11/H.Thageer Hussain, Proprietor of Crescent Traders, Chennai, A12/S.Muthukumar, Proprietor of Muthu Traders, Pudukottai, A13/M.Kannan, Proprietor of TVM Traders, Pudukottai, A14/V.Palanivel, Proprietor of Naga Traders, Chennai, A15/A.Vadivel, Proprietor of AVT Agencies, Trichy, A16/D.Rajendran, Proprietor of MM Enterprises, A17/R.Rajeswari, Proprietor of Sri RR Traders, Thiruvallur, A18/D.Ravintharan, Proprietor of Deva Traders, Thanjavur and A19/T.Nedunchezhian, Proprietor of Nedunchezhian Enterprises, Coimbatore. During the relevant period, they purchased fogging machines to their respective Town Panchayats at an exorbitant rates against the instructions of the Assistant Director of Town Panchayats, Salem Zone knowing well that purchased at a cost more than the Maximum Retail Price, thereby they misappropriated the Government funds by purchasing fogging machines at an exorbitant r