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TMI Blog2000 (2) TMI 829X X X X Extracts X X X X X X X X Extracts X X X X ..... eded against for offences under Section 5(1) read with Section 5(2) of the Prevention of Corruption Act, 1947. The short facts necessary for disposal of these appeals may be briefly stated as under. On the basis of criminal prosecution under Sections 120-B, 409, 420, 467, 471 and 477-A of the Indian Penal Code, Sections 7 and 9 of the Essential Commodities Act and Sections 5[1][c] and 5[1][d] read with Section 5[2] of the Prevention of Corruption Act, the Special Judge took cognizance of the offences as against the accused respondents. The accused persons are the members of the Managing Committee of the co-operative societies and the Chairman of such co-operative societies. It was agitated before the learned Special Judge by the accused ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Section 2 of the Prevention of Corruption Act, 1947 (II of 1947), by virtue of the provisions of Section 161 of the Maharashtra Co-operative Societies Act, 1960, read with Section 21 of the Indian Penal Code? (2) Whether, assuming that provisions of Section 2 of the Prevention of Corruption Act, 1947 are applicable to such a person, is the sanction to prosecute such a person required under any of the Clauses of sub-section (1) of Section 6 of the Prevention of Corruption Act, 1947 capable of being given under the Maharashtra Co-operative Societies Act, 1960? The Division Bench by the impugned Judgment analysed the provisions of Section 161 of the Act as well as Section 21 of the Indian Penal Code and Section 2 of the Prevention of Co ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 21 of the Indian Penal Code, those officers could be prosecuted for the offences under Indian Penal Code notwithstanding the fact that they do not become 'public servants' under Section 21 of the Indian Penal Code and the High Court, therefore, was in error in coming to the conclusion that until and unless the provisions of Section 21 of the Indian Penal Code are amended, these officers cannot be prosecuted for offences committed under Indian Penal Code. Mr. Deshpande, learned counsel appearing for the respondents on the other hand contended that the provisions of Maharashtra Co-operative Societies Act, were enacted by the State Legislature, for which they had the competence under Entry 32 of List II of the Seventh Schedule read ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rival submission at the Bar, the sole question that arises for consideration is, as to what is the effect of the provisions of Section 161 of the Maharashtra Co-operative Societies Act in interpreting the provisions of Section 21 of the Indian Penal Code. It is undoubtedly true that the Co-operative Societies Act has been enacted by the State Legislature and their powers to make such legislation is derived from Entry 32 of List II of the Seventh Schedule to the Constitution. The legislature no-doubt in Section 161 has referred to the provisions of Section 21 of the Indian Penal Code but such reference would not make the officers concerned public servants within the ambit of Section 21. The State Legislature had the powers to amend Section ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is a well known principle of construction that in interpreting a provision creating a legal fiction, the Court is to ascertain for what purpose the fiction is created, and after ascertaining this, the Court is to assume all those facts and consequences which are incidental or inevitable corollaries to giving effect to the fiction. But in so construing the fiction it is not to be extended beyond the purpose for which it is created, or beyond the language of the Section by which it is created. A legal fiction in terms enacted for the purposes of one Act is normally restricted to that Act and cannot be extended to cover another Act. When the State Legislatures make the Registrar, a person exercising the power of the Registrar, a person authori ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act, 1965 is quoted herein below in extenso: 302. Every councillor and every officer or servant of a Council, every contractor or agent appointed by it for the collection of any tax and every person employed by such contractor or agent for the collection of such tax, shall be deemed to be a public servant within the meaning of Section 21 of the Indian Penal Code. A Municipal Councillor was prosecuted for having committed an offence under the Prevention of Corruption Act and the said conviction and sentence was upheld in appeal by the High Court, but this Court in the aforementioned decision, 1985(3) SCC 606, set aside the conviction and sentence on a finding that Municipal Councillor cannot be held to be a public servant within the m ..... X X X X Extracts X X X X X X X X Extracts X X X X
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