Supreme Court - Daily Orders
Veerbhadrappa G.E. vs The State Of Karnataka on 21 April, 2023
Bench: Krishna Murari, Sanjay Karol
IN THE SUPREME COURT OF INDIA
CRIMINAL ORIGINAL JURISDICTION
WRIT PETITION(CRIMINAL) NO. 124 OF 2023
WITH
INTERLOCUTORY APPLICATION NO. 61135 OF 2023
VEERBHADRAPPA G.E. .....PETITIONER(S)
Vs.
STATE OF KARNATAKA & ORS. .....RESPONDENT(S)
O R D E R
Heard learned counsel for the petitioner and Shri S.V. Raju, learned Additional Solicitor General for the respondents.
2. The main relief claimed in this petition is to permit the petitioner to furnish a bank guarantee of a sum of Rs.1,72,40,951/- in lieu of and in replacement of the proposed confiscation.
3. Undisputed facts are that the petitioner has been convicted by the Court of the XXXII Additional City Civil and Sessions Judge and Special Judge for CBI cases, Bengaluru, vide order dated 14.02.2023 in Special CC. No. 56/2015, for an offence under Section 13(2) read with Section 13(1)(e) of the Prevention of Corruption Act and Signature Not Verified sentenced Digitally signed by GEETA AHUJA to simple imprisonment of two years and fine of Date: 2023.04.25 18:44:37 IST Reason:
Rs.1,00,000/-. Though, the CBI had alleged disproportionate assets to the tune of Rs.2,91,70,984/-, however, the Court only directed 1 confiscation of disproportionate assets to the extent of Rs.1,72,40,951/- in favour of the Central Government.
4. In pursuance to the registration of case by CBI, the Directorate of Enforcement, Bangalore Zonal Office also registered an ECIR bearing ECIR/BGZO/16/2015 dated 06.11.2015 to investigate offence of laundering of proceeds of crime derived from the said scheduled offence of having disproportional assets alleged by CBI.
5. Enforcement Directorate also passed an order dated 29.06.2018 for provisional attachment of various properties including properties involving third party interest as disproportionate assets alleged in the CBI case. Appeal filed by the petitioner against confirmation of attachment of disproportionate assets by the Enforcement Directorate is pending before the PMLA Tribunal. The pleadings further go to show that one of the properties under attachment situate in Karnataka under PMLA is subject matter of a decree drawn in favour of the respondent no. 3 herein, who is in possession of the attached property, pursuant to MOU dated 15.05.2013 for development rights, entitlements and interest in that property against valuable consideration.
6. Learned counsel for the petitioner submits that without prejudice to the final outcome of the criminal proceedings for disproportionate assets, he may be permitted to give security of the said amount by way of a Bank Guarantee which may be made subject to final disposal of the proceedings and the attachment be 2 lifted. In support of the contention, he has relied upon an order dated 16.09.2022 passed by this Court in the case of Esskay Properties and Investment Private Limited & Anr. Vs. Union of India & Ors., in SLP (c) No. 9335 of 2022.
7. Having considered the factual matrix of the matter and the arguments advanced by the learned counsel for the parties, we are not inclined to accept any bank guarantee. In the order relied upon by the petitioner passed in the case of Esskay Properties and Investment Private Limited (Supra), the offer made by the petitioner therein to furnish a bank guarantee was not accepted, rather, a direction was issued to furnish a fixed deposit receipt of a nationalized bank of the entire amount with a lien in favour of CBI and the enforcement directorate, as a pre-condition for lifting the attachment of the properties.
8. Learned Additional Solicitor General has no objection in case the petitioner secures the amount by furnishing a fixed deposit receipt of a nationalized bank of the said amount with a lien in favour of the CBI and the Enforcement Directorate.
9. To secure the ends of justice, in the case at hands, we also direct that in case the petitioner furnishes a fixed deposit receipt of a nationalized bank for a sum of Rs.1,72,40,951/- with a lien in favour of the CBI and the enforcement directorate within a period of two weeks from today, the attachment of all the properties vide provisional attachment order dated 29.06.2018 by 3 the enforcement directorate shall be lifted. The said fixed deposit receipt would be subject to the final outcome of the proceedings against the petitioner in pending CBI matters as well as PMLA matters.
10. We further make it clear that this order is only by way of interim arrangement and shall be subject to the final outcome of the proceedings and is without prejudice to the contention of the respective parties.
11. The pending proceedings shall be decided strictly in accordance with law and on its own merits without in any way influenced by the present interim arrangements.
12. With the aforesaid observations and directions, the matter stands finally disposed of.
13. Pending application(s), if any, shall also stand disposed of.
...................J. (KRISHNA MURARI) ....................J. (SANJAY KAROL) New Delhi;
April 21, 2023.
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ITEM NO.44 COURT NO.12 SECTION X
S U P R E M E C O U R T O F I N D I A
RECORD OF PROCEEDINGS
Writ Petition(s)(Criminal) No(s). 124/2023
VEERBHADRAPPA G.E. Petitioner(s)
VERSUS
THE STATE OF KARNATAKA & ORS. Respondent(s)
(FOR ADMISSION and IA No.61135/2023-GRANT OF INTERIM RELIEF ) Date : 21-04-2023 This petition was called on for hearing today. CORAM :
HON'BLE MR. JUSTICE KRISHNA MURARI HON'BLE MR. JUSTICE SANJAY KAROL For Petitioner(s) Mr. Indrajit Mohanty, Sr. Adv. Mr. Satya Mohanty, Adv.
Mr. Rohit Krishna Mahanta, Adv. Mr. P Vamsha Rao, Adv.
Mr. Lovkesh Aggarwal, Adv.
Mr. Shubham Seth, Adv.
Mr. Nikilesh Ramachandran, AOR For Respondent(s) Mr. Jayant K Sud, A.S.G. Mr. Veer Vikrant Singh, Adv. Ms. Megha Karanwal, Adv.
Ms. Rukhmini Bobde, Adv.
Mr. Arvind Kumar Sharma, AOR UPON hearing the counsel the Court made the following O R D E R The Writ petition is disposed of in terms of the signed order.
Pending application(s), if any, shall stand disposed of.
(SONIA GULATI) (BEENA JOLLY)
SENIOR PERSONAL ASSISTANT COURT MASTER (NSH)
(Signed order is placed on the file)
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