# SHEO NANDAN PASWAN v. STATE OF BIHAR & ORS

- **Citation:** [1987] 1 S.C.R. 702
- **Court:** Supreme Court of India
- **Decided:** 1986-12-20
- **Case number:** Criminal Appeal A No. 241 of 1982
- **Bench:** P.N. Bhagwati C.J, E.S. Venkataramiah, V. Khalid, G.L. Oza, S. Natarajan
- **Source:** https://unisonlegal.in/judgment/supreme-court-of-india/sheo-nandan-paswan-v-state-of-bihar-ors-9493
- **Pages:** 96

## Headnote

•
Review of judgments or orders by the Supreme Court-Constitution of India, 1950, Article 137 read with Rule I of order XL of the
Supreme Court Rules, 1966--Nature of the power of Review by the
c Supreme Court-Whether the Supreme Court could interfere with the
granting consent orders for "Nolles Prosequi" against the accused, when
the orders of the Special Judge, of the High Court in Revision, and of
the majority of the Judges of the S~preme Court in an appeal by special
leave, were in favour of the accused.
0
Review order is to the effect "the review petition should be admitted and the appeal should be reheard immediately after the decision of
Nandini Satpathi's case Cr/. Appeals 48 and 49 referred to a Constitution Bench"-Meaning and consequ.ence of the order admitting the
Review Petition-Whether the judgment sought to be reviewed was set
aside or not.
E
Code of Criminal Procedure, 1973, .section 321-Withdrawal
from the Prosecution-Scope and construction of the provisions of the
section as to the power of the Public Prosecutor to withdraw and the
power.to grant consent to·such withdrawal by the Magistrate-Whether
on the face of the record, there was any error apparent-Whether
the principle of administrative law be invoked for construing the
F section.
Locus' standi of a complainant in a criminal proceedings to file a
revision before the High Court and an appeal by special leave before the
Supreme Court under Article 136 of the Constitution, against an order
G granting consent to withdraw the criminal case.
"Discharge" of an accused, consequent to the consent passed by
the Magistrate under section 321 and "Discharge" of an accused made
under section 227 or 239 of the Code of <;riminal Procedure.
Under Article 137 of the Constitution of lndia The Supreme
H Court shall have power to review any judgment pronounced or order
.702
+
+
)--
, .
\
'
·+
-+
-f ..
SHEONANDANPASWANv.STATEOFBIHAR
703
made by it, subject to the provisions of any law made by Parliament or A
any rules made under Article 145. The Supreme Court, in exercise of
the powers conferred by Article 145 of the Constitution and all other
powers enabling it and with the approval of the President made the
"Snpreme Court'Rules 1966". Under Rule 1 of Order XL thereof, the
"Court may review its judgment or order but no application for review
will be entertained • . . . . . in a criminal proceeding except on the B
ground of an error apparent on the face of the record."
Patna Urban Cooperative Banks was registered in May 1970 :ind
it commenced its banking business ·with Nawal Kishore Sinha as its
Chairman, K.P. Gupta as its Honorary Secretary, M.A. Hydary as
Manl'ger and A.K. Singh as loan clerk. Dr. Jagannath Misra who was c
then a Member of the Legislative Council was closely associated with
Nawal Kishore Sinha and helped the Cooperative Bank and Nawal
Kishore Sinha in !fiverse ways in connection with the affairs of the Bank
and assisted in mobilisation of the resources for the Bank. There were
some irregularities in the affairs of the Bank. The then Chief Miliister
Slu<i Abdul Ghafoor ordered the prosecution of the officers and staff of D
the Bank including it• Honorary Secretary Shri'K.P. Gupta, Ma.nager,
M-.A. Haidary 'and the loan clerk. However, this was not done. On
11.4.1975 Shri Abdul Ghafoor was replaced by Dr. Jagannath Misra
as Chief Minister. On May 16, 1975 he passed an order that oniy stern
action should be taken for realisation of loans since on the perusal of the ·
file it appeared there was no allegation of defalcation against the
E
Chairman and members of the Board. This date is alleged to have been
later changed to May 14, 1975 by a fresh order. As per the revised order
directions for restoration of normalcy and holding of Annual General
Meeting "of the bank was made. On 15.4.1976 the Reserve Bank cancel- ·
led the banking licence issued to the Banli. and a liquidator was
appointed. Consequent to the report of the Estimates Committee and
F
the debate in t

## Text

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A
B
SHEO NANDAN PASWAN
v.
STATE OF BIHAR & ORS.
DECEMBER 20, 1986
[P.N. BHAGWATI C.J., E.S. VENKATARAMIAH,
V. KHALID, G.L. OZA AND S. NATARAJAN; JJ.]
•
Review of judgments or orders by the Supreme Court-Constitution of India, 1950, Article 137 read with Rule I of order XL of the
Supreme Court Rules, 1966--Nature of the power of Review by the
c Supreme Court-Whether the Supreme Court could interfere with the
granting consent orders for "Nolles Prosequi" against the accused, when
the orders of the Special Judge, of the High Court in Revision, and of
the majority of the Judges of the S~preme Court in an appeal by special
leave, were in favour of the accused.
