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2020 (4) TMI 882

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..... position held by an individual, rather, it is on the public duty performed by him/her. In this regard, the legislative intention was to not provide an exhaustive list of authorities which are covered, rather a general definition of public servant is provided thereunder. This provides an important internal evidence as to the definition of the term University . The object of the PC Act was not only to prevent the social evil of bribery and corruption, but also to make the same applicable to individuals who might conventionally not be considered public servants. The purpose under the PC Act was to shift focus from those who are traditionally called public officials, to those individuals who perform public duties. Keeping the same in mind, as rightly submitted by the learned senior counsel for the appellantState, it cannot be stated that a Deemed University and the officials therein, perform any less or any different a public duty, than those performed by a University simpliciter, and the officials therein - the High Court was incorrect in holding that a Deemed University is excluded from the ambit of the term University under Section 2(c)(xi) of the PC Act. Whether th .....

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..... ating in managing the affairs of any university in any manner or the form. In this context, the legislature has taken note of any person or member of any governing body by whatever designation called of any university to be termed as public servant for the purposes of invoking the provisions of Act 1988. In the present case, the question for consideration is the term any university in the broader spectrum to curb corruption in the educational institutions as referred to under Section 2(c )(xi) of Act 1988 and the legislature in its wisdom has referred to the word any university which clearly mandates the university referred to and controlled by its statutory mechanism referred to under Section 2(f) and deemed to be university under Section 3 of the UGC Act. Appeal allowed. - Criminal Appeal No. 989/2018 - - - Dated:- 27-4-2020 - Hon ble Mr. Justice N.V. Ramana, Hon ble Mr. Justice Mohan M. Shantanagoudar And Hon ble Mr. Justice Ajay Rastogi, JJ. For the Appellant (s) : Mr. Aniruddha P. Mayee, AOR. For the Respondent(s) : Mr. Mukul Rohatgi, Sr. Adv., Mr. Mahesh Agarwal, Adv., Mr. Mitul Shelat, Adv., Mr. E. C. Agrawala, AOR. JUDGMENT N. V. .....

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..... resaid incriminating conversation stood intercepted in an audio video camera set up by the complainant. Further, separate raids were conducted whereupon several undated cheques drawn in the name of the institution worth more than ₹ 100 crores and certain fixed deposits were recovered. 6. The chargesheet came to be filed on 25.04.2017 against several accused persons, including the present respondent for various offences under Sections 7, 8, 10 and 13 (1)(b) and 13(2) of the Prevention of Corruption Act, 1988 [hereinafter referred to as the PC Act ] read with Section 109 of Indian Penal Code, 1860 [hereinafter referred to as the IPC ],. 7. The respondent herein filed a discharge application under Section 227 of CrPC before the District and Sessions Court in Special ACB Case No. 2 of 2017. The District and Sessions Court by an order dated 29.11.2017, rejected the application. 8. Aggrieved by the rejection of the aforesaid application, the respondent herein filed a criminal revision application, being Criminal Revision Application No. 1188 of 2017, before the High Court of Gujarat, at Ahmedabad. The High Court, by the impugned judgment and order dated 02.02.2018, allow .....

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..... public duty. In fact, there may not be any formal requirement of providing remuneration or payment in lieu of the service rendered. 14. On the contrary, the counsel on behalf of the respondent submitted that it is a settled principle of law that a criminal statute has to be construed strictly. In cases where two interpretations are possible, the Courts must lean towards the construction which exempts the subject from penalty rather than the one which imposes the same. 15. The counsel further vehemently argued that the respondent, being a trustee, cannot be termed as a Public Servant. There is no allegation in the charge sheet that the respondent was holding any position or post in the institution which was Deemed to be University or that he was engaged by the institution for rendering any service. In light of the above fact, the High Court was correct in discharging the respondent as he does not qualify within the ambit of Section 2 (c)(xi) of the PC Act. 16. Moreover, the counsel argued that the High Court has correctly held that the relevant provision as laid down under Section 2 (c) (xi) is inapplicable in the present case as the said Institution was a deemed to be uni .....

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..... interpretation, concerning the PC Act. 22. There is no gainsaying that nations are built upon trust. It is inevitable that in a democracy one needs to rely on those with power and influence and to trust them of being transparent and fair. There is no doubt that any action which is driven by the selfinterest of these powerful individuals, rather than the public interest, destroys that trust. Where this becomes the norm, democracy, the economy and the rule of law, all take a beating, ultimately putting the whole nation at risk. Corrupt societies often spring from the examples set at the highest levels of government, but smallscale corruption can be equally insidious. In this regard, the PC Act was formulated to bring about transparency and honesty in public life, as indicated by its objects and reasons. We need to keep the aforesaid legislative intention in mind while interpreting the provisions of the PC Act. 23. Learned senior counsel for the appellant-State, vehemently contended that the PC Act, being a welfare legislation, cannot be narrowly interpreted, and rather, that a broad interpretation needs to be provided for the same [refer State of Madhya Pradesh v. M. V. Narasim .....

