Partly allowed

M.Satyanarayana, v. The State of A.P.

Telangana HC24 Jun 2015CRLA/469/2006

Case brief

AI extract

What is this about?

In three appeals challenging convictions for corruption under the Prevention of Corruption Act and criminal conspiracy, the Court set aside charges against two accused officers due to lack of evidence on conspiracy, while confirming the conviction of the first accused for corruptly selling government notebooks.

What did the court decide?

Conviction of AO1 under conspiracy charge set aside; conviction under corruption confirmed. Appeals of AO2 and AO3 dismissed but departmental enquiry directed.

M.Satyanarayana, Vs The State of A.P. — Corruption | Telangana HC (2015)

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HON’BLE SRI JUSTICE U. DURGA PRASAD RAO

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CRIMINAL APPEAL Nos. 445, 468 and 469 of 2006

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COMMON JUDGMENT:

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Aggrieved by the judgment dated 17.03.2006 in C.C.No.10 of 2001 passed by the learned Additional Special Judge for SPE & ACB cases, City Civil Court, Hyderabad convicting the Accused Officers 1 to 3 (AOs.1 to 3) of the charges under Section 13(1)(d) r/w 13(2) of Prevention of Corruption Act, 1988 (for short “PC Act”) and Section 120B IPC and sentencing each of them to undergo RI for one year and pay fine of Rs.1,000/- and in default to pay fine amount to suffer SI for a period of three months on two counts, AO1—M.Satyanarayana preferred Criminal Appeal No.469 of 2006, AO2—R.Subhash Reddy preferred Criminal Appeal No.445 of 2008 and AO3—R.Rayappa preferred Criminal Appeal No.468 of 2006.

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2) The factual matrix of the case which led to file the Criminal Appeals can be stated thus:

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a) On credible information that

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AO1—the Assistant Branch Manager, Andhra Pradesh State Trading Corporation (APSTC), Nalgonda Branch, Nalgonda.

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AO2—the Branch Manager, Andhra Pradesh State Trading Corporation (APSTC), Nalgonda Branch, Nalgonda. AO3—the Senior Accountant in Andhra Pradesh State Trading Corporation (APSTC), Nalgonda branch, Nalgonda

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having indulged in corrupt practices and dubious means of selling the Lepakshi Nandi Notebooks at godown point itself instead of

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selling through the dealers and thereby appropriating the dealers commission, a surprise check was conducted on 19.06.1999 and a case in Cr.No.9/ACB-HR/99 was registered. The investigation revealed that APSTC Note Book Division, Hyderabad vide its circular dated 21.04.1999 instructed the Branch Managers that they should appoint the dealers for selling the notebooks by publishing in local news papers by receiving cash/cheque for Rs.1,000/- as security deposit and further instructed that APSTC can supply notebooks directly to all the Government Departments/Institutions/Societies. But AOs.1 to 3 with an intention to appropriate the dealers’ commission and by abusing their official position sold the said notebooks directly on retail basis at godown in Nalgonda itself contrary to the procedure and thereby gained wrongful advantage to themselves and caused loss to the Government to a tune of Rs.1,61,856/-.

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b) On appearance of the accused, the trial Court framed charges under Section 13(1)(d) r/w 13(2) of PC Act and Section 120B IPC against AOs. and conducted trial.

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c) During trial, prosecution examined PWs.1 to 7 and got marked Exs.P1 to P16 and exhibited MO1. DWs.1 to 4 were examined and Ex.D1 was marked on behalf of defence.

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d) The defence of AO1 was that he effected sales obeying the orders of AO2 who was the Branch Manager, whereas the defence of AO2 was that at the time of surprise check by the Inspector of Police, ACB, he was attending his normal duties at the branch office which is at a distance of 1 KM and he is not

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connected with the alleged sales effected by AO1 and as per the circular orders issued by Head Office he arranged dealers for selling notebooks and he discharges his duties honestly. AO3 took the plea on the date of surprise check he went to Hyderabad on office work in the hire purchase division, APSTC, Hyderabad and that he was under the control of AO2 and his duty as Accounts Officer has to sign on the cash bill or in the receipt after the same was forwarded by the Branch Manager and he had no role in respect of alleged sale of the notebooks at godown.

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e) The trial Court on consideration of oral and documentary evidence found the accused guilty of the charges levelled against them and accordingly convicted and sentenced them as stated supra.

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Hence, the Criminal Appeals.

