SC: SARFAESI Act Was Not Applicable in Nagaland Before its 2021 Adoption, Dismisses Creditor’s Plea  ||  SC: Lis Pendens Applies To Money Suits on Mortgaged Property, Including Ex Parte Proceedings  ||  Kerala HC: Civil Courts Cannot Grant Injunctions in NCLT Matters and Such Orders Can Be Set Aside  ||  Bombay High Court: Technical Breaks to Temporary Employees Cannot Deny Maternity Leave Benefits  ||  NCLAT: Appellate Jurisdiction Limited to Orders Deciding Parties’ Rights, Not Procedural Directions  ||  NCLAT: Personal Guarantors Involved In NCLT Proceedings Can Appeal Against Insolvency Admission  ||  Supreme Court: Foreign Companies’ Head Office Expenses in India are Capped under Section 44C  ||  SC Directs Trial Courts to Systematically Catalogue Witnesses and Evidence in Criminal Judgments  ||  SC Calls For Sensitising Future Generations on Equality in Marriage to Combat Dowry Practices  ||  SC: Separate Suits Against Confirmed Auction Sales are Barred; Remedy Available under Sec 47    

Central Bureau of Investigation, Bank Securities & Fraud Cell v. Ramesh Gelli and Others - (23 Feb 2016)

Officers of private bank punishable under POCA

Criminal

Officers of a private bank, specifically its Chairman, Directors and other Officers are ‘public servants’ who can be prosecuted under the Prevention of Corruption Act, 1988, the Supreme Court held. In a case that harkened to Bollywood movies of the 1970s, “where are my Diamonds?”, the instant case, though unlikely to have involved the blackest of stones, was predicated upon clandestine transfer of funds by ‘banking’ proprietors for wrongful gain by cheating.

Justice Pant took a direct view of the matter, equating ‘public servants’ under Section 2 of POCA and Section 46A of the Banking Regulations Act, 1949 as one and the same. Such was his opinion that though bank officials were not public servants under the Section 21 of the IPC, the same did not preclude them from prosecution under POCA by virtue of Section 46A of the Act of 1949.

Justice Gogoi cautioned against too wide an interpretation of the “public duty” under POCA, to the extent the same could encompass any duty attached to any office as having a bearing on public interest. Instead, his divergent reasoning, yet similar conclusion, looked to the relevant office and duties performed having a public character.

Relevant : Section 2 Prevention of Corruption Act, 1988

Section 46A of the Banking Regulation Act, 1949

Tags : PREVENTION OF CORRUPTION   BANKERS   PUBLIC DUTY  

Share :        

Disclaimer | Copyright 2025 - All Rights Reserved