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1996 (10) TMI 526

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..... , J. 1. Edmund Burke stated as early as 1777: Among a people generally corrupt, liberty cannot long exist. In 1778, he observed: An arbitrary system indeed must always be a corrupt one. There never was a man who thought he had no law but own will, who did not soon find that he had no end but his own profit. 2. According to Fancies Bean mount (1584-1616) corruption is a tree, whose branches are of an unmeasurable length, they spread everywhere, and the dew that drops from thence, hath infected some chairs and stools of authority. 3. In the Encyclopaedia of Democracy by Seymour Martin Lipset, Vol. 1, page 310, in the Chapter Corruption , it is stated that corruption is an abuse of public resources for private gain. It is known that bribes open the way for access to the State for those who are willing to pay and can afford to pay. The situation leaves non-corrupt citizen with the belief that one counts only if one has the right personal contact with those who hold power and also allow persons with money power to get things done to their advantage through back door. 4. In the present case, as we are concerned with alleged motivated, arbitrary and high-handed actions o .....

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..... sis for deciding allotments, but even this categorisation was not adhered to while making allotments. The further findings are: (1) Many other organisations/persons who had also applied for allotment of shops/stalls from time to time were not considered for allotment and no reasons, whatsoever, were assigned for non-allotment of shops/stalls to them ; and (2) - At the time of discretionary allotments made by Smt. Shiela Kaul in 1992 and 1994 persons who were relations of her personal staff were considered and allotted shops. 7. In the order dated 19.7.1996 this Court noted that a regular cases under Sections 120B 420 468/ 471 IPC and Section 13(2) read with 13(1)(d) of the Prevention of Corruption Act, 1988, has been registered against Smt. Shiela Kaul and her Addl. Private Secretary Rajan S. Lala and others. The order of that date has also noted about various other steps taken, which include issuance of show cause why allotment of shops/stalls should not be cancelled. It was desired that the notices be served within a week and the Estate Officer, after considering their replies if any, place a report before the Court within four weeks. 8. Such a report was filed under the .....

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..... in Lucknow Development Authority v. N.K. Gupta AIR1994SC787 , stating that the same approved misfeasance in public office as a part of the law of the tort. It was pointed out that public servants become liable in damages for malicious, deliberate or injurious wrong-doing. 11. A reference to Wade's 'Administrative Law' shows that a breach of statutory duty does give rise in public law to liability, which has come to be known as misfeasance in public office , and which includes malicious abuse of power. This aspect has been dealt at pages 789 of 7th Edition. It has been stated that public authorities or officers may be liable in damages for malicious, deliberate or injurious wrong-doing. The Supreme Court of Canada in Ron Carelli v. Duplejis (1959) 16 DLR (2d) 689 awarded damages against the Prime Minister of Quebec personally for directing the cancellation of a restaurant - owner's liquor licence. The Supreme Court of Victoria in Farrington v. Thomson 1959 VR 280, awarded damages against a licencing inspector and a police officer who had ordered the plaintiff to close his hotel and cease supplying liquor, though they knew they did not possess such a power. Smi .....

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..... 0,000 for malicious prosecution and $40,000 for breach of the plaintiffs constitutional rights. Reference may also be made to the decision of Supreme Court of Jamaica in Samulls v. Attorney General, (noted at pages 120 to 122 of the aforesaid Digest) in which Reckford, J. by his decision dated 11.11.1994, awarded exemplary damages for assault battery and malicious prosecution. The award was quantified at $1,00,000. 15. The world jurisprudence has thus accepted misfeasance in public office as a species of tortious liability and, to prevent misuse, different courts across the sea have been awarding exemplary damages. 16. We are conscious that the aforesaid cases dealt with injury to a third party (following misuse of power) who had sought damages for the loss caused, whereas in the present case there is no injury as such to any third person. Even so, the aforesaid cases have been referred for two purposes. Firstly and primarily to bring home the position in law that misuse of power by a public official is actionable in tort, Secondly, to state that in such cases damages awarded are exemplary. The fact that there is no injury to a third person in the present case is not enough t .....

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