ORDER:

This Criminal Petition is filed by the petitioner (cid:150)

accused No.5 under Section 482 of the Code of Criminal Procedure to quash the proceedings in C.C.No.75 of 2017 on the file of learned Judge for Economic Offences (cid:150) cum (cid:150) VIII Additional Metropolitan Sessions Judge, Nampally, Hyderabad, the cognizance of which was taken for the offence under Sections 143 (1), 193, 193 (1), 194, 211 (1), 211(3A) to 3 (C), 217 (2AA), 219 read with Sections 53, 227 read with Section 233, 292, 292 (1), 293 (A), 302(2), 303 (1), 307, 372 (A) of the Companies Act.

2. The brief facts as can be gathered from the complaint, dated 29.11.2016 are as under:

a) The Complainant, who is working as Assistant Director in the Serious Fraud Investigation Office, Ministry of Corporate Affairs, Govt. of India, New Delhi has filed complaint in his official capacity against the petitioner (cid:150)

accused No.5.

b) The Central Government had ordered inspection of books of accounts and other records of M/s.Hill County Properties Limited Formerly M/s.Maytas Properties Limited (hereinafter referred to as MIL/Company) vide letter No. 7/129/2008/CL-II. Shri Suryanarayan Dhara was appointed as "Inspector" to investigate this case. Accordingly, the report was submitted to the Ministry vide letter No. SFIO/Insp-209/MPL/MISC/2013 dated 30-04-

2014.

c) Earlier, the inspection of this Company under Section 209A of the Act was carried out by Shri Shashi Raj Dara, then Asst. Registrar of Companies, Andhra Pradesh and he submitted his report dated 03.11.2009 to the Ministry. The said report pointed out 11 violations in Part A’ (contraventions falling within the powers vested with the Central Government), 13 violations in Part ’B’ (contraventions falling within the powers delegated to the Regional Director) and 1 violation in Part ’C’ (contraventions falling within the powers delegated to the Registrar of Companies).

d) The said report was examined by the Ministry and it was decided to have the inspection of this Company conducted de-novo by Shri N,K. Bhola, Addl. Director, SFIO and Shri J.K. Jolly, Joint Director, O/o.Regional Director (WR), Mumbaj Subsequently, in place of Shri Jolly, Shri P.C. Nandakumar, Deputy Director, O/o. Regional Director (SER), Hyderabad was associated with this inspection vide Ministry’s letter No. 01/227/2008- CL.II dated 04.07.2011. The report submitted by them was examined by the Ministry, which again ordered for de-novo Inspection of the Company vide letter No. 01/227/2008- CL.II dated 28.05.2013 which was to be conducted by Shri N.Krishnamurthy, Registrar of Companies, Andhra Pradesh, Shri Shashi Raj Dara, ICLS, Deputy Registrar of Companies, Andhra Pradesh and Shri D. K. Arora, Assistant Director, SFIO.

e) Based on the above mentioned report, a complaint was filed alleging that M/s.Hill County Properties Limited formerly M/s.Maytas Properties Limited (hereinafter referred to as MPL /Company) is accused No.1 and the then Vice-Chairman of the Company is accused No.2 at the relevant point of time have committed an offence under Section 292 of the Companies Act, 1956 with the following violations:

 Violation of Section 211 (3A) (3B) (3C) R/W. Rule 7 of the Companies (Accounting Standards) Rules, 2009 and Section 217 (2AA) of the Companies Act, 1956;-

 Violation of Section 211 read with Part II Schedule VI in respect of repairs and maintenance:

Rs.18,96,956/- (previous year Rs.4,56,231/-)

 Violation of Section 211(1), 227 R/W. 233 of the Companies Act, 1956:-

 Violation of Section 293-A of the Companies Act, 1956 (Wrongful Donation to a Political Party)-

 Violation of Section 307 of the Companies Act, 1956-

 Non Compliance of Section 193 (1) 194, 292 of the Companies Act, 1956-

 Violation of Section 302 (2) of the Companies Act, 1956  Violation of Section 292(1) and 193 of the Companies Act:

 Violation of Section 303 (1) of the Companies Act, 1956  Violation of Section 143(1) of the Companies Act, 1956:

 Violation of Section 219