SHIV KUMAR SHARMA vs. THE STATE OF RAJASTHAN

Case Type: Criminal Appeal

Date of Judgment: 28-07-2022

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1 REPORTABLE IN THE SUPREME COURT OF INDIA CRIMINAL APPELLATE JURISDICTION  CRIMINAL APPEAL NO. 1050  OF 2022  [Arising out of Special Leave Petition (Criminal) No.2403 of 2017] SHIV KUMAR SHARMA                            APPELLANT(S) VERSUS STATE OF RAJASTHAN                                RESPONDENT(S) J U D G M E N T B.R. GAVAI, J. Leave granted. 1. 2. The appeal challenges the judgment and order dated 06.01.2017 passed by the learned Single Judge of the High Court   of   Judicature   for   Rajasthan   at   Jaipur   thereby dismissing the appeal filed by the appellant/accused, which was in turn filed thereby challenging the judgment and order dated   24.10.2013   passed   by   the   learned   Special   Judge, Prevention   of   Corruption   Act   No.   1,   Jaipur   (hereinafter referred to as “the Special Judge”), convicting the appellant for the offences punishable under Section 13(1)(d)(ii) read with Section 15 of the Prevention of Corruption Act, 1988 (‘PC Act’ for short) and under Section  477A of Indian Penal 2 Code, 1860 (“IPC” for short)   and sentencing him to suffer rigorous imprisonment for one year and a fine of Rs. 5000/­ each for both the offences. 3. The Special Judge, vide order dated 03.06.2004, framed the following charges against the appellant: “Firstly   in   the   year   1994,   on   25.04.1994 and around the same time, while working as public servant, you had conspired with the   co­accused   Bhagwan   Sahai   and   in furtherance of that criminal conspiracy, you had   received   an   advance   of   Rs.   15,000/­ out of the approved amount of Rs. 91,500/­ with regard to construction of rooms and varandha   in   the   Primary   School,   Mankot and   Bhagwan   Sahai   had   submitted   the work of Rs. 14,508/­ in three muster rolls and the voucher of construction material of Rs.   18,994/­   thereby   informed   the expenditure   as   Rs.   33,502/­   which   was accepted at page No. 71 and 72 of M.B. No. 51 and mentioned as Rs. 34,580.13 by Shiv Kumar Sharma but later on, on complaint, the   said   amount   of   Rs.   34,580/­   was modified to Rs. 25,911/­. In the same manner, in furtherance of the   aforesaid   criminal   conspiracy,   an advance of Rs. 28,000/­ was received out of the   approved   amount   of   Rs.   80,000/­  for construction   of   rooms   and   varandha   in Primary   School   Surjanpur   and   Sh. Bhagwan Sahai had shown the expenditure of Rs. 61,843.40 including the expenses of 7 muster rolls amounting to Rs. 36,552/­ and the voucher of construction amounting to Rs.   25,291.40.   The   said   amount   was entered by Sh. Shiv Kumar Sharma at page No. 71­72 of M.B. No. 51 as Rs. 68,776/­ but on complaint, the said amount of Rs. 3 68,776/­   was   reduced   to   45,582/­   by cutting. In the enquiry, only work worth Rs. 28,264.42   was   found   at   Surjanpur   and work   worth   Rs.   25,911/­   was   found   at Mankot   and   thus,   you   have   shown   the excess   expenditure   of   labour   and construction   which   was   excess   of   Rs. 7,698/­   at   Mankot   and   Rs.   16,644/­   at Surjanpur, totalling Rs. 22,353/­ for which the excess payment was made and wrongful loss was caused to the State Government and wrongful gain was received by you. You also created false record by cutting in the records. The said act of you being the public servant   is   a   criminal   offence.   Thus,   you have committed a punishable offence under section 417, 477A read with section 120B IPC and offence under section 13(1)(d)(2) of the Prevention of Corruption Act, 1988, for which I have taken cognizance.” It appears that a complaint was made to the authorities 4. regarding   malpractices   in   the   construction   of   rooms   and varandha in Primary School, Mankot and Surjanpur. It was the prosecution case that, in the Measurement Book with regard   to   Mankot,   the   amount   was   reduced   from   Rs. 34,580/­   to   Rs.   25,911/­   by   the   appellant   after   the complaint was made.  With regard to the construction work at Surjanpur, after the complaint was made, the amount was reduced to Rs.45,582/­ from Rs.68,776/­. 5. After the receipt of the complaint, Mr. Mahesh Prasad Mathur   was   appointed   as   an   Inquiry   Officer.   After completion of inquiry, he submitted an inquiry report. On 4 the   basis   of   the   inquiry   report,   the   crime   came   to   be registered. The chargesheet was filed.  The appellant pleaded not   guilty   and   claimed   to   be   tried.   The   learned   Special Judge, at the conclusion of the trial, convicted the appellant as aforesaid.  The appellant filed an appeal before the High Court and the High Court confirmed the order of the learned Special Judge.  Hence the present appeal. Mr. Ritesh Agrawal, the learned counsel appearing on 6. behalf of the appellant submits that both the High Court and the learned Trial Court have grossly erred in not giving due weightage   to   the   evidence   of   PW­8   Mr.   Mahesh   Prasad Mathur   as   well   as   PW14­Jai   Bhagwan,   the   Investigating Officer. 