Acquittal under the Prevention of Corruption Act Shouldn't Rest Solely on an Invalid Sanction : Supreme Court

In the case of P.I. BABU vs. C.B.I, the Supreme Court has stated that acquittal under the Prevention of Corruption Act, 1988 (PC Act) cannot be solely based on an invalid sanction. Justices Bela M Trivedi and KV Vishwanathan presided over a criminal appeal against the conviction of an individual under the Indian Penal Code and the PC Act.

The accused, a manager at Syndicate Bank, faced allegations of abusing his office by fraudulently forging a loan application and an application for opening a Savings Bank A/c in the name of a fictitious person. The PC Act, applicable to the appellant as a public servant under Section 2(c) of the Act, was invoked.

The Trial Court acquitted the appellant, citing the invalidity of the prosecution's sanction as the sole reason. Disputing this, the CBI approached the Kerala High Court, which overturned the acquittal and convicted the accused. Consequently, the present appeal was filed.

The Supreme Court criticized the Trial Court for failing to record specific findings on merits and relying solely on the issue of sanction for the acquittal. The Court expressed the view that the Special Court erred in not addressing the merits of the case and concluded that an error was committed.

The Top Court also expressed dissatisfaction with the High Court's judgment, noting that it entered findings on merits, which the Trial Court had not considered initially. Consequently, the Court set aside the judgments of the lower Courts and remanded the matter to the Trial Court. The Court instructed a prompt resolution of the case, preferably within two months.

Click here to Read/Download Order