HC quashes CBI FIR, chargesheet

CHANDIGARH:Just over a year after the CBI registered a case “on a patently false and frivolous complaint” in an alleged land misuse matter, the Punjab and Haryana High Court today quashed the FIR against the chairperson and director of the Chandigarh-based Durga Das Foundation (DDF). A chargesheet submitted by the premier investigating agency, too, stands quashed.

Saurabh Malik

Tribune News Service

Chandigarh, December 19

Just over a year after the CBI registered a case “on a patently false and frivolous complaint” in an alleged land misuse matter, the Punjab and Haryana High Court today quashed the FIR against the chairperson and director of the Chandigarh-based Durga Das Foundation (DDF). A chargesheet submitted by the premier investigating agency, too, stands quashed.

Seeking the quashing of the FIR registered on June 30, 2011, for criminal breach of trust under Sections 409 and 120-B of the IPC, and other provisions of the Prevention of Corruption Act, chairperson Brij Mohan Khanna and director Atul Khanna had earlier challenged the proceedings on more than 26 grounds.

The case

A case in the matter was registered by the CBI on the allegations that a plot allotted to the Bharat Sevak Samaj (BSS) was being used by the foundation to run a kindergarten; and the profit earnings were diverted. It was also alleged that the allotment, made for “cultural and beneficent purposes”, was converted for running a school.

Going into the background of the controversy, senior advocate RS Rai, assisted by advocate Anurag Arora, asserted on the petitioners’ behalf that a piece of land measuring 1.4 acres in Sector 24 was allotted in December 1967 to the BSS for “cultural and beneficent purposes”. A clause in the conveyance deed permitted the BSS to create a lease on a monthly basis.

The BSS memorandum of association also specified that one of the primary functions was “improving existing facilities or providing additional facilities with regard to health and fitness, education, recreation, rural development, community organisation, cooperative production and distribution and cottage industries.”

Rai added that the Durga Das Foundation Trust, too, was single-mindedly providing quality education to children with a focus on character and nation building. “This was also the beneficent purpose for which the allotment of the land was made to the BSS…. It was considered expedient that both organisations work in cooperation with each other. Consequently, it was unanimously resolved that the Durga Das Foundation will use part of the premises of the BSS for running a playway school for children to impart quality education.”

Rai added that the BSS and the foundation were “working in unison and harmony”. The samaj was “in complete control and possession of its premises whereas the foundation was merely facilitating some of BSS’ functioning, helping it achieve its objectives…. The BSS, in close coordination with the foundation, has been organising cultural and social welfare activities from its premises in Sector 24, Chandigarh, such as classical music concerts, plays and workshop for children”.

The work done by the foundation was also appreciated by the central BSS vide a letter dated November 6, 2007.

The final report

Rai asserted that the CBI proceeded with filing the final report in a “tearing hurry and undue haste after more than two years of the registration of the FIR without objectively determining as to whether the petitioners would fall within the ambit of public servant as contemplated under the Prevention of Corruption Act”. Realising that an offence under Section 409 was not made out, the CBI dropped it and filed the final report under Section 420 and the Act.

It was contended that the statements recorded during the CBI investigation did not support its case. For instance, Joint Secretary, Estates, Surinder Kumar Setia affirmed that permission for running the playway school was granted in 1989 in the name of First Step Nursery and Playway School. Considering the overall well-being of the kindergarten, it was handed over to the foundation in 1994 for efficient running and management.

A former Vice-Chancellor of Panjab University, Dr RP Bambah, affirmed that the DDF consisted of five founder trustees, including a former Director of the PGI, Dr PL Wahi, former MP Governor and PS to Prime Minister Sarla Grewal, Brij Mohan Khanna and Pammi Aswani. Over a period of time, another former Director of the PGI, Dr IC Pathak, ghazal maestro Jagjit Singh, HDFC senior general manager Rajiv Sardana and a former Chief of the Army Staff, Gen VP Malik, joined as trustees. He deposed that the DDF was not a business or foundation run by a family as alleged by the CBI.

Rai also contended that mala fide actions did not stop even after the presentation of the challan. As a stay had been granted by the High Court, another innovative way was adopted to harass the petitioners. A letter was written by the CBI to the Chief Vigilance Officer-cum-Adviser to the Administrator on November 6, 2013, for appropriate action in the matter. Thereafter, the Administration issued a show-cause notice to the BSS chairman on misuse of land on February 26, 2014. A reply to the notice was sent by the BSS chairman, after which the then Land Acquisition Officer decided to drop the proceedings.

After hearing the arguments, Justice KC Puri allowed the petition and quashed the FIR and all subsequent proceedings arising thereafter.