0
Review order is to the effect "the review petition should be admitted and the appeal should be reheard immediately after the decision of
Nandini Satpathi's case Cr/. Appeals 48 and 49 referred to a Constitution Bench"-Meaning and consequ.ence of the order admitting the
Review Petition-Whether the judgment sought to be reviewed was set
aside or not.
E
Code of Criminal Procedure, 1973, .section 321-Withdrawal
from the Prosecution-Scope and construction of the provisions of the
section as to the power of the Public Prosecutor to withdraw and the
power.to grant consent to·such withdrawal by the Magistrate-Whether
on the face of the record, there was any error apparent-Whether
the principle of administrative law be invoked for construing the
F section.
Locus' standi of a complainant in a criminal proceedings to file a
revision before the High Court and an appeal by special leave before the
Supreme Court under Article 136 of the Constitution, against an order
G granting consent to withdraw the criminal case.
"Discharge" of an accused, consequent to the consent passed by
the Magistrate under section 321 and "Discharge" of an accused made
under section 227 or 239 of the Code of <;riminal Procedure.
Under Article 137 of the Constitution of lndia The Supreme
H Court shall have power to review any judgment pronounced or order
.702
+
+
)--
, .
\
'
·+
-+
-f ..
SHEONANDANPASWANv.STATEOFBIHAR
703
made by it, subject to the provisions of any law made by Parliament or A
any rules made under Article 145. The Supreme Court, in exercise of
the powers conferred by Article 145 of the Constitution and all other
powers enabling it and with the approval of the President made the
"Snpreme Court'Rules 1966". Under Rule 1 of Order XL thereof, the
"Court may review its judgment or order but no application for review
will be entertained • . . . . . in a criminal proceeding except on the B
ground of an error apparent on the face of the record."
Patna Urban Cooperative Banks was registered in May 1970 :ind
it commenced its banking business ·with Nawal Kishore Sinha as its
Chairman, K.P. Gupta as its Honorary Secretary, M.A. Hydary as
Manl'ger and A.K. Singh as loan clerk. Dr. Jagannath Misra who was c
then a Member of the Legislative Council was closely associated with
Nawal Kishore Sinha and helped the Cooperative Bank and Nawal
Kishore Sinha in !fiverse ways in connection with the affairs of the Bank
and assisted in mobilisation of the resources for the Bank. There were
some irregularities in the affairs of the Bank. The then Chief Miliister
Slu<i Abdul Ghafoor ordered the prosecution of the officers and staff of D
the Bank including it• Honorary Secretary Shri'K.P. Gupta, Ma.nager,
M-.A. Haidary 'and the loan clerk. However, this was not done. On
11.4.1975 Shri Abdul Ghafoor was replaced by Dr. Jagannath Misra
as Chief Minister. On May 16, 1975 he passed an order that oniy stern
action should be taken for realisation of loans since on the perusal of the ·
file it appeared there was no allegation of defalcation against the
E
Chairman and members of the Board. This date is alleged to have been
later changed to May 14, 1975 by a fresh order. As per the revised order
directions for restoration of normalcy and holding of Annual General
Meeting "of the bank was made. On 15.4.1976 the Reserve Bank cancel- ·
led the banking licence issued to the Banli. and a liquidator was
appointed. Consequent to the report of the Estimates Committee and
F
the debate in the Assembly, Dr. Jagannath Misra directed, on 4.8.76
the prosecution against those involved in the defalcation. Thus 23 criminal cases were filed against the office he!lrers and loanees but Nawal
Kishore Sinha was excluded from being arraigned as. an accused. In
June 1977 there was a clwige of Ministry at the Centre. lo June 1977
the Government headed by Dr. Jagannath Misra was replaced by the G
Government headed by Sri Kar.,._.; Thakur.
·
.As a sequel to the memorandums submitted by the Patna Secretariat Non-gazetted EmplOyees' Association to the new Chief Minister
Oil 9. 7 .1977 requesting him to enquire into allegationS against Dr.
Jagannath Misra, after a detailed procedure and obtaining requisite H
704
SUPREME COURT REPORTS
[1987] l S.C.R.
A sanction of the Governor, a criminal case was instituted by the vigilance
~
Department against Dr. Jagannath Misra and others.
The charge sheet ftled by the State of Bihar against the respon·
dents on 19th February, 1979, was for offences under sections 420/466/
471/109/120-B of Indian Penal Code and under Sections 5(1) (a), 5(a)
B (b) & 5(1) (d) read with Section 5(2) of the Prevention of Corruption +
Act, 1947. The charge against Dr. Jagannath Misra was that he, who
at .all material times, was either a Minister or the Chief Minister of
Ribar abusing his position as a Public servant, in conspiracy with the
other accused, sought to interfere with the criminal prosecution and
surcharge proceedings against Nawal Kishore Sinha and others with a
>-
view to obtain to himself and to the other respondents pecuniary
c advantage to the detriment of Patna Urban Cooperative Bank. The
Chief Judicial Magistrate took cognizance of the case on 29. 7. 1979.