7. The learned counsel further submits that there is no material to show that the appellant either had made any demand or by abusing his position as a public servant, had obtained for himself or any other person any valuable thing or pecuniary advantage.  It is submitted that in the absence of   any   material   to   show   that   the   appellant   attempted   to obtain for himself or any other person any valuable thing or pecuniary advantage, the conviction under Section 13(1)(d)(ii) read with Section 15 of the PC Act was not tenable.   He 5 further submits that for an offence punishable under Section 477A of the IPC, the prosecution is required to establish that the alleged act was willful with an intent to defraud. It is his submission that no such evidence has come up on record. 8. Learned counsel therefore, submits that the concurrent orders of conviction are liable to be set aside and the accused is entitled to be acquitted. 9. Dr.   Manish   Singhvi,   learned   Additional   Advocate General for the State of Rajasthan vehemently opposes the appeal.   He   submits   that   the   scope   of   interference   in concurrent findings of fact is very limited. He submits that the learned Trial Court and the High Court, upon correct appreciation of evidence, have found that the appellant had manipulated   the   record   with   dishonest   intention.   He submitted that only after the complaint was made to the higher authorities, the appellant, in order to save his skin, had manipulated the record and as such, the case clearly falls under Section 477A of the IPC. 10. No   doubt   that   the   scope   of   interference   in   the concurrent findings of the fact is very limited.   Unless the findings are found to be perverse or impossible, the Court would refrain from interfering with the concurrent findings of 6 fact. However, it is settled that when the findings recorded by the courts below are found to be recorded by ignoring the material   evidence   or   the   appreciation   of   evidence   is manifestly erroneous, they would not come in the way of this Court in interfering with the same. 11. For an offence punishable under Section 13(1)(d)(ii) read with Section 15 of the PC Act, it is necessary to establish that a public servant has attempted to obtain for himself or for   any   other   person   any   valuable   thing   or   pecuniary advantage.  In the present case, no such material has come on   record.     On   the   contrary,   the   evidence   of   PW14­Jai Bhagwan, the Investigating Officer would clearly show that the payment of the construction material was directly made to the Gram Sewak by the Panchayat Samiti. It would further reveal that the bill of the material was also directly sent to Gram   Sewak   by   the   Panchayat   Samiti.   There   was   no verification done by the appellant. It is clearly admitted that the appellant was not aware of the amount paid to the Gram Sewak with respect to the construction material.  It is further admitted that at the relevant time, there were around 100 to 125 panchayat works going on under the supervision of the present appellant.  It is further admitted that there was no 7 material placed on record to show that the corrections in Ex­ article­2 from Ex­P­22 to Ex­27 was made by the appellant after the complaint. It will be relevant to refer to the following part of deposition of PW14­Jai Bhagwan, the I.O.: “I   had   not   found   any   criminal   charges against   Shiv   Kumar   in   my   investigation report sent to the Headquarter and had only recommended   for   Departmental   Enquiry. However,   on   the   decision   of   the   higher officials, charge sheet was filed.” 12. PW14   further   admits   that   the   amount   paid   by   the Panchayat Samiti was as per the amount corrected by the appellant. It is further admitted that there was no evidence to show that the accused Bhagwan Sahai and the appellant had made corrections together. He further admits that Shiv Kumar Sharma, that is the present appellant, had made a complaint to the District Magistrate about the irregularity in the construction work by Bhagwan Sahai, Gram Sewak. 13. These vital aspects that the appellant did not have any role to play in either the sanctioning of the money or making of payment, have been totally ignored by both the Courts. The   evidence   that   in   the   investigation,   the   Investigating Officer had not found any criminal intent has also been ignored.   In that view of the matter, the conviction under 8 Section 13(1)(d)(ii) read with Section 15 of the PC Act is totally unsustainable. 14. That leaves us with conviction under Section 477A of the IPC.  For a conviction under Section 477A of the IPC, it is   necessary   for   the   prosecution   to   establish   that   the making of false entry or omission or alternation of such entries has been done willfully with an intent to defraud. No such   material   has   been   placed   on   record   by   the prosecution.  On the contrary, the evidence of PW8­Mahesh Prasad Mathur, who was appointed as an Inquiry Officer, would show that the allegations made against the appellant were   not   sustainable.   