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3) Pending Crl.A.No.469 of 2006, AO1 viz. M.Satyanarayana died and his son viz. M.Rajendra Kumar who is his LR came on record as per order dated 05.10.2012 in Crl.A.M.P.No.2187 of 2012 to prosecute the appeal.

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4) Heard arguments of Sri T.Bali Reddy, Senior Counsel representing for K.Suresh Reddy, learned counsel for appellant/AO2 in Crl.A.No.445 of 2006; Sri M.Surender Rao, learned counsel for appellant/AO3 in Crl.A.No.468 of 2006; Sri G.Vijayasaradhi for appellant/AO1 in Crl.A.No.469 of 2006 and Sri R.Ramachandra Reddy, learned Special Public Prosecutor for ACB Cases (for short “Spl.P.P”).

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5 a) Impugning the judgment, learned counsel for appellant/AO1 in Crl.A.No.469 of 2006 argued that the prosecution failed to prove the guilt of AO1 inasmuch as it miserably failed to establish that AO1 or other accused were unlawfully enriched or obtained any monetary benefit by selling the notebooks contrary to the procedure. He vehemently argued that it is not sufficient for the prosecution to prove that AO1 sold the notebooks at the retail outlet in godown contrary to the circular orders issued by the Head Office to sell the notebooks through authorised dealers appointed by AO2 but it has also to prove that by such selling all the accused got unlawfully enriched. In this case, the prosecution has not produced any cogent evidence to prove that AO1 and other accused obtained any monetary benefit. The trial Court without considering this aspect in proper perspective erroneously convicted the accused.

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b) Secondly, he argued that PW7 claimed that there were about 10 customers present at the godown to purchase books when he went for surprise check but he did not examine any of them to prove the retail sale at the godown. Similarly, the loose sheets on which AO1 allegedly mentioned the prices of the sales effected at the time of surprise check were not seized and produced by PW7 and due to these lapses it should be held that prosecution failed to establish that AO1 effected sale of notebooks in the godown.

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c) Thirdly, learned counsel argued that though prosecution claimed that all the accused conspired and pocketed the dealers

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discount amount of Rs.1,61,000 and odd, it failed to produce any reliable evidence to that effect. He thus argued prosecution could not establish the offence against AO1.

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6) Sri T.Bali Reddy, learned Senior Counsel appeared for appellant/AO2 in Crl.A.No.445 of 2006 submitted that AO2 worked as Branch Manager and branch office and godown are located at different places and absolutely he had no knowledge about the alleged sale of notebooks at the retail outlets in the APSTC godown, Nalgonda and except an alleged confession of AO2 about his knowledge of the sales mentioned in Ex.P1 proceedings and admission of co-accused, there is no other independent credible evidence to show that he had any such knowledge about the sale of notebooks at the godown. Learned senior counsel vehemently argued even assuming for argument sake that AO2 admitted in Ex.P1 about his knowledge, such admission of guilt since being made before the Police Officer is inadmissible in evidence and so also confession of co-accused also cannot be applied against AO2 in that view of the matter, no offence could be made out against AO2. Learned senior counsel argued that AO2 was unnecessarily implicated in the offence just he happened to be the Branch manager of APSTC at Nalgonda.

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7) Learned counsel for appellant/AO3 in Crl.A.No.468 of 2006 argued that AO3 was the Senior Accountant in APSTC, Nalgonda branch and he had nothing to do with receiving and selling of the stock maintained at the godown and further, there was no record to show that AO3 was remitting the sale proceeds to Head Office

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through bank. Most importantly, AO3 was absent on the date of surprise check conducted by PW7 and so, when the facts and evidence are taken into consideration, they will not disclose complicity of AO3 in any manner but the trial Court placed implicit reliance on the evidence of PW7 and convicted AO3 as if he had conspired with other accused. He thus prayed to allow the appeal.

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8) Per contra, opposing the appeals learned Spl.P.P argued that the Government who is printing the notebooks decided to sell the notebooks through different dealers with an avowed object that the notebooks reached the needy public at the reasonable price and therefore, the Head Office of APSTC issued Circulars to all branches including Nalgonda branch to appoint the reputed dealers and sell the books to them who in turn would sell the books to the public through their shops on commission basis. He argued that as per the evidence of PW5, the Head Office never authorised or instructed the branch offices of APSTC to sell the notebooks to the public through retail outlets at godowns. This fact was admitted by the accused and in spite of it AOs.1 to 3 conspired together and AO1 sold notebooks to public from the Nalgonda godown itself without giving discount and maintained Exs.P2 to P4 under unnamed dealers and in the process, they have pocketed the commission of dealers amounting to Rs.1,61,000/- and odd. Not only that whenever regular dealers like PWs.2 and 3 submitted their indent for notebooks to effect sales in their shops, AO1 supplied only scant quota since they sold away the books in the godown point itself. Thus, all the