+
There was a change of ministry in Bihar in June 1980 and the
second respondent became the Chief Minister again. A policy decision
D was taken on I0.6.1980, that criminal cases launched out of political
vendetta and cases relating to political agitation be withdrawn. On
24.2.1981 the Government appointed Shri L.P. Sinha as a Special
Public prosecutor. On 25.2.1981, the secretary to the Government of
Bihar wrote a letter to the District Magistrate informing him of the
policy decision taken by the Government to withdraw from prosecution +
E of two vigilance cases including the case with which the Court is concerned. He was requested to take steps for the withdrawal of the case.
On 17th June, 1981, Shri Sinha made an application under s.321 ot'the
Cr.P.C. to the Special Judge seeking permission to withdraw from the
•
prosecution of respondent Nos. 2, 3 and 4 on four grounds; (a) Lack of
prospect of successful prosecution in the light of the evidence, (h) ImpliF
cation of the persons as a result of political and personal vendetta; (c)
Inexpediency of the prosecution for the reasons of the State and public !I
policy and (d) Adverse effects that the continuance of the prosecution
'·
will bring on public interest in the light of the changed situation. The
learned Special Judge gave consent sought, by his order dated 20th
June, 198t: The appellant, therenpon, filed a criminal Revision A11pli·
G
cation No. 874/81 against the order permitting withdrawal of the ]pro-
~ •
secution. The said application was dismissed in ii mine by the High
Court by an order dated 14.9.1981. The appellant therefore prefe.red
,.
Crl. Appeal No. 241/82 by special leave to this Court. In two well
reaso"ned concurring judgments, Babarul Islam J and R.B. Misra J.
dismissed the appeal by their judgments dated December 16, 1982 and
H
by an equally reasoned judgment, Tulzapurkar J. dissented from the
SHEO NANDAN PASWAN v. STATE OF BIHAR
705
7
main judgement and allowed· the appeal. (See Sheonandan Paswan v. A
State of Bihar & Ors.,[(1983) 2 SCR 61] Baharul Islam J. demited office
.on 13. 1.1983. An application was filed on 17.1.1983 to review the judgmenf under Article 137 of the Constitution read with Order XI of the
Supreme Court Rules. On 22.8.1983, the matter was heard in open
-+
court by a Bench consisting of Tulzapurkar J., A.N. Sen J. and R.B.
Misra J, and·A.N. Sen J. passed an order admitting the Review Petition B
without disclosing any reason therefor and directed the rehearing of the
petition immediately after the decision in Mohd. Mumtaz v. Smt.
Nandini Satpathy [1983] 4 SCC 104, which was referred already to a.
-
Constitutional Bench of five Judges. Hence the rehearing of the case to
_.(
review the two concurrent judgments.
c
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Dismissing the appeal, in accordance with the opinion of the
majority, the Court, (Per Venkataramiah J.) (Majority view)
Held: I. I Merely because a court discharges or acquits an accused arraigned before it, the court cannot be considered to have compromised with the crime. True, corruption, particularly at high places D
should be put down with a heavy hand. But, the passion to do so should
not overtake reason. The Court always acts on the material before it
and if it finds that the material is not sufficient to connect the accused
-~-
with the crime, it has to discharge or acquit him, as the case may be,
notwithstanding the fact that the crime complained of is a grave one.
Similarly if the case has been withdrawn by. the Public Prosecutor for
E
good reason with the consent of the Court, Supreme Court should be
slow to interfere with the order of withdrawal. In either case, where the
-"
Special Judge had rejected the application for withdrawal and the High
Court had affirmed that order, and where the special judge had permitted the withdrawal but the High Court had reversed that order, the
Supreme. Court may not have interfered with the orders of the High
F
/i.
Court under Article 136 of the Constitution. But this is a case where the
,
'
Special Judge had permitted the withdrawal of the prosecution, and the
said order of withdrawal has been affirmed by the High Court as well as
by the majority judgment pronounced by Supreme Court earlier.
Interference by the Supreme Court on review must only be on strong
and compelling reasons. [766D-H]
G
1.2 When the earlier decisions of the Supreme Court are allowed
to remain_ in tact, there is no justification to reverse the majority judgments ofBaharul Islam and R.B. Misra JJ., reported in [1983] 2 SCR 61
by which the appeal had already. been dismis5"d. The reversal of the
earlier judgment of Supreme Court by the process of Review strikes at
H
706
SUPREME COURT REPORTS
I 1987] I s.c. R.
A
the finality of judgments of Supreme Court and would amount to the
abuse of the power of review vested in Supreme Court, particularly in a
crimfual case. This case which .was admitted solely on the ground that
Nandini Satpathy's case had been subsequently referred to a larger
Bench to review the earlier decision cannot be converted into an appeal
against the earlier decision of Supreme Court. [774A-C]
B
c
D
R. K. Jain etc. v. State through Special Police Establishment and
.Ors. etc ... [1980] 3 SCR 982 and State of Bihar v. Ram Naresh Pandey,
[1957] SCR 279, referred to.