It   will   be   relevant   to   refer   to   the deposition   of   PW8­Mahesh   Prasad   Mathur,   which   reads thus: “When   I   went   on   the   spot   to   conduct enquiry then M.B. of Mankot and Surjpur was given to me. On the basis of which on dated 4.10 and 19.10.94   I had conducted enquiry   after   visiting   the   spot.   On   the instructions   of   C.O.   I   had   prepared   the difference   detail   on   17.2.95.   At   page   No. 71,72   of   the   MB   No.   51   (Article­2)   the measurement have been recorded by the Jr. Eng.   That   was   found   correct   upon   my examination.   Against   this   work   of   Rs. 25911/­ payment of Rs. 13422/­ was made as labour charges, which is entered in the MB   from   X   to   Y.   I   did   not   find   any irregularity in the work of village Mankot. In case by mistake if any mistake is done in 9 the   total   of   MB,   then   at   the   time   of preparing   bill   on   the   basis   of   MB,   this mistake   can   be   corrected   by   the   account branch. I had gone there three months after ending of the famine relief works. At that place (Surjanpur) for the supervision of the material   of   work,   there   was   no   person appointed.   On   the   spot   there   was   not watchman,   in   the   absence   of   which   if anyone would take the material lying there, I cannot say. The Patties which have been shown in the MB, the same were not found on the spot, therefore, I had noted about it in the Report. It is the responsibility of the Gram   Sewak   to   get   conducted   the construction work. If the costs of Patties of Rs.   6914/­   would   be   included   in   my evaluation   of   Rs.   40267/­,   then   the valuation amount becomes Rs. 47181/­. Rs. 6914/­   the   cost   of   patties   is   written according to BSR. When MB­51 (Article­2) was   received   to   me,   at   that   time   due   to mistake   in   total   by   J.   En   by   cutting   the amount of Rs. 59273/­ the amount 47183/­ has been marked, whereupon the J. En put his signatures. The payment of construction material was made to the Sarpanch of the Gram   Panchayat,   the   agency   which   get conducted the work while the muster roll’s payment is made by the tehsil employees. The payment of construction material was made by the Panchayat.” The   above   deposition   would   clearly   show   that   the 15. measurements recorded by the appellant were found to be correct by the Inquiry Officer. He clearly admits that he did not find any irregularity in the work of village Mankot.  He further admits that if any mistake was done in the total of 10 Measurement Book at the time of preparing the bill, the mistake could be corrected by the accounts branch.  16. PW8­Mahesh Prasad Mathur further admitted that in so far as Surjanpur is concerned, no person was appointed as   a   watchman   or   a   supervisor.   He   admits   that   in   the absence of a watchman, it is possible that the material lying at the site could be taken by anybody. He admits that even the patties were not found on the spot and has noted about the same in the report. He further admits that if the cost of patties of Rs. 6914/­ were included in the valuation of Rs. 40,677/­ then the valuation comes to Rs.47,181/­.  PW8­Mahesh Prasad Mathur has further admitted that 17. the payment for the construction material was made directly to the Sarpanch of the Gram Panchayat by the agency while the   muster   roll’s   payment   was   made   by   the   tehsil employees.  Payment of the construction material was made by the Panchayat.   Thus, it could clearly be seen that the appellant had no role whatsoever in either approving the payment or making the payment. 18. The   evidence   of   PW8­Mahesh   Prasad   Mathur   would clearly show that at the most, the act of the appellant could be   termed   as   irregular.   However,   there   was   nothing   on 11 record   to   show   that   such   irregularities   were   committed willfully with an intent to defraud. 19. In   that   view   of   the   matter,   we   find   that   even   the conviction in so far as Section 477A of the IPC is concerned, is not sustainable in law.   Dr.   Manish   Singhvi,   learned   Additional   Advocate 20. General for the State of Rajasthan has submitted that since the findings of fact are concurrent, the Court should be slow in interfering with the same.  21. It is settled principle of law that concurrent findings of fact cannot be interfered with unless shown to be perverse. Concurrency, after all, is no answer to perversity.  22. This   Court   in   the   case   of   Mahesh   Dattatray 1 had   laid   down Thirthkar   vs   State   of   Maharashtra   certain principles when this Court is entitled to exercise powers under Article 136 of the Constitution of India and interfere with the findings of fact.  One of the principles laid down is thus: “Where findings of subordinate courts are shown to be  perverse or based on no evi­ dence or irrelevant evidence or there are ma­ terial irregularities affecting the said findings or   where   the   court   feels   that   justice   has 1 (2009) 11 SCC 141 12 failed and the findings are likely to result in unduly excessive hardship .” This Court in the aforesaid case has referred to some of 23. the earlier judgments of this Court on the issue.  