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..... (emphasis supplied) 27. We shall accordingly have due regard to the aforesaid principles while interpreting the provisions herein. The point of contention relates to whether a deemed University would be included within the ambit of the PC Act, particularly under Section 2(c)(xi) of the same, where the word used is University . The learned senior counsel for the appellantState submits that the word University as used in Section 2(c)(xi) of the Act, must be purposively interpreted. An institution which is deemed to be a University under the University Grants Commission Act, 1956 [UGC Act] plays the same role in society as a University . These institutions have the common public duty of granting degrees, which are ultimately qualifications recognized in society. As such, an institution which is deemed to be University , such as the institution in the present case, is included within the ambit of the term University used under the Act. 28. On the other hand, the learned senior counsel for the respondent, supporting the decision of the High Court in the impugned judgment, submits that the term University as used in Section 2(c)(xi) of the PC Act, does not include an .....

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..... Universities, and for that purpose, to establish a University Grants Commission . On the other hand, the PC Act is an enactment meant to curb the social evil of corruption in the country. As such, the extension of technical definitions used under one Act to the other might not be appropriate, as the two Acts are not in pari materia with one another. 32. The above principle of law was recently applied by a 3Judge Bench of this Court in Bangalore Turf Club Ltd. v. Regional Director, ESI Corporation, (2014) 9 SCC 657, where an argument was advanced by counsel that the interpretation of the term shop under the ESI Act should be determined in light of the definition of the same under the relevant Shops and Commercial Establishments Act. Negativing this contention of the counsel, the Court went on to hold that: 52. An argument raised by the appellants herein is the issue relating to the doctrine of pari materia . It is contended that since the ESI Act does not define the term shop , the said definition may be ascertained in the light of the definitions under the relevant Shops and Commercial Establishments Act as enacted by the respective State Legislatures, since the purp .....

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..... cross India, as of 23.06.2008. The education sector in India has seen a general rise. There is no dispute that the education sector, which is a very important service sector in the country, has seen various scandals. In this context, we need to understand whether a deemed university would be covered within the ambit of the Section 2(c)(xi) of the PC Act. 34. On a perusal of Section 2(c) of the PC Act, we may observe that the emphasis is not on the position held by an individual, rather, it is on the public duty performed by him/her. In this regard, the legislative intention was to not provide an exhaustive list of authorities which are covered, rather a general definition of public servant is provided thereunder. This provides an important internal evidence as to the definition of the term University . 35. The use of any is critical in our understanding as to the term University. We are aware of the line of authorities, wherein this Court has reduced the impact of term any to not mean every [See Hira Devi v. District Board, Shahjahanpur, (1952) S.C.R. 1122]. However, we cannot accept such a view as the context in which the present dispute emanates, differs from t .....

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..... leges. Such bodies were anciently founded by papal bull or charter, later by royal charter or act of Parliament. University is a corporation aggregateAggregation of corporationsThe corporations are usually colleges or schools. 40. Third Edition of Halsbury's, Volume 13, page 707, at para 1441 deals with the term Universities . According to the same: The word university is not a word of art and, although the institutions to which it refers are readily identifiable, precise definition is difficult. The essential features of a university seems to be that it was incorporated as such by the sovereign power. Other attributes of a university appear to be the admission of students from all parts of the world, a plurality of masters, the teaching of one at least of the higher faculties, namely theology, law or philosophy, which in some definitions are regarded as identical, and medicine, provision for residence, and the right to confer degrees, but possession of these attributes will not make an institution a university in the absence of any express intention of the sovereign power to make it one. Incorporation was anciently affected by papal bull or charter later by roy .....

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..... el for the appellantState, it cannot be stated that a Deemed University and the officials therein, perform any less or any different a public duty, than those performed by a University simpliciter, and the officials therein. 45. Therefore, for all the above reasons, we are of the opinion that the High Court was incorrect in holding that a Deemed University is excluded from the ambit of the term University under Section 2(c)(xi) of the PC Act. 46. Having come to the above conclusion, in the present case, the pivotal question is whether the appellant-trustee in the Board of Deemed to be University is a public servant covered under Section 2(c) of the PC Act. Recently, this Court in the case of CBI v. Ramesh Gelli, (2016) 3 SCC 788, dealt with the question as to whether Chairman, Directors and officers of a private bank before its amalgamation with a public sector bank, can be classified as public servants for prosecution under the PC Act. While dealing with the aforesaid proposition of law, the Court analysed the purpose and scope of the PC Act and made the following observations: 15. From the Statement of Objects and Reasons of the PC Bill it is clear that th .....