2.1 Section 321 of the ·code of Criminal Ptocedure cannot be
construed in the light of the principles of Administrative law. The legal
position expounded by the Supreme Court in R. K. Jain's case and in
Ram Naresh Pandey's, case is correct. If any change in the law is
needed it is for Parliament to. make necessary amendments to section
321 of the Code of the Criminal Procedure, 1973, which has remained
so despite the judgment of the Supreme Court in Pandey's case
rendered in 1957. [7730-E]
2.2 The judgment of a Public Prosecutor under section 321 of the
Code of Criminal Procedure, 1973 cannot be lightly interfered with
unless the Court comes to the conclusion that he has not applied his
+
+
mind or that his decision is not bona fide. A person may have been
,.4.-
E
accused of several other misdeeds, he may have been an anthema to a
section of the public media or he may be an unreliable politician. But
these circumstances should not enter into the decision of the Court while
dealing with a criminal charge against him which must be based only on
relevant material. [77J.B-C]
F
2.3 In the circumstances of this case, it cannot be said that the
Public Prosecutor had not applied his mind to the case or had conducted
himself in an improper way. If in the light of the material before him
the Public Prosecutor has taken the view that there was no prospect of
securing a conviction of the accused it cannot be said that his view is an
unreasonable one. The Public Prosecutor is not a Persecutor. He is the
G
representative not of an ordinary party to a controversy, but of a
sovereignty whose obligation to govern impartially is as compelling as
its obligation to govern at all, and whose interest, therefore, in a criminal prosecution is not that it shall win a case, but that justice shall be
done. As such he is in a peculiar and very definite sense the servant of
the land, the two fold aim of which is that guilt shall not escape or
H
innocence suffer. He may prosecute with earnest and vigour indeed, he
')-:
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SHEO NANDAN PAS WAN v. ST A TE OF BI HAR
707
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shoold do so. But while he may strike hard blows, be is not at liberty to A
strike foul ones. It is as much bis duty to refrain from improper
methods calculated to produce a wrongful conviction as it is to use every
legitimate one to bring about a just one. [ 772E-H]
·
Berger v. United States, 295 US 78, quoted with approval.
B
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2.4 Further the questions involved in ·this case are: whether Dr.
J agannath Misra has been a privy to the misdeeds committed in the
Patna Urban Co-operative Banki whether he and his co-accused should •
....
be prosecuted for the offences of conspiracy, bribery etc., alid whether
A
the Public Prosecutor bad grievously erred in applying for the with·.
drawal of the case. All the other Judges who have dealt with the case on c
-+
merits from the Special Judge onwards, except Tulzapurkar J. have
opined that the permission was properly given for withdrawal. In the
circumstances, it is difficult to take a different view. [770G-H; 771A-B]
The three circumstances put up against the accused in this case
are (i) that Jiwauand Jha had credited Rs. 10,000 and Rs. JOOo, on D
27.12.1973 and on 1.4.1974 respectively in the Savings Bank account of
Dr. Jagannath Misra; (ii) that there was ante-dating of the order passed
by Dr. Jagannath Misra on 14.5.1975; and (iii) that there was a second
--+-
confessional statement of Hydary which supported the prosecution. As
regards the two items of bribe, it has not been shown by any extract of
bank account that the said two sums came from the Patna Urban CoE
operative Bank •. If that was so there would have been entries in the
Bank accounts. Mere crediting of the two sums, without any' other
reliable evidence, in a bank account by a political ally or· a friend does
not by itself show that the sums were either' bribe amounts or any
official favour had been shown •. This fact by itself is not conclusive
F
.
about the guilt of the accused. The passing of the two orders one on
)'\
15.6.1975 on the note sheet and ttie other on buff paper which is dated
14.5.1975 cannot be faulted on account of the explanation that it was
. the practice in the Bihar Secretariat that whenever an ordir is changed
it is done by writing the later order on a buff'sheet and pasting it on the
earlier order. It is not also shown.by the prosecution that any action had
G
been taken pursuant to the order dated 16.5.1975 by any of the departmental authorities. If any action had been taken it would have been a
matter of record readily available for production. No such record is
produced before Supreme Court. Hence it is a mere surmise to say that
any such action was sought to be nullified, particularly when there was
no acceptable evidence at all on the communical.ion of the order dated
H
16.5.1975 to any departmental authorities. [769F-G; 770D-G]
A
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708
SUPREME COUR;I' REPORTS
[ 1987] 1 S. C.R.
Per Khalid J. (on behaH of himself and on behaH of S. Natarajan
J.)
1.1 Admitting a review petition is not the Same thing as setting
aside the order sought to be reviewed. Order 47, Rule l C.P.C. deals
with review in civil matters. Article 137 of the Constitution is a special
power with the Supreme Court to review any jndgment pronounced or
order made by it. An order passed in a criminal case can be reviewed
and set aside only if there are errors apparent on the record. In this
case, one of the Judges who was a party to the order to review (R.B.
