Constitution of India — Article 226 — Bharatiya Nagarik Suraksha Sanhita, 2023 — Section 193(3) — Interim orders in quashing petitions — High Court cannot ordinarily restrain filing of police report/charge-sheet while permitting investigation to continue.
The Supreme Court held that though the High Court may, in an appropriate case, protect an accused from coercive steps during pendency of proceedings under Article 226, a direction restraining the Investigating Officer from filing a police report under Section 193(3) BNSS while permitting investigation to continue is ordinarily unjustified. The Court held that the High Court misapplied the decision in Pradnya Pranjal Kulkarni v. State of Maharashtra.
— Paras 14 to 16.
Criminal Procedure — Quashing of FIR — Civil dispute and criminality — Mere pendency of civil proceedings does not exclude criminal prosecution where allegations disclose forgery, cheating and fraudulent alienation of property.
The Court held that where allegations disclose repeated fraudulent sale of society properties on the basis of forged documents, pendency of civil disputes regarding management or title cannot by itself justify quashing criminal proceedings at threshold. Multiple FIRs alleging forgery, cheating and unauthorized sale of society lands across different States warranted thorough investigation.
— Paras 9 to 13.
Societies Registration Act, 1860 — Dispute regarding management of society — Unauthorized alienation of society property — Court’s concern regarding repeated fraudulent transfers.
The Court noticed that rival groups claiming management of the society were repeatedly alienating valuable lands of the society despite pendency of civil and criminal proceedings and subsisting court orders. The Court expressed serious concern regarding continuing sale of society lands contrary to the object and purpose of the society.
— Paras 12, 13 & 19.
Investigation — Land scam/fraudulent alienation of property — Constitution of Special Investigation Team (SIT) — Scope.
Considering allegations of organized fraudulent sale of society lands through forged documents, the Supreme Court directed constitution of an SIT under supervision of Chief Secretary, Uttar Pradesh, with Registrar of Societies as one of the members, to conduct comprehensive fact-finding enquiry regarding alienation of society properties and fraudulent transfers.
— Paras 17 & 18.
Criminal Investigation — SIT — Fair and unobstructed investigation — Duty to act uninfluenced and maintain rule of law.
The Court directed that the SIT shall investigate all stakeholders impartially and uninfluenced by extraneous considerations. The SIT was granted liberty to examine all transactions and submit report for further criminal action wherever fraudulent conduct involving mens rea is disclosed.
— Paras 18 & 19.
Article 226 — Scope of jurisdiction after filing of charge-sheet/cognizance — Distinction between writ jurisdiction and inherent powers explained.
The Supreme Court clarified that before cognizance is taken, challenge to FIR/charge-sheet may lie under Article 226. However, once cognizance is taken, recourse ordinarily lies under Section 482 CrPC / Section 528 BNSS and not under Article 226. The Court explained the ratio of Pradnya Pranjal Kulkarni.
— Paras 15 & 16.
