NARAIN DAS SARAF Vs. STATE OF RAJASTHAN

JUDGEMENT

(1.) This is an application under Section 438 of the Criminal Procedure Code. The petitioner is the Managing Director of MIs. Saraf Synthetics (Rajasthan) Ltd. This company has its factory at Alwar. On 4th October, 1988, the Central Vigilance team of the Rajasthan State Electricity Board had conducted a surprise search and found that the company was stealing electricity by inserting a copper wire into the trivector meter by pressing the meter glass and thereby stopping KWh meter. This inspection was carried by Shri G.D. Gupta, Assistant Engineer, who was accompanied by Deputy Superintendent of Police and other members of the team. Shri N.K. Tyagi, who was Electrical Engineer in the said company was present at the time of the inspection and his statement was recorded and thereafter the meter was seized. On account of the information given by Mr. Tyagi, the present accused, who is Managing Director has the apprehension that he might be arrested in the case and therefore he moved this application. It may be mentioned here that Mr. Tyagi was arrested and has been released on bail.

(2.) On behalf of the petitioner, it is submitted that this petitioner is a Managing Director of the Company living at Delhi and besides him there are other Directors and Chairman of the Company, but the day to day affairs of the Company are looked after by the Chief Executive, who at the relevant time was Shri. A.C. Roongta. According to the petitioner he has no interference in the day to day affairs of the Company as his Junction is to implement the decisions of the Board of Directors and for this purpose he visits Alwar, at an average of not more than twice a month. It has also been pointed out that Shri Tyagi who stated something involving other persons, was given a notice to show cause as to why his services should not be terminated, replied that he was forced to make certain admission and to sign some half written papers. It has been contended that the petitioner cannot be found to be guilty merely because Mr. Tyagi has said something against him.

(3.) It has also been pointed out that the dispute about electricity dues was pending between the company and the Rajasthan State Electricity Board, and the Company had challenged the demand of dues raised by the R.S.E.B. in a writ petition, wherein recovery was stayed and the petitioner Company was directed to file an appeal before the Chief Engineer. The Company approached the Supreme Court and from there also a direction was issued to deposit Rs. 5,00,000/- and the recovery of further amount was stayed. The Chief Engineer was to decide the appeal.