Misra J) had earlier dismissed the appeal with convicting reasons. H the
judgment was set aside by the order passed in the review petitioo, the
learned Jndge would definitely have given his oWll reasons for doing so
by a separate order. This has not been done. All that the order says is
that the review petition had been admitted. The direction to re-hear the
appeal, therefore can only be to ascertain reasons to see whether the
judgment need be set aside. [776C-G]
D
2.1 There is no error apparent on the face of the record in the
judgment reported as Sheonandan Paswan v. State of Bihar & Ors.,
[1983] 2 SCR 61. [776~-H]
2.2 All the three judges who gave the earlier judgment in this
case bave correctly declined to accept the plea that Shri Sinha was not a
competent Public Prosecutor since Dalt's appointment has not been
,,+·
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cancelled. (7868-C]
3.1 Section 321 needs three requisite t~ make an order under it
valid; (I) The application should be filed by a public prosecutor or
Assistant Public Prosecutor who is competent to make an applkation
for withdrawal; (2) be must be in charge of the case; (3) the application
F
should get the consent of the court before which the case is pending. All
the three requisites are satisfied here. [780D-E]
'-
.r'
3.2 In the absence of any allegation of mala fide against the public
prosecutor or of bias against the Special Judge the Public PrOSt,.,utor
should normally be credited with fairness in exercise of his power under
G
s.321. Equally, in the absence of a challenge iii the revision petition
before the High Court to the order of the Special Judge giving consent,
it has to be assumed that he has perused the relevant records before
passing the consent order; [781C-E]
3.3 Section 321 gives the public prosecutor the power for wilhH
drawal of any case at any stage before judgment is pronounced. This
....
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SHEONANDANPASWAN v. STATEOFBIHAR
709
)--· pre-supi)oses the fact that the entire evidence may have been adduced in A
the case, before the application is made. When· an application under
- s.321 Cr. P.C. is made, it is not necessary for the court to assess the
evidence to discover whether the case would end in conviction or acquittal. To contend that the court when it exercises its limited power of
giving consent under s.321 bas to assess the evidence and find out
-+ .
wh,etber the case would end in acquittal or conviction, .would be to B
re-write s.321 Cr.P.C. and would be to concede to the court a powe~
which the scheme ofs.321 does not contemplate. [78lF-H]
3.4 The acquittal or discharge order under s.321 are not the same
as the nornlal final orders in criminal cases. The conclusion will not be
~- backed by a detailed discussion of the evidence in the case of acquittal or
absence of prima facie case or groundlessness in the case of discharge.
--4All that the court has to see is whether the application is made in good
faith, in the interest of public policy and justice and not to tb~art or
stifle the process of law. The court, after considering these facets of the
case, will have to see whether the application suffers from such improprieties or illegalities as to cause manifest injustice·if consent is
given. On a reading of the application for withdrawal, the order of
consent and the other attendant circumstances, it must be held that the
application for withdrawal and the order giving consent were proper
and strictly within the confines of section 321 Cr.P.C. [781H; 782A-C]
3.5 While construing s.321, ii is necessary to bear in mind the
wide phraseology used in it, the scheme behind it and its field of opera·
lion. True, it does not give any guideline regarding the grounds on
which an application for -withdrawal can be made. But since ii was
enacted with a specific purpose, it would be doing violence to its
language and contents by importing into the section words which are
not there or by restricting its operation by fellers in the form of condi·
--·{lions and provisos. [ 782C· D]
I
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.
/
3.6 While conferring powers upon the Subordinate courts under
s.321 of the Code, the Legislature had only intended that the court
should perform a supervisory function and not an adjudicatory function in the legal sense of ihe term. Section 321 clothes the public. prosecutor to withdraw from the prosecution of any person, atcused of an
offence both when no evidence is taken or even if entire evidence has
been taken. The outer limit for the exercise of this power is "at any tinie
before the judgment is pronounced". The initiative is that of the Public
Prosecutor and what the court ha8 to do only to give its consent and not
to determine any matter judicially. The Judicial function implicit in the
I
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F
G
710
SUPREME COURT REPORTS
[1987] I S.C.R.
