PRADUMAN KR. SHARMA Vs. CBI

JUDGEMENT

(1.) This common judgment will dispose of two revision petitions filed against an order on the point of charge dated 20.7.2006. The petitioner Shri C.M. Vasudeva (referred to as "Vasudeva") was charged with committing offences punishable under Sections 420/465 Indian Penal Code and Sec. 13(2) read with Sec. 13(1)(d) of the Prevention of Corruption Act (hereafter referred to as "the Act"). The second petitioner Shri P.K. Sharma (referred to as by his name "P.K. Sharma") was charged with committing offences under Sections 420/468 read with Sec. 471 IPC.

(2.) The facts, according to the prosecution (hereafter referred to as "CBI") are that Vasudeva, the Branch Manager, Oriental Bank of Commerce, (OBC) Greater Kailash-II, allegedly conspired with P.K. Sharma (hereafter "P.K. Sharma") who as the Chairman of the Kuber Group of Companies (which was arrayed as accused No. 3 and hereafter referred to as "A-3"). He consequently renewed 17 CDRs out of 40 CDRs which were seized by the Income Tax Authorities during a raid in the residential premises of P.K. Sharma. The premises were raided on 8.5.1997. The CBI alleged that Vasudeva sanctioned overdraft (OD) limits to the tune of Rs. 14.23 crores against such CDRs thus conferring undue gain and corresponding loss to the bank and thereby to the public interest.

(3.) The CBI further alleged that between 1997 and 2000 Vasudeva created false process notes favoring the other accused persons and companies, without any securities, according to the records revealed by the bank. Vasudeva with dishonest and fraudulent motive allowed accrued interest on the CDRs, seized by the Income Tax Department on 8.5.1997 without any request for renewal of the instruments either by Income Tax Department or by the depositor; created two CDRs favoring A-3 on 29.8.1998 thereby conferring undue advantage to the extent of Rs. 83.43 lakhs. 17 CDRs were renewed on different dates between June, 1999 and June, 2000 (of the 40 CDRs that has been seized by the Income Tax Authorities on 8.5.1997). These renewed CDRs were shown and used as security for the OD facilities, dishonestly sanctioned and released by Vasudeva. It was alleged that these caused loss to the bank to the extent of Rs. 1.38 crores.