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PETITIONER: VINEET NARAIN & ORS.

       Vs.

RESPONDENT: UNION OF INDIA & ANR.

DATE OF JUDGMENT:       30/01/1996

BENCH: VERMA, JAGDISH SARAN (J) BENCH: VERMA, JAGDISH SARAN (J) BHARUCHA S.P. (J) SEN, S.C. (J)

CITATION:  1996 SCC  (2) 199        JT 1996 (1)   708  1996 SCALE  (1)SP31

ACT:

HEADNOTE:

JUDGMENT:                          O R D E R      The true scope of this writ petition has been indicated during the earlier hearings. At this stage, when some charge sheets have  been filed  in the  Special Court  and there is considerable publicity  in the  media regarding this matter, with  some   speculation  about   its  true   scope,  it  is appropriate to make this order to form a part of the record.      The gist  of the  allegations in  the writ petition are that Government  agencies, like  the  CBI  and  the  revenue authorities, have  failed to  perform their duties and legal obligations  inasmuch   as  they  have  failed  to  properly investigate matters  arising out  of the  seizure of  the so called "Jain Diaries" in certain raids conducted by the CBI. It is alleged that the apprehending of certain terrories led to the discovery of financial support to them by clandestine and illegal  means, by use of tainted funds obtained through ’hawala’ transactions;  that this  also  disclosed  a  nexus between  several   important  politicians,  bureaucrats  and criminals, who  are all  recipients of  money from  unlawful sources given  for unlawful considerations; that the the CBI and  other   Government  agencies   have  failed   to  fully investigate into  the matter  and take it to the logical and point of  the trail  and to  prosecute all  persons who have committed any  crime; that this is being done with a view to protect the  persons involved,  who are very influential and powerful in  the present set up; that the matter discloses a definite nexus  between crime  and corruption in public life at high  places in  the country which poses a serious threat to the  integrity, security  and economy of the nation; that probity in  public life,  to prevent  erosion of the rule of law and  the  preservation  of  democracy  in  the  country, requires that  the Government  agencies be compelled to duly perform their legal obligations and to proceed in accordance with  law   against  each   and  every   persons   involved,

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irrespective of  the height  at which  he is  placed in  the power set up.      The facts  and circumstances  of the  present  case  do indicate that  it is  of utmost  public importance that this matter is  examined thoroughly  by this Court to ensure that all  Government   agencies,  entrusted   with  the  duty  to discharge their functions and obligations in accordance with law, do  so, bearing  in  mind  constantly  the  concept  of equality enshrined  in the Constitution and the basic tenant of rule of law: "Be you ever so high, the law is above you". Investigation into  every accusation  made against  each and every person  on a  reasonable basis,  irrespective  of  the position and  status of  that person,  must be conducted and completed expeditiously. This is imperative to retain public confidence  in  the  impartial  working  of  the  Government agencies.      In this proceeding we are not concerned with the merits of  the   accusations  or  the  individuals  alleged  to  be involved, but only with the performance of the legal duty by the  Government  agencies  to  fairly,  properly  and  fully investigate into every such accusation against every person, and to take the logical final action in accordance with law.      In case  of persons  against whom a prima facie case is made out and a charge sheet is filed in the competent court, it is  that court  which will  then deal  with that  case on merits, in accordance with law.      However. if  in respect  of any  such person  the final report after  full investigation is that no prima facie case is made  out to  proceed further,  so that  the case must be closed against  him, that  report must be promptly submitted to this  Court  for  its  satisfaction  that  the  concerned authorities  have   not  failed   to  perform   their  legal obligations and  have reasonably come to such conclusion. No such report  having been  submitted by  the CBI or any other agency till  now in  this Court,  action on such a report by this Court  would be  considered, if  any when that occasion arises. We  also direct that no settlement should be arrived at nor any offence compounded by any authority without prior leave of this Court.      We may add that on account of the great public interest involved in  this  matter,  the  CBI  and  other  Government agencies must expedite their action to complete the task and prevent pendency of this matter beyond the period necessary. It is  needless to  observe that the results achieved so far do not  match the  available time and opportunity for a full investigation ever  since the matter came to light. It is of utmost national significance that no further time is lost in completion of the task.