A
exercise of the judicial discretion for granting the consent would nor- · -<t
mally mean that the court has to satisfy itself that the executive function
B
c
D
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F
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H
of the Public Prosecutor has not been improperly exercised, or that it is
not an attempt to interfere with the normal course of justice for illegitimate reasons or purposes. [484A·B; C-D]
3,-7 The courts'· function is to give consent. It is not obligatory on --+-
the part of the court to record reasons before consent is given. However, consent of the court is not a matter of course. When the Public
Prosecutor makes the application for withdrawal after taking into consideration all the materials before him, the Court exercises its judicial
discretion by considering such materials and on such consideration ·)-
either gives consent or declines consent. If on a reading of the order
giving consent a higher court is satisfied that such consent was given on
an overall consideration of the materials available, the order giving ~
consent has necessarily to be upheld. [ 484D-G]
3.8 The order under section 321 is not appealable but only revisable under section 397 of the Code of Criminal Procedure. While considering the legality, propriety or the correctness of a finding or a
conclusion, normally, the revising court does not dwell at length into
the facts and evidence of the case. The Court, in revision, considers the
materials only to satisfy itself about the correctness, le·gality and propriety of the findings, sentence or order and refrains from substituting
an order passed under s.397 appeal comes to the Supreme Court by
special leave under Article 136 of the Constitution of India. [7898-C]
It has been the ·declared policy of the Supreme Court not to
embark upon a roving enquiry into the facts and evidence of cases like
this or even an order against discharge. The Supreme Court will not
allow itself to be converted into a court of facts and evidence. The
Supreme Court seldom goes into evidence and facts. That is as it should r
be. Any departure from this salutary self imposed restraint is not a
\
healthy practice. As an apex Court, any observati!>n on merits or on
facts and evidence of a case which has to go back to the courts below will
seriously prejudice the party affected. and it should be the policy of the
court not to tread upon this prohibited ground and invite unsavory but
justifiable criticism. Supreme Court cannot assess the evidence to find
out whether there is a case for acquittal or conviction and cannot con-
...l,
vert itself into a trial court. !\or can this court order a retrial and
.
examination of hundred witnesses to find out whether the case would
end in acquittal or conviction. [789D-G]
,
...
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SHEO NANDAN PAS WAN v. STATE OF BIHAR
711
3.9 Section 321 Crl. P.C. is virtually a step by way of composition
A
of he offence by the State. The State is the master of the litigation in
criminal cases. By the exer.cise of functions u_nder s.32 l the accountability of the concerned person or persons does not disappear. A privaCe
complaint can still be filed if a party is aggrieved hy the withdrawal of
the prosecution hut running the possible risk of a suit of malicious
prosecution if the complaint is bereft of any basis. [789G-H; 790A]
B
3. IO When the Magistrate states in his order that he has considered the materials, it is not proper for the court not to accept that
statement. The proper thing to do is to hold that Magistrate gave consent on objective consideration of the relevant aspects of the case .. It
would be acting against the mandate s.321 to find fault with the MagisC
Irate in such cases, unless the order discloses that the Magistrate has
failed to consider whether the application is made in good faith, in the
interest of public policy and justice and not to thwart or strifle the
process of law. The application for withdrawal by the Public Prosecutor
has been made in good faith after careful consideration of the ·materials
placed before him and the order of consent given by the Magistrate was D
also after the consideration of various datails as indicated above. It
would be improper for the Court, keeping in view the scheme of s.32!,
to embark upon a detailed inquiry into the facts and evidence of the case
or to direct re-trial fro that would be destructive of the object and
intent of the section. [792C-E; 793B-D]-'
·
E
State "of Bihar· v. Ram Naresh Pandey, [1957] SCR 279; M.N.
Sankaranarayanan Nair v. P. V. Balakrishnan & Ors., [1972]2 SCR
599; Bansi Lal v. Chandan Lal, AIR 1976 AC 370; State. of Orissa v.
Chandrika Mahapatra & Ors., [1977] l SCR 335; Ba/want Singh v.
State of Bihar, [1978] I SCR 604; Subhash Chander v. State, [1980] 2
SCR 44 and Rajendra kumar Jain v. State, [1980] 3 SCR 982, referred
F
lo.
4.1 In this case the Supreme Court is called upon only to consider
the ambit and scope ofs.321 Cr!. P.C. and not the truth or otherwise of
the allegations against the respondent No. 2. The appellant is ad~ittedly '
a political rival of respondent No.2. There is no love lost between them. G
It is at the instance of such a highly interested person that the Court is
called upon to direct re-trial of the case, setting aside the con.en! given
by the Special Judge. The second respondent is a leader of a political
party. He was a rival to the Chief Minister who followed him after the
1977 al the time of institution of the case.
0
ln ·1977 0 when the second
respondent was the Chief Minister, a warrant of arrest was issued· H
712
SUPREME COURT REPORTS
[1987] l S.C.R.
A
against Shri Karpoori Thakur for his arrest and detention. It has been
suggested that Shri Thakur _had grudge against the second respondent.
