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Power of stay in matters arising out of the Prevention of Corruption Act by the HC can be exercised

State of Maharashtra V. Gajanan & Anr., on 18th December 2003, appeal (Crl.) 1506-1507 of 2003.

The appeal was allowed by the Supreme Court for an offence under section 7 of the Prevention of Corruption Act under the bench comprising of Justice N.Santosh Hegde and Justice B.P.Singh.

The High Court rejected the contentions made by the State and held the conviction given by the Trial Court. While doing this appeal the HC distinguished the judgment pronounced by the Supreme Court in the case, K.C.Sareen V. CBI, Chandigarh on facts.

Whether the High Court Room had room for distinguishing the law said in the Supreme Court? The SC answered that there is no such power for the High Court.

The SC, in this case, said that when an appeal is made in the higher court it is not ment that conviction made in the court is not suspended from the operation, but when the appellate court admits the appeal the superior court suspend the order of imprisonment under the Prevention of Corruption Act, until the appeal to heard and disposed.

“Merely because the convicted person files an appeal in the challenge of the conviction the court should not suspend the operation of the order of conviction. The court has a duty to look at all aspects including the ramifications of keeping such conviction in abeyance. It is in light of the above legal position that we have to examine the question as to what should be the position when a public servant is convicted of an offence under the PC Act.”

The judgment of the SC in the case, K.C.Sareen V. CBI, Chandigarh can be exercised only in exceptional cases, the High Court failed to show what is the exceptional case in the said case. The same Supreme Court has held that in exceptional cases the power of stay in matters arising out of the Act can be given by the HC, this was noted in the case, Union of India v. Atar Singh & Anr.

The Supreme Court allowed the appeal and the impunged order of the High Court was set aside.

View/ Download the Judgment: State of Maharashtra V. Gajanan & Anr.,

–  Manusri Ramakrishna

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