V S ACHUTHANANDAN Vs. STATE OF KERALA; DEPARTMENT OF HOME & VIGILANCE; DEPARTMENT OF FINANCE; SH OOMMEN CHANDY UNION OF INDIA; SH P J THOMAS; JIJI THOMSON

JUDGEMENT

(1.) The challenge in this writ petition is to the order of Government of Kerala dated 13.09.2013 by which a decision has been taken to withdraw from the prosecution, by moving before the Court of Enquiry Commissioner and Special Judge, Thrissur, in CC No.108 of 2011. The case was charge sheeted under Section 13(2) read with Section 13(1)(d) of the Prevention of Corruption Act, 1988 and Section 120B of IPC in which the then Chief Minister, K.Karunakaran, (since deceased) and 7 others were accused. The Writ Petition has been filed by the leader of opposition in the Kerala State Legislative Assembly praying for the following reliefs:

(2.) The chronology of events from registration of First Information Report leading up to filing of this writ petition in so far as they are relevant for the purpose of present case need to be noted first.

(3.) Sri.K. Karunakaran was the Chief Minister of State of Kerala from 1991 to 1995. On 05.10.1991 he has written a letter to the Prime Minister of India seeking permission for the intention to import '30,000 Metric Tonnes' of 'Palmolein Oil' in connection with Dasara and Deepawali festivals. The Central Government, on 06.11.1991, issued a Circular laying down certain terms and conditions for import of goods. On 18.11.1991 the then Chief Secretary of State of Kerala as per the request of Secretary, Food and Civil Supplies Department submitted a proposal seeking prior approval for import of 15,000 MT of Palmolein Oil through M/s. Power & Energy Pvt. Ltd. Government of India, Ministry of Civil Supplies and Public Distribution, granted prior approval by letter dated 26.11.1991 to import required quantity of Palmolein Oil in accordance with the terms and conditions stipulated in Circular dated 16.11.1991. On 27.11.1991 the council of Ministers approved the import of Palmolein Oil as per the parameters laid down in Circular dated 06.11.1991. On 29.11.1991 the Kerala State Civil Supplies Corporation Ltd. has entered into two separate agreements with M/s. M/s. Power & Energy Pvt. Ltd. and M/s.Mala Corporation, Singapore. The price of Palmolein Oil was not included in the agreement. The price was subsequently fixed on 24.01.1992 at the market price of 405 USD as against 392.25 USD, the average price of import by STC loosing Rs.2.32 Crores. The Comptroller and Auditor General in its report dated 02.02.1994 for the year ending 31.03.1993 took exception to the procedure adopted for import of Palmolein by the State Government.