Viewed against this background, and on the unsatisfactory factual details of the case, accepting the appeal and ordering retrial would not
advance either the interests of justice or public interest. [7%8-E]
B
4.2 There were two coufessional statements ofHaidari in this case
one on 4.!l.!976 and another on 24.1.1978. In the former he did not
implicate respondent No.2 hut he did it in the next one. The second
statement at best is the confessional statement of a co-accused which
normally will not inspire confidence, in any court. It is also a statement
ol an accomplice turned approver and hence Of a very little evidentiary
C
value. When Supreme Court exercises its jurisdiction while considering
an order giving consent on an application under s.321, consistent with
the declared policy of the court not to embark upon evidence, request
for an order for retrial on this legally weak and infirm evidence should
be rejected. [795A-E]
D
4.3 As to the accusation of forgery, taking the entire evidence
against the appellant it cannot be held that he has committed forgery
under s.463 or an offence under s.466. Even though there is overwriting or pasting or interpolation or change of digits, there is no evidence at all to show that this paper went out of the Chief Minister's
+
office or that any one was unduly favoured or that any one secured
-4--
E
undue advantage by use ofsuch overwriting. [7%A-B]
Per Bhagwati (on behalf of himself and G.L. Oza J .) (Minority
view). (Per contra)
l. l The Review Bench did exercise the power of review and set
F
aside the order made by the Original Bench. When the Review Bench
used the expression "I ...... : admit the Review" and directed rehearing of the appeal, it must hy necessary implication be held to have
allowed the Review Petition and set aside the order of the Original
Bench. The true meaning and effect of the order of the Review Bench
cannot be allowed to be obfuscated by a slight ineptness of the language
G
used by the Review, Bench. The substance of the order must always be
looked in to its apparent form. [737F-H]
H
1.2 There can be no doubt that the Review Bench was not legally
bound to give reasons for the order made by it. The apex Court being
the final court against which there is no further appeal, it is not under
any legal compulsion to give reasons for an order made by it. But '
')-:-
\
' ...
-
SHEO NANDAN PASWAN v. STATE OF BlHAR
713
)~
merely because there may be no legal compulsion on the apex court to
A
give reasons. It does not follow that the apex court may dispose of cases
without giving any reasons at all. It would be eminently just and desirable on the part of the apex court to give reasons for the orders made by
it. But when the apex court disposes of a Review Petition by allowing it
and setting aside the order sought to be reviewed on the ground of an
-+·
error apparent on the face of record, it would be desirable for the apex
B
I
court not to give reasons for allowing the Review Petition. Where the
apex court holds that there is an error apparent on the face of the
record and the order sought to be reviewed must therefore be set aside and
the case must be reheard, it ·would 'considerably prejudice the losing
-
party if the apex court were to give reasons for taking this view. If the
--<
Review Bench of the Court were required to give reasons, the Review c
Bench would have to discuss the case fully and elaborately and expose
-+
what according to it constitutes an error in the reasoning of the Origir.al
Bench and this would inevitably result in pre-judgment of the case and
prejudice is reheating. A reasoned order allowing a Review Petition
and setting aside the order sought to be reviewed would, even before the
rehearing of the case, dictate te direction of the rehearing and such
D
direction, whether of'binding or of (l!'rsuasive value, would conceivably
in most cases adversely affect the losing party at the rehearing of the
case. Therefore, the Review Bench, in the present case, could not be
faulted for not giving reasons for allowing the Review Petition and
.. .}. .
directing rehearing of the appeal. [ 73SB-G I
E
2. It is now well settled law that a criminal proceeding is not a
proceeding for vindication of a private grievance but it is a proceeding
-
initiated for the purpose of punishment to the offender in the interest of
the society. It is for maintaining stability and orderliness in the society
that certain acts are constituted offences and the right is given to any'·
citizen to set the machinery of the criminal law in motion for the
F
7\
purpose of bringing the offender to book. Locus standi of the complain-
'
ant is a concept foreign to criminal jurisprudence. Now if any citizen
can lodge a first information report or file a complaint and set the
machinery of the criminal law in motion and his locus standi to do so
cannot be questioned, a citizen who finds that a prosecution for an
offence against the society is being wrongly withdrawn can oppose such
G
withdrawal cannot oppose such withdrawal. If he can be a complainant
I
or initiator of criminal prosecution, he should equally be entitled to
-f
oppose prosecution which has already been initiated at his instance. If
the offence for which a prosecution is being launched is an offence
against the society and not merely an individual wrong, any member of
the society must have locus to initiate a prosecution as also to resist
H
71.+
SUPREME COURT REPORTS
[1987] I S.C.R.
A
withdrawal of such prosecution, if initiated. Here in the present. case,
the offences charged against Dr. Jagannath Misra and others are
-""'(
offences of corruption, criminal breach of trust etc. and therefore any
person who is interested in cleanlhiess of public administration and
public morality would be entitled to file a complaint; eqaully he would
be entitled to oppose the withdraw.al of such prosecution, if it is already
B
instituted. [739C-H; 740A]
+
R.S. Nayak v. A.R. Antulay, [1984] 2 SCR 500, referred to 3.1.
It is undoubtedly true that the effect of withdrawal of lhe prosecu-
--
lion against Dr. Jagannath Misra was that he stood discharged in respect >
c
the offences for which he was sought to be prosecuted but it was not an
order of discharge which was challanged by Sheonandan Paswan in the
--!-·
revision application filed by him before the High Court but it was an
order granting consent for withdrawal of the prosecution that was
assailed by him. [740E-G]
D
3.2 The analogy of an order of discharge made under section 227
or section 239 of the Code of Criminal Procedure is not apposite
because there the Sessions Judge or the Magistrate, as the case may be,
considers the entire material before him and then comes to the conclusion that there is not sufficient ground or proceeding against the
accused or that the charge against the accused is groundless. But, here,
....
