New Delhi, Jul 15 (UNI) The Supreme Court on Monday dismissed the plea of Karnataka Deputy Chief Minister D K Shivakumar challenging a High Court order, in which it had refused to quash the case filed by the CBI in disproportionate assets (DA) case against him under the Prevention of Corruption Act (PCA).
A bench of Justice Bela M Trivedi and Justice Satish Chandra Sharma while hearing the plea of Shivakumar who sought quashing of his case as the prosecution has not obtained any sanction to proceed against him, the bench said that the proceedings cannot be quashed based on a split verdict.
Senior Advocate Mukul Rohatgi, representing Shivakumar, argued that the investigation has commenced without obtaining the sanction under Section 17A of the Prevention of Corruption Act.
Rohatagi further contended that whether Section 17A applies to offences allegedly committed before the 2018 amendment (which inserted Section 17A) is referred to a larger bench (Reference Chandrababu Naidu case).
However, Justice Trivedi replied that the proceedings cannot be quashed based on a split verdict.
Rohatgi stated that he was merely requesting to issue notice on the petition.Justice Trivedi noted that the allegation against Shivakumar is that Rs. 41 lakhs were recovered from him.
Rohatgi clarified that these allegations were posed in a case connected with another case related to the Income Tax Act and had no connection with this case.
There could not be a CBI FIR on the same issue, Rohatagi contended.Justice Trivedi said that the case against Shivakumar was made out to be under the Prevention of Corruption Act and not under the Income Tax Act, the authorities cannot prosecute under the PC Act, the judge said.
The bench also refused to stay the High Court’s order in which it had refused to stay the sanction accorded to CBI and said the counsels for Shivakumar had informed that the Karnataka government has withdrawn the consent accorded to CBI.
The case pertains to a raid carried out by the income tax department at various premises of Shivakumar in August 2017.
The raid was carried out at New Delhi and other places and a total of Rs 8,59,69,100 was collected including Rs 41 lakhs allegedly recovered from Shivakumar’s residence alone. Thereafter a case was registered against Shivakumar under the provisions of the Income Tax Act 1961.
The case was also registered by the Enforcement Directorate (ED). Shivakumar was arrested on September 3, 2019.
The ED issued a letter to the Karnataka government on September 9, 2019, to grant them sanction to proceed against Shivakumar which was subsequently granted and the matter was referred to CBI for Investigation.
Shivakumar then moved Karnataka High Court challenging the sanction and proceedings against him.
In April, a single judge bench dismissed his petition, but during the hearing, granted him temporary relief by staying the CBI probe on multiple occasions.
The single judge’s dismissal led Shivakumar to file an appeal before a division bench.The interim orders were challenged by CBI through a special leave petition, but the Supreme Court in July refused to entertain the agency’s plea arising out of ‘purely interlocutory’ orders.
Subsequently, in October, the top Court issued notice on a plea by CBI challenging the Karnataka High Court’s June 2023 order which stayed the investigation against Shivakumar in the disproportionate assets case.
This plea was ultimately dismissed by Karnataka High Court on November 10, 2023.Shivakumar then requested the High Court to consider the application filed by CBI for vacating the stay.
Thereafter, the Karnataka government withdrew consent accorded to CBI and the High Court permitted Shivakumar to withdraw his petition challenging the consent to prosecute him.