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accused abused their official position and obtained pecuniary advantage and the trial Court rightly convicted them. He argued that the severity of the offence is writ large from the fact that even at the time when PW7 was conducting surprise check with the help of mediators, AO1 was conducting sales at godown. He argued that non-examination of the purchasers who gathered at the godown and non-seizure of loose sheets maintained by AO1 for recording the sales effected by him before surprise check is not a great folly on the part of prosecution because that evidence may prove the fact that AO1 was conducting sales before the surprise check and the said fact was otherwise established by prosecution and most importantly, AO1 has not denied the selling of the notebooks at the godown. He thus prayed to dismiss the appeals.

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9) In the light of above rival arguments, the point for determination in these appeals is:

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“Whether conviction and sentence passed by the trial Court against the accused are factually and legally sustainable?”

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10 a) POINT: The precise case of the prosecution is that APSTC Lepakshi Nandi Notebook Division, Hyderabad in its Circular dated 21.04.1999 instructed the Branch Managers to appoint dealers for selling the notebooks by publishing in the local newspapers. AO1 to AO3 conspired together with an intention to appropriate the dealers’ commission and in that process by abusing their official position, sold the notebooks directly on retail basis in the Nalgonda godown itself without observing the

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necessary procedure and without maintaining proper records. AO1 being the Assistant Manager himself sold the Lepakshi Nandi Notebooks on retail basis at the godown without issuing any receipts and he was also found in possession of excess amount of Rs.20,000/- which was the intended commission of dealers and the same was seized as he failed to satisfactorily account for it. AO3 who is the Senior Accountant was responsible for depositing the amount in the bank and maintaining records, but he did not maintain the accounts about the discounts collected and stock register. Whereas AO2 being the Branch manager failed to check the activities of AO1 and AO3 and allowed them to sell the notebooks directly to customers on retails basis in the godown itself.

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b) Charges are concerned, the accused were charged under Section 120B IPC and Section 13(2) r/w 13(1)(d) of PC Act. The offence criminal conspiracy under Section 120 B IPC is concerned, prosecution to bring home the said charge shall establish that there was an agreement between the parties for doing unlawful act. Since the conspiracy generally will be hatched in secrecy, only circumstantial evidence can be adduced by the prosecution. Then the charge under Section 13(2) r/w 13(1) (d) is concerned, prosecution shall establish that the accused are public servants and they by corrupt or illegal means, obtained for themselves or for any other person any valuable thing or pecuniary advantage.

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It is now to be seen whether the prosecution by cogent

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evidence established the above charges or not. As already stated supra, the prosecution examined PWs.1 to 7 and got marked Exs.P1 to P16.

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c) The salient facts that the prosecution needs to establish are that there were circular orders and instructions issued by the Head Office to the branches of APSTC to effect the sale of Lepakshi Nandi Notebooks only through dealers and if the dealers effected sales than to give due commission to them and most importantly, branches shall not effect sales by themselves at their godown and contrary to this dictum the accused sold the notebooks through outlet at APSTC godown, Nalgonda to the customers and pocketed the dealers commission without maintaining the proper record.

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11) In this context, the evidence of PW5, who was the then Manager Notebooks Division, Hyderabad is important. He deposed that the General Manager who is his immediate authority took a sales policy decision and finalised the same for selling Lepakshi Nandi Notebooks for the season 1999 and issued guidelines by way of Circulars dated 21.04.1999 and 13.05.1999 whereby the branch offices shall sell notebooks by appointing dealers in the respective branches by taking security deposit of Rs.1,000/-. He further deposed those instructions were communicated to all branches including the branch office at Nalgonda and the relevant file consisting of the aforesaid circulars and draft notification to be issued by their respective branches for appointment of dealers is Ex.P6. Most importantly,

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he deposed that there were no instructions to managers of the branches to sell the notebooks in retail by opening the outlets at APSTC stores and the sale of notebooks shall be undertaken only through dealers appointed by the branches.

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So his evidence is to the effect that Head Office formulated policy for selling Lepakshi Nandi Notebooks for the season 1999 and issued clear cut instructions to all the branches that they should appoint dealers and sell the notebooks through them. His evidence also emphasises the fact that branches were not authorised to sell the notebooks in the retails out lets at APSTC godowns and the sale shall be effected through the appointed dealers only.