E
when the Magistrate makes an order granting consent to withdrawal of
the prosecution under s.321, it is a totally different judicial exercise
which he performs and it would not therefore be right to say that if the
High Court sets aside the order of th~ Magistrate granting consent to
withdrawal from the prosecutor, the High Court would be really setting
aside an order of discharge made by the Magistrate. What the High
F
Court would be doing would be no more than holding that the with- ·
drawal from the prosecution should proceed against the accused and
)-cultimately if there is not sufficient evidence or the charges are ground-
, '
less, the accused may still be discharged. Even the order of discharge
'
'
can be discharged by the High Court in. revision if the High Court is
satisfied that the order passed by the Magistrate is incorrect, illegal or
J
improper or that the proceedings resulting in the order of discharge
suffer from any irregularity. [740F-H; 741A-C]
3.3 The revisional power exercised by the High Court under
.....
s.397 is couched in words of widest amplitude and in exercise of this
power can satisfy itself as to the correctness, legality propriety of any
H
order passed by the Magistrate or as to the regularity of any proceedings of such Magistrate. When the Supreme Court is hearing an appeal
SHEO NANDAN PAS WAN v. S) A TE OF B!HAR
715
+.- against an order made by tbe High Court in tbe exercise ofits revisional A
power under s.397 it is the same revisional power wbicb the Supreme
Court would be exercising aud tbe Supreme Court, therefore, certainly
can interfere with the order made by the Magistrate aud confirmed by
the Higb Court if it is satisfied that the. order is incorrect, illegal or
improper. In fact, in a case like the present where the question is of
-+- purity and public administration at a time when moral and ethical B
values are fast deteriorating and there seems to be a crises of character
in public life, the Supreme Court should regard as its bounden duty-a
duty owed by it to the society·t!J examine carefully whenever it is
alleged that a pr11secution for an offence of corruption or criminal
~ breach of trust by a person holding high public office. has been wrongly
withdrawn and it should not matter at all as to how many judges in the C
High Court or the lower court have been party to the granting of such
~ . consent for withdrawal. The mathematics of numbers cannot, therfore,
be invoked for the purpose of persuading the court not to exercise its
discretion under Article 136 of the Constitution. [741C-H]
· 4.1 It is a well-established proposition· of law that a criminal pro· D
secution, if otherwise justifiable aud based upon adequate evidence does
not become vitiated on account of ma la fides or political vendetta of the
first informant or the complainant. [7420-E]
'~..
State of Punjab v. Gurdial Singh, [!980] ! SCR !076, referred to.
4.2 The fact that the prosecution against Dr. Jagannath Misra
was initiated by the successor Government of Karpoori Thakur after ·
....._
tbe former went out of power, by itself cannot support the inference
that the initiation of the posecution was actuated by political vendetta or
mala /ides because it is quite possible that there might be material
E
, justifying the initiation of prosecution against Dr: J agaunath Misra and F
-;-1 the successor Government might have legitimately felt that there was a
/
1 case for initiation of prosecution and that is why the prosecution might
have been initiated. Therefore, the prosecution cannot be said to be
vitiated on that account. [742G·H; 743A]
Krishna Ballabha ·Sahay and Ors. v. Commissio!' of Enquiry,
G
[1%9] I SCR 387 aud P. V. Jagannatha. Rao v. State of Orissa, [!%8]
f.
3 SCR 789, referred to.
5.1 There is no provision of law which requires that no prosecution should be launched against a former Chief Minister or a person
holding bigb political o~ce under the earlier regime without first set·
H
A
B
c
D
E
F
G
H
716
SUPREME COURT REPORTS
[1987] l S.C.R.
ting up a Commission of Enquiry for enquiring into his conduct. It ...
cannot be said that if a prosecution is initiated without an inquiry being
held by a Commission of Enquiry set up for that purpose, the prosecution would be had or that on that ground alone the prosecution could be
allowed to be withdrawn. [743G-H; 744A]
5.2 In view of the tardy and slow moving criminal process in
India causing inordinate delay and availability of adequate protection .
under different existing laws to the accused, it would be perfecUy legitimate for the successor government to initiate a prosecution of a former
Chief Minister or a person who has held high political office under the
earlier regime withont first having an enquiry made by a Commission of
Enquiry, provided of course, the investigation is fair and objective and
there is sufficient material to initiate such prosecution. [744A-D]
6. No unfettered or unrestricted power is conferred on the Public
Prosecutor/ Assistant Public Prosecutor under section 321 of the Code to
apply for withdrawal from the Prosecution, but the said powef' must be
a controlled or guided power or else it will fall foul of Article 14 of the
Constitution. Section 321 is more or less similar to the powers of the
police under s.173 of the Code of Criminal Procedure. [746F-HI
The police has no absolute or unfettered discretion whether to
prosecute an accused or not to prosecute him. In fact, in the constitutional scheme, conferment of such absolute and uncanalised discretion
would be violative of the equality clause of the Constitution. The MagisIrate is therefore given the power to structure and control the discretion
of the police. The discretion of the police to prosecute is thus "combined
and confined" and, subject to appeal or revision, and the Magistrate is
made the final arbiter on this question.