SC upholds suo-moto powers to SAC

Excelsior Correspondent
JAMMU, July 21: In a significant order, Supreme Court has upheld the judgment of Division Bench of J&K High Court whereby suo-moto powers were restored to State Accountability Commission (SAC).
The challenge to suo-moto powers was brushed aside by three Judges Bench of Apex Court of the country comprising Justice Dipak Misra, Justice AM Khanwilkar and Justice Mohan M Shantanagoudar by dismissing SLP filed by former Minister of J&K Dr Manohar Lal Sharma.
Chairperson of SAC Justice B A Khan personally appeared before the Supreme Court Bench along with Senior Counsel Colin Gonsalves to defend the case.
Dr Manohar Lal Sharma, who is facing a complaint before the Accountability Commission had filed appeal against the judgment of J&K High Court granting suo moto power to SAC. When the Apex Court upheld the suo-moto powers to SAC, the counsel of Dr Sharma submitted that Commission had entertained a defective complaint against him. On this, Supreme Court asked him to approach SAC to seek consideration of his plea.
It is pertinent to mention here that on February 1, 2016, Division Bench of State High Court comprising Justice Muzaffar Hussain Attar and Justice B S Walia had restored the suo-moto powers upon the State Accountability Commission while reversing the judgment of writ court.
“Mere apprehension projected by counsels about abuse of provisions of SAC Act 2002 by sending anonymous/pseudonymous complaints or initiating proceedings on the basis of press reports cannot be a ground to deny power of initiation of suo-moto proceedings to SAC in as much as, Chairperson/ Members of Commission are those persons, who have held highest Constitutional posts and in their appointment, confidence has been reposed in them by Constitutional authorities of the State, who constitute the selection committee and by not less than Governor, who is the highest Constitutional authority in the State”, the DB had observed in its judgment.
Division Bench had further observed, “Regulation 9 of Regulations of 2005 only provides for procedure to be followed, which is same that is to be followed in respect of complaints in terms of Section 11 of Act of 2002 and all the safe guards, thus prescribed by the statue will apply to the proceedings initiated suo-moto by the Commission. Thus, in such circumstances also it shall not have to disclose the contents of the anonymous/pseudonymous complaint or make it known to the public as to which press report has been taken cognizance of for conducting of preliminary enquiry”.
“Regulation 9 of the Regulations of 2005 in itself did not confer any power to initiate suo-moto proceedings on the Commission but SAC is possessed of such power and striking down of Regulation 9 by writ court has not denuded the SAC of its power of suo-moto initiation of proceedings against a public functionary and that power is still intact”, the DB had made it clear in the judgment.
In the complaint against the then Cooperative Minister, Dr Manohar Lal Sharma, Cooperative Commissioner Abdul Hamid Wani and Registrar Cooperatives, Mohammad Abbas, it was alleged that an enquiry was conducted by the Minister in J&K Cooperative Housing Corporation which allegedly revealed that bungling/ embezzlements worth Rs 5,000 crore had been committed by the former Managing Director of the Corporation, Brij Mohan Sharma and present Managing Director Bharat Bhushan.
It was alleged that the two Managing Directors along with Assistant Registrar Cooperatives, Mohammad Shafi Dar had misappropriated crores of rupees but no action was taken against them by the Minister due to the fact that a “higher up” was allegedly given bribe and a piece of land by them. It was also alleged that Dar, who was under suspension for the last five years due to his alleged involvement in the multi-crore scam, was reinstated by the Registrar Cooperative Department at the behest of the Minister.
The complainant alleged that in Jammu Central Cooperative Bank Limited, there was misappropriation of Rs 259 crore and about 600 illegal backdoor appointments had been made in the banks allegedly at the behest of two Ministers. It was alleged that Arun Bakshi, retired Managing Director of Jammu Central Cooperative Bank Limited was interfering in the bank’s operations.

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