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a) A perusal of Ex.P6—Circular No.APSTC/NBD/Dealers/99 dated 21.04.1999 issued by the Managing Director addressed to all Branch Managers discloses that Managing Director issued modified terms and conditions for appointment of dealers for sale of Lepakshi Nandi Notebooks. As per the instructions, draft advertisement has to be published in the local district editions of Eenadu by the branch offices. The draft letter of appointment to be issued to the eligible firms as dealers was appended to Ex.P6. It was further instructed that Rs.1,000/- has to be received in the form of cheque from the applicants. It was also instructed that appointment of dealers is limited only for those of the applicants who are having APGST Registration Number and past experience in sale of notebooks/stationery items and after inspection of their business premises by the Branch Manager.

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The Branch Managers were further instructed to hold a meeting with the dealers at branch premises and enroll on the spot all the eligible firms as dealers. Ex.P6 also contains the modified general terms and conditions regarding the method of appointment of dealers and the prices of the notebooks of different varieties and dealers commission etc. As deposed by PW5, we do not find any permission issued by the Head Office authorising the branches to sell Lepakshi Nandi Notebooks through retails outlets in their respective godowns.

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12) The above is the oral and documentary evidence placed by the prosecution regarding the method and manner in which the Lepakshi Nandi Notebooks were to be sold during the relevant period. It is pertinent to note that PW5 was cross-examined by AO1 alone and AO2 and AO3 reported “no cross-examination”. AO1 in his cross-examination did not challenge the evidence of PW5 and contents of Ex.P6. His cross-examination was very brief on the point as to whether AO1 effected sales on the instructions of AO2 or not. So, it is obvious that accused did not challenge the prosecution evidence on the aspect of sale of notebooks through authorised dealers alone and on the aspect of not authorising branches to sell notebooks to the customers at the respective godown.

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To this extent the prosecution has established its case. Now, the next point is whether accused have effected the sales at the godown or not. On this aspect the evidence of PWs.1 and 7 is important.

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13 a) PW1 is concerned, he is one of the mediators who was present when PW7 conducted surprise check at the APSTC godown on 19.06.1999. PW1 deposed that himself and LW2— Somaiah followed PW7 and other ACB Inspects to the APSTC godown at Prakasham Bazar, Nalgonda and reached there at 4.30 PM and there they found AO1—Satyanarayana was selling notebooks and one Yadaiah—Assistant was also present along with him. AO1 informed that manager and other staff were available at branch office situated at Natraj Talkies area and on the instructions of PW7 he sent Yadaiah to bring them. PW1 further deposed that AO1 continued to sell the notebooks to the customers in their presence and noting the amounts on loose papers instead of in Bill books. Meanwhile, AO2—the Manager and one Assistant Manager came there along with records. AO2 informed the surprise check party that he was the supervising officer and his duty was to improve the sale of notebooks and when questioned whether he had the knowledge of sale of notebooks in retail, he answered he was aware of it. He admitted that there were no written instructions to effect sales in retail. In the cross-examination of AO1, he deposed that there was only one counter in the godown where the books were being sold by placing a table and chair. There were more than 10 persons present there who came to purchase the notebooks but he cannot give their names and other particulars. He stated that they found the sales of that day worth Rs.14,630.50 ps. He was crossexamined by AO2 also but AO3 reported no cross. Be that it may, neither AO1 nor AO2 gave a specific suggestion that AO1 never

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conducted sales at the godown and on the date of surprise check also he did not sell books to the customers. On the other hand, the suggestion of AO1 was that he stated to the members of check party that the total sale amount on that day will be consolidated and one bill will be prepared and handed over to the cashier by the end of the day. This suggestion implies that the accused, more particularly AO1, admitted the sale of notebooks at the godown.

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b) PW7 also deposed in similar manner to PW1 stating that when they went for surprise check, AO1 was present and selling notebooks to the customers. This witness was also not suggested that no sales were conducted at the godown. On the other hand, AO1 suggested to him that sale of notebooks were only after giving complete discount to the students which itself implies the admission of accused about the sale of notebooks.

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c) Not only the prosecution witnesses, even DWs.1 to 4, who were examined by the accused to depose the fact that AO1 was selling the notebooks at the godown after giving due discount, have otherwise confirmed the fact that AO1 was conducting sale of Lepakshi Nandi Notebooks at the godown during June, 1999.