It will be apposite to refer to the same, which are as under:   “ 29.   Again   in  H.P.   Admn.  v.  Om Prakash  [(1972) 1 SCC 249 : 1972 SCC (Cri) 88]  this   Court  while   considering   its   power under Article 136 of the Constitution of India on the question of interference with the find­ ings of fact, observed as follows: (SCC p. 256, para 4) “ 4 . In appeals against acquittal by special leave under Article 136, this Court has un­ doubted power to interfere with the findings of fact, no distinction being made between judgments   of   acquittal   and   conviction, though in the case of acquittals it will not or­ dinarily interfere with the appreciation of evi­ dence or on findings of fact unless the High Court ‘acts perversely or otherwise improp­ erly’.” 30.  In  Arunachalam  v.  P.S.R. Sadhanantham   [(1979) 2 SCC 297 : 1979 SCC (Cri) 454] this Court   while   agreeing   with   the   views   ex­ pressed in the aforementioned decisions of this Court stated thus: (SCC p. 300, para 4) “ 4 . … The power is plenary in the sense that there are no words in Article 136 itself qualifying that power. But, the very nature of the power has led the court to set limits to it­ self within which to exercise such power. It is now   the   well­established   practice   of   this Court to permit the invocation of the power under   Article   136   only   in   very   exceptional circumstances, as when a question of law of general  public  importance  arises   or  a deci­ 13 . But, sion shocks the conscience of the court within the restrictions imposed by itself, this Court has the undoubted power to interfere even with findings of fact, making no distinc­ tion between judgments of acquittal and con­ viction, if the High Court, in arriving at those findings, has acted ‘perversely or otherwise improperly’.” (emphasis supplied) 31.  Again   in  State   of   U.P.  v.  Babul Nath  [(1994)   6   SCC   29   :   1994   SCC   (Cri) 1585] this Court observed as follows: (SCC p. 33, para 5) “ 5 . At the very outset we may mention that in an appeal under Article 136 of the Consti­ tution   this   Court   does   not   normally   reap­ praise the evidence by itself and go into the question of credibility of the witnesses and the assessment of the evidence by the High Court is accepted by the Supreme Court as final unless, of  course, the appreciation of evidence and finding is vitiated by any error of law of procedure or found contrary to the principles of natural justice, errors of record and misreading of the evidence, or where the conclusions of the High Court are manifestly perverse   and   unsupportable   from   the   evi­ dence on record.” 32.  In  Pattakkal   Kunhikoya  v.  Thoopiyakkal Koya  [(2000) 2 SCC 185] it was held (SCC p. 186 c ­ d )  that  when  an  appeal  arises   under Article 136 of the Constitution of India, “[i]t is not the practice of the Supreme Court to reappreciate the evidence for the purpose of examining whether the finding of fact ar­ rived at by the High Court and the subordi­ nate court is correct or not. Exception can be taken only in the event  of serious miscarriage 14  but not other­ of justice or manifest illegality wise”. (emphasis supplied) 33.  In  Mithilesh   Kumari  v.  Prem   Behari Khare  [(1989) 2 SCC 95] this Court has held (SCC p. 99) that where findings of subordi­ nate courts are shown to be “ perverse or based on no evidence or irrele­ vant evidence or there are material irregulari­ ties affecting the said findings or where the court feels that justice has failed and the find­ ings are likely to result in unduly excessive hardship,   the   Supreme   Court   could   not   de­ cline to interfere merely on the ground that findings in question are findings of fact ”. (emphasis supplied)” Recently,   this   Court   in   the   case   of   24. Ashoksinh 2 Jayendrasinh vs. State of Gujarat   had also held that when   the   High   Court   has   failed   to   appreciate   the   oral evidence in correct perspective, this Court would certainly be entitled to re­appreciate the evidence.   In the said case also, this Court, finding that the conviction was recorded after ignoring the vital evidence, has set aside the order of conviction and acquitted the accused.   25. In the present case, as discussed hereinabove, both the Trial  Court   and   the   High  Court  have   failed   to  take   into consideration   the   relevant   and   vital   admissions   in   the 2 (2019) 6 SCC 535 15 evidence of PW8­Mr. Mahesh Prasad Mathur and PW 14­Jai Bhagwan.     In   our   view,   the   said   admissions   were   vital. Basing  the order of  conviction by ignoring the  said vital admissions,   in   our   view,   would   bring   the   impugned judgments in the realm of perversity.   26. As such, the appeal is allowed.  The order of conviction and   sentence   as   recorded   by   the   learned   Special   Judge, Prevention of Corruption Act No.1, Jaipur and confirmed by the High Court are quashed and set aside.  The appellant is acquitted   of   all   the   charges.   The   bail   bonds   stand discharged. Pending application(s), if any, shall stand disposed of. 27. ……............... J.        (B.R. GAVAI) …………..………………………............. J.    (PAMIDIGHANTAM SRI NARASIMHA) NEW DELHI th 28  JULY, 2022