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..... In Statesman (P) Ltd. v. H.R. Deb, AIR 1968 SC 1495 and Mahadeo v. Shantibhai, (1969) 2 SCR 422 this Court has adopted the meaning given by Lord Wright when it said: An office means no more than a position to which certain duties are attached. 48. This Court in the case of Manish Trivedi v. State of Rajasthan, (2014) 14 SCC 420 further elucidated upon the ambit of the phrase public servant by stressing upon the relevance of office , wherein the emphasis was upon the duties performed. The Court noted therein: 19. The present Act (the 1988 Act) envisages widening of the scope of the definition of the expression public servant . It was brought in force to purify public administration. The legislature has used a comprehensive definition of public servant to achieve the purpose of punishing and curbing corruption among public servants. Hence, it would be inappropriate to limit the contents of the definition clause by a construction which would be against the spirit of the statute. Bearing in mind this principle, when we consider the case of the appellant, we have no doubt that he is a public servant within the meaning of Section 2(c) of the Act. Clause (viii) .....

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..... our opinion, the fact that there were a large number of cheques which were found during the raid is more than sufficient to establish a grave suspicion as to the commission of the alleged offence. 53. The respondent has vehemently stressed upon the fact that he is admittedly a trustee of the Sumandeep Charitable Trust and has no connection with the Sumandeep University . But, it ought to be noted that the courts below have failed to analyze the connection between the trust and the University, as well as the relationship of the respondent with the university. Prima facie, a grave suspicion is made out that the respondent was rendering his service by dealing with the students and the examination aspect of the University. But a detailed appreciation of evidence is called for before one can reach a conclusion as to the exact position of the respondent vis vis the University. 54. At this stage, we may note that the jurisdiction of this Court, with regards to Section 227 of CrPC, is limited and should not be excercised by conducting roving enquiries on the aspect of factual inferences. This Court, in Union of India Vs. Prafulla Kumar Samal, 1979 (3) SCC 4, had an occasion to .....

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..... judgment of the High Court is set aside. Appeal is allowed. JUDGMENT Ajay Rastogi, J. 1. I have had the advantage of going through the draft judgment proposed by my esteemed Brother Mr. Justice N.V. Ramana. I entirely agree with the conclusions which my erudite Brother has drawn, based on the remarkable process of reasoning. I would all the same like to add some of my views, not because the judgment requires any further elaboration but looking for the question of law that emerged of considerable importance. 2. The question that emerged for consideration in the present appeal is whether the respondent-trustee in the board of deemed to be university is a public servant covered under Section 2(c) (xi) of the Prevention of Corruption Act, 1988(hereinafter being referred to as Act 1988 ). 3. Zero tolerance towards corruption should be the topnotch priority for ensuring system based and policy driven, transparent and responsive governance. Corruption cannot be annihilated but strategically be dwindled by reducing monopoly and enabling transparency in decision making. However, fortification of social and moral fabric must be an integral component of longterm p .....

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..... e examined in the context in which the term University has been referred to under Section 2(c )(xi) of the Act, 1988. 8. The UGC Act was established by an Act of 1956 to make provisions for the coordination and determination of standards of education in universities. University has been defined under Section 2(f) of the UGC Act and those who are declared as deemed to be university , a declaration has to be notified under Section 3 with restrictions which has been imposed upon the deemed to be university as referred to under Section 23 of the UGC Act. The relevant Sections of the UGC Act are as infra: Section 2(f) University means a University established or incorporated by or under a Central Act, a Provincial Act or a State Act, and includes any such institution as may, in consultation with the University concerned, be recognized by the Commission in accordance with the regulations made in this behalf under this Act. Section 3 The Central Government may, on the advice of the Commission, declare by notification in the Official Gazette, that any institution for higher education, other than a University, shall be deemed to be a University for the purposes of this Ac .....

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..... university includes all universities regardless of the fact whether it has been established under the statute or declared deemed to be university under Section 3 of the UGC Act. It is true that the distinction has been pointed out by the Parliament under the provisions of the UGC Act for consideration and determination of standards of education in universities, but in my view, no distinction could be carved out between the university and deemed to be university so far it relates to the term public servant as defined under Section 2(c ) (xi) of the Act 1988. 12. In construing the definition of public servant in clause (c ) of Section 2 of the Act 1988, the Court is required to adopt an approach as would give effect to the intention of the legislature. The legislature has, intentionally, while extensively defining the term public servant in clause (c ) of Section 2 of the Act and clause (xi) in particular has specifically intended to explore the word any which includes all persons who are directly or indirectly actively participating in managing the affairs of any university in any manner or the form. In this context, the legislature has taken note of any person or membe .....

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