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d) In that view of the matter, non-examination of customers who gathered at the godown to purchase the notebooks and nonseizure of loose sheets cannot be held to be fatal to the prosecution case because their purpose is to reveal that AO1 was conducting sales and that fact was amply established by the prosecution.

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14) The next important aspect is whether the accused obtained any pecuniary advantage in abuse of their official position by selling the notebooks. As per prosecution, AO1 sold the notebooks without maintaining proper bills and pocketing dealers discount and in that process, obtained pecuniary advantage of Rs.1,61,856/-. The accused have staunchly denied the allegation. On a perusal of oral and documentary evidence, it must be held that prosecution contention is correct.

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a) A perusal of Ex.P2—sale register shows that notebooks were sold between 01.06.1999 and 16.06.1999 as follows:

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Bill No.	Date	No. of books	Total Value of the books	16% discount	Net Amount	Receipt No. / Ext.No.
1201	1/6/1999	4000	2,37,500.00	38,000.00	1,99,500	146901 in Ex.P4
1202	7/6/1999	25825	1,90,081.25	30,413.00	1,59,668.25	146902 in Ex.P4
1203	8/6/1999	19650	1,85,957.50	29,753.20	1,56,204.30	146903 in Ex.P4
1204	9/6/1999	9500	1,11,025.00	17,764.00	93,261.00	146904 in Ex.P4
1205	10/6/1999	2875	25,381.25	4,061.00	21,320.25	146884 in Ex.P3
1206	14/6/1999	11475	1,14,740.00	18,358.40	96,381.60	146886 in Ex.P3
1207	16/6/1999	13450	1,46,920.00	23,507.20	1,23,412.80	146915 in Ex.P4
		Total		1,61,856.80

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So, as per the bills 1201 to 1207, the total discount on the

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sales comes to Rs.1,61,856.80 ps. which was payable to the dealers. If the above sales were made to the authorised dealers to enable them to sell in their shops, the acts of accused need not be doubted. However, the names of the dealers are not mentioned in any of the above bills. It is not known to whom the books were sold. As per Ex.P5, six (6) dealers were selected but surprisingly, the sales covered by Exs.P2—bills were not made to any of those six dealers and in fact, the dealers’ names were not at all mentioned in the cash bills. However, in those bills 16% discount was claimed and in Exs.P3 and P4 receipt books, the receipts were prepared for the balance amount after deducing the discount as shown in the above table.

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b) At the first instance, the AO1 was not authorised to conduct any sales at the godown. Further, even if he sold the books, he was not supposed to deduct dealers discount when the sales were not made to authorised dealers. Exs.P2 to P4 are in the handwritings of AO1.

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So, from the above, the only inference that can be drawn is that the AO1 has diverted the notebooks and sold to the customers at his own price. In this process the authorised dealers were deprived of the notebooks, which is manifest from the evidence of PWs.2 and 3.

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15 a) PW2 is the owner of M/s.Dayanand Ranga Stationery Shop, Miryalaguda and he was one of the authorised dealers as per Ex.P5. His evidence is that in the months of June and July notebooks were supplied to him by APSTC, Nalgonda branch but

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the quantity was less than his requirement. He was not crossexamined on this aspect.

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b) Similarly, PW3 who is the President of Neelagiri Super Bazar Cooperative Consumer Store was an authorised dealer as per Ex.P5. He deposed that he used to give indent for supply of books to APSTC as per his requirement but AO1 was not supplying books as per his indent. There are 12 varieties of notebooks supplied by APSTC and whenever he asked for supply of varieties he required, AO1 was supplying only some varieties and used to tell that there was no stock in respect of other varieties but he was selling those other varieties of books to unauthorised dealers at a discount of 5%. He further stated that whenever he asked for supply of notebooks, AO1 used to answer there was no stock available and if he was aggrieved, he can complain wherever he want and in those circumstances, he stopped seeking notebooks from APSTC. This is the version of PWs.2 and 3 as to how the genuine dealers suffered in the hands of AO1 for want of notebooks.

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c) Apart from this, PW4 who is a practicing Advocate in Nalgonda deposed that in the month of June, 1999 he visited APSTC stores to purchase notebooks and at that time AO1 was present and he agreed to give only 5% discount and refused to give 10% discount. Since the other shops were giving 10% discount on notebooks he went away and purchased the notebooks in Krishna General Stores. In Ex.P1—mediatornama it was mentioned that PW4 came to godown at the time of surprise

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check by ACB Inspectors.

