MOHAMMAD HADI RAJA Vs. STATE OF BIHAR

JUDGEMENT

(1.) The common question of law that arises in all these matters is whether the provisions of sanction under Section 197 of the Code of Criminal Procedure, 1973 are applicable for prosecuting officers of the public sector undertakings or the Government Companies when on account of deep and per-vasive control of finance and administration of such undertakings and government companies they are held as State within the meaning of Article 12 of the Constitution of India

(2.) It will be appropriate at this stage to refer to the provisions of Section 197 of the Code of Criminal Procedure:- Section 197:Prosecution of Judges and Public Servants- (1) when any person who is or was a Judge or Magistrate or a public servant not removable from his office save by or with the sanction of the Government is accused of any offence alleged to have been committed by him while acting or purporting to act in the discharge of his official duty, no Court shall take cognizance of such offence except with the previous sanction-

(3.) It is, therefore, necessary to analyse whether an officer of public sector undertakings or the government companies being State within the meaning of Article 12 of the Constitution, who under the terms of the appointment or the articles of the association of the government companies are removable from their respective office save by the sanction of the government when the offence alleged against them had been committed while acting or purporting to act in the discharge of official duties.