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HC junks FIR against ex-minister, raps Vigilance for ‘misusing powers’

Two years after a case was registered for corruption and other offences against former minister Sham Sunder Arora and others for extending an “unfair advantage” to Gulmohar Township Company, the Punjab and Haryana High Court has rapped the Vigilance Bureau...
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Sham Sunder Arora
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Two years after a case was registered for corruption and other offences against former minister Sham Sunder Arora and others for extending an “unfair advantage” to Gulmohar Township Company, the Punjab and Haryana High Court has rapped the Vigilance Bureau for “misusing its powers” before quashing the FIR.

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Justice Mahabir Singh Sindhu asserted there was sufficient material to indicate it was “a simple case” of industrial plot’s transfer/sale over the years to different allottees, initially from Punjab State Industrial Development Corporation (PSIDC) to finally to Gulmohar Township.

“The Vigilance Bureau, misusing its powers, registered the impugned FIR, without there being any basis, just to harass and humiliate the petitioners,” the court said in its December 20 order, which was uploaded on the court website on Saturday.

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Justice Sindhu observed that the FIR stemmed from a complaint dated June 21, 2021, filed by an individual identified as “Navjot Singh-Congressman”. The complaint forwarded to the Punjab State Chief Vigilance Commissioner contained allegations related to the transfer and bifurcation of the industrial plot at Mohali.

“A bare perusal of the complaint reveals that it is a pseudo communication made to the Chief Vigilance Commissioner and till date the identity/credentials of complainant Navjot Singh-Congressman are not known. Neither Navjot Singh-Congressman joined preliminary inquiry, nor he was associated during investigation by the Vigilance Bureau for the reasons best known to it,”the court observed.

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Justice Sindhu asserted it was inconceivable how the State Chief Vigilance Commissioner set the bureau into motion, “without ascertaining the sanctity of the complaint as well as credentials of the complainant”.

The court asserted that the complaint was filed with ulterior motives. “There remains no doubt that alleged complaint is actuated with ulterior motive and petitioners have been made scapegoat by some disgruntled elements while misusing the office of Punjab State Chief Vigilance Commissioner”.

The dispute revolves around the transfer of the industrial plot in Mohali, originally allotted on a freehold basis to Punjab Anand Lamp Industries Ltd. (PALI Ltd.) on July 30, 1984. Meticulously tracing the plot’s ownership history, Justice Sindhu observed it was transferred through lawful means over the years. The company’s assets, including the plot, were amalgamated with Phillips India Ltd. under a scheme duly accepted by the PSIDC. No-dues certificate was issued upon recovering all dues.

The plot was then transferred under court orders to Phillips Lighting India Ltd., whose name was subsequently changed to Signify Innovations Ltd. It eventually sold the plot to Gulmohar Township for Rs 110 crore. The Vigilance Bureau had alleged that transfer was unlawful and caused loss to the State Exchequer.

Justice Sindhu asserted the allegations in the FIR were based on mere conjectures. The bifurcation/fragmentation of plot into 125 plots was allowed by the PSIEC in accordance with policy dated February 8, 2005, “which is continuously being followed in the entire State of Punjab and more than 100 plots have been bifurcated/fragmented in the State under this policy”.

Justice Sindhu further asserted there were numerous instances in Punjab, “where bigger plots were bifurcated/fragmented into smaller plots and no criminal proceedings were initiated by the Vigilance Bureau in any other case. Thus, the petitioners have been selectively targeted and victimised while misusing the powers by the Vigilance Bureau for the reasons best known to them”.

The court added the allegations regarding loss around Rs 500 crore to Rs 700 crore levelled by the bureau “were completely imaginary”.

The court said Gulmohar Township had complied with all legal formalities while obtaining approval for the bifurcation/fragmentation of the plot. “Thus, no criminal intent can be attributed on their part in purchasing or bifurcating/fragmenting plot in Phase IX, SAS Nagar, Mohali,” it said.

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