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So, the evidence of PW4 would clearly show that AO1 sold books in retail at his own price but prepared bills as if they were sold to some unnamed persons and claimed 16% dealers discount and also deprived the notebooks to the authorised dealers. So, the above evidence shows that AO1 have gained pecuniary advantage in an illegal manner.

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16) Now, the next aspect is whether AOs.2 and 3 are part of conspiracy with AO1 and whether they played any role in the sale of books conducted by AO1 and obtained any pecuniary advantage.

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a) In this context, the vehement contention of Sri T.Bali Reddy, learned senior counsel for AO2 is that except the alleged inadmissible confession of AO2 in Ex.P1 and also the confession of co-accused, there is no tangible evidence to hold that AO2 hatched conspiracy with other accused. He submitted that just because AO2 was Branch Manager, he was roped in the case without there being any evidence. He submitted that AO2 works in the branch office and he was not aware of AO1 selling notebooks at godown. He submitted that mentioning in Ex.P1 that he has knowledge about sale of notebooks since amounts to confession before the Police Officer is not admissible in evidence and similarly the confession of AO1 that he was selling books on the order of AO2 also not admissible. Except those inadmissible statements, there is no other evidence to connect AO2 to the case.

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b) Similarly, on behalf of AO3 it is argued that he was Senior Accountant and he was not concerned with stock in godown and sale to the dealers etc. and in none of the bills covered by Exs.P2 to P4, his signatures were there and therefore, his conviction is quite illegal.

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17 a) On perusal of the record, I find some force in the contention of AOs.2 and 3. Admittedly, there is no direct evidence for the alleged conspiracy among the accused. Of course, since conspiracy will be hatched in secrecy, it is not possible to secure the direct evidence and hence it can be proved by circumstantial evidence only. In this case, even the circumstantial evidence is also not forthcoming strongly to connect AOs.2 and 3 to the offence. AO2 is concerned, except his alleged admission that he has knowledge about the sales that would take place in godown there is no other material to connect him to the offence. In none of the bills we find the signatures of AO2 and AO3. None of the witnesses deposed about the presence of AO2 and AO3 when the sales were conducted by AO1. The stray admission said to be made by AO2 in Ex.P1 is hit by Section 25 of Indian Evidence Act since it was made before the Police officer during the surprise check proceedings. So also the confession of AO1 is also not admissible against AO2. When it is omitted, there is no evidence to connect AO2 to the offence. Further, the branch office and godown are at different places. It appears that AO1 was mainly looking after the godown. No criminal acts or mense rea of AO2 could be culled out from the evidence.

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b) Similarly, AO3 is concerned, he was a Senior Accountant and he was not present on the date of surprise check. His signatures were also not found in the bills. As submitted by him, he was not directly concerned with the godown and the prosecution did not file the duty chart of this accused. Therefore, in the considered view of this Court, AOs.2 and 3 deserve benefit of doubt since no criminal offence could be made out against them. Of course, AO2 being Branch Manager and AO3 being Senior Accountant were in a position to know about the sales conducted by AO1, but they did not exercise vigilance, diligence and prudence to make timely intervention and therefore, they are liable for departmental enquiry.

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18) So, on a conspectus of facts and evidence, the prosecution could not establish the criminal conspiracy among the accused and so also, it could not prove the charges levelled against AOs.2 and 3, but it could establish the charge under Section 13(1)(d) r/w 13(2) of PC Act against AO1.

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19) In the result,

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(i) Crl.A.No.469 of 2006 filed by AO1 is partly allowed and conviction and sentence passed by the trial Court under Section 120B IPC is set aside. However, the conviction and sentence passed against AO1 for the offence under Section 13(1)(d) r/w 13(2) of PC Act is confirmed. Since AO1 died pending appeal, the sentence of imprisonment cannot be implemented.

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(ii) Crl.A.No.445 of 2006 filed by AO2 and

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Crl.A.No.468 of 2006 filed by AO3 are allowed and conviction and sentence passed against them by the trial Court in C.C.No.10 of 2001 are set aside. However, concerned authorities are directed to initiate departmental enquiry against them, if not done already.

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As a sequel, miscellaneous applications pending, if any, shall stand closed.

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__________________________ U. DURGA PRASAD RAO, J Date: 24.06.2015 Note: L.R. Copy to be marked: Yes / No Murthy

M.Satyanarayana, v. The State of A.P.

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M.Satyanarayana, v. The State of A.P.

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