Notice to Centre on Hindalco plea

The Supreme Court on Wednesday issued notice to the Centre on a petition filed by Hindalco challenging Section 13 ( 1) ( d) ( ii) of the Prevention of Corruption Act relating to criminal misconduct) in as much as it criminalises the action of a government servant in the discharge of his official duties exercising his discretion in taking a decision.

A bench of Justices V. Gopala Gowda and C. Nagappan issued notice after hearing senior counsel Harish Salve, appearing for Hindalco. He said the trial judge had invoked “strict liability” principle while issuing summons to former Prime Minister Manmohan Singh and others as accused. He said if trial courts used this principle it would have serious consequences and the apex court should address these issues.

The petitioner said the provision impinges on the fundamental right to carry on business by criminalising legitimate business activities without anything more.

It said merely because the trial judge differed with the administrative decision the same could not be a ground for criminal prosecution, particularly when the recommendation was found to be in public interest by the chief minister of Orissa, the coal secretary, several officers in the coal ministry and the then Prime Minister.

It said the object of the PC Act was to punish public servants indulging in acts of corruption and this would necessarily mean an act done with criminal intention.

But the section, it said “suffers from the vice of over classification by treating dishonest and honest public servants who may take a decision or exercise discretion within the same class. This provision is liable to be struck down on the ground of treating unequals equally.”