High CourtDivision BenchAppeal dismissed

Naresh Kumar Madan v. State of Madhya Pradesh

Case / Petition Number:Criminal Appeal No. 519 of 2007
Neutral Citation:(2007) 4 S.C.R. 1042

Case Details & Bench

Court
High Court
Hon'ble Judges
  • S. B. Sinha
  • Markandey Katju
Judgment Date
2007-04-10
Court Decision / Holding
Appeal dismissed
Final Disposition
Appeal dismissed

Parties to the Case

Appellants / Petitioners

  • Naresh Kumar Madan

Respondents

  • State of Madhya Pradesh

Legal Representation & Advocates

Counsels for Petitioners

  • • Rajiv Dutta
  • • Asha Gopalan Nair
  • • Brij Rajesh
  • • Vikash Shanna

Counsels for Respondents

  • • Vibha Datta Makhija

Case Synopsis & Summary

Naresh Kumar Madan, a Civil Engineer employed by the Madhya Pradesh Electricity Board, was charged under Section 7 read with Section 13(1)(d)/13(2) of the Prevention of Corruption Act, 1988, for allegedly accepting a bribe from a complainant in connection with an electrical connection. He challenged the maintainability of his prosecution on the ground that, since the Electricity Board is not a government department, its employees cannot be said to be 'public servants' under the 1988 Act. The trial court rejected the challenge, and the Madhya Pradesh High Court affirmed the rejection. The Supreme Court granted leave and examined the central issue: whether the term 'public servant' in the 1988 Act should be construed by reference to definitions in other statutes such as the Electricity (Supply) Act, 1948, or by applying the broad 1988 Act definition. It held that while different statutes may use the same term for different purposes, interpretation must be anchored in the text of the 1988 Act itself; the object of the Electricity Act is different, but the 1988 Act, by its own terms and its broad definition in Section 2(1)(c), brings within its fold persons in the service or pay of corporations established by or under government acts, including State Electricity Boards. Accordingly, the Board employee qualifies as a 'public servant' for purposes of the 1988 Act. The appeal is dismissed.

Provisions of Law Cited

Prevention of Corruption Act, 1988, Section 2(1)(c) (definition of public servant)Prevention of Corruption Act, 1988, Section 7 read with Section 13(1)(d)/13(2)Indian Penal Code, 1860, Section 21 (public servant)Electricity (Supply) Act, 1948, Section 81Electricity (Supply) Act, 1948, Section 12Electricity (Supply) Act, 1948, Section 15Electricity (Supply) Act, 1948, Section 65Electricity (Supply) Act, 1948, Section 66Electricity (Supply) Act, 1948, Section 78Electricity (Supply) Act, 1948, Section 78ACompanies Act, 1956, Section 617

Legal Doctrines & Maxims

  • Different statutes may use the same term for different purposes; interpretation of a term in one statute cannot be done with reference to its definition contained in another.
  • Legal fiction: public servants under Section 21 IPC are extended to State Boards when acting under the 1948 Act.
  • Deemed public servant concept: Board employees may be public servants within the meaning of 21 IPC when acting under the Act.

Submissions & Arguments

Contentions of Appellants / Petitioners

The appellant contends that he cannot be prosecuted under the Prevention of Corruption Act, 1988 as he is not a 'public servant' under the Act; The definition in the Electricity (Supply) Act, 1948 (Section 81) does not automatically extend to the 1988 Act; He relies on the MP High Court's decision in Bimal Kumar Gupta (supra) which, in his submission, lays down the correct law.

Contentions of Respondents

The respondents submit that the 1988 Act defines 'public servant' broadly to include persons in the service or pay of corporations established by or under government acts or government-controlled bodies, including State Electricity Boards; The Board's officers are public authorities; The Act's scope contemplates a wide public servant category, and the appellant falls within it.

Cited Precedents (4)

Case NameCitationTreatmentExplanation
Bimal Kumar Gupta v. Special Police Establishment Lokayukt(2001) 1 MPHT 330; (2001) 3 JLJ 2OverruledThe Court held that this decision does not lay down the correct law and disapproved it.
Maharashtra v. Laljit Rajashi Shah and Ors.AIR 2000 SC 937DistinguishedThe decision is not applicable to the present case and is distinguished on the issue of 'deemed public servant' under the 1947/1948 framework.
Raymond Ltd v. State of Chhattisgarh and Ors.(2007) 3 SCALE 341PositiveCited in support of interpreting terms within statutes without cross-applying definitions from other statutes.
Madhya Pradesh Electricity Board v. Union of India and Ors.(2006) 9 SCALE 194PositiveUsed to illustrate the object and scope of the Electricity Board and its governance, aiding the interpretation of the 1948 Act in relation to the 1988 Act.

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Extracted Judgment Text

Exact text extracted from official judgment records.

-+- _y_ _)_ A ## NARESH KUMAR MADAN # _v._ STATE OF MADHYA PRADESH -- APRIL IO, 2007 B [S.B. SINHA AND MARKANDEY KA TJU, JJ.] .. _Prevention of Corruption Act, 1988:_ _s.2(c)(iii) [rlw s.21 Twelfth (h) IPC]-'Pub/ic.servant'-Ctvil Engineer_ c _in MP. Electricity Board-Caught accepting illegal gratification--Contention that his prosecution under the Act was not maintainable as he was not a public servant for the purposes of the Act-Held, the delinquent is a public servant within the provisions of the Act-Definition of 'public servant' will have to be construed having regard to provisions of the Act_ - _Different_ D _[statutes may ][use ][the same ][term ][for different purposes-Interpretation ][of ][a ] term in one statute, however, cannot be done with reference to its definition contained in another-Electricity (Supply) Act, 1948-s.81-Pena/ Code, 1860-s.21, Twelfth(h)-/nterpretation of statutes._ Appellant, a Civil Engineer in M.P. Electricity Board, was caught E[accepting illegal gratification from the complainant A charge-sheet was filed ] against him under Section 7 read with Section 13(l)(d)/13(2) of the Prevention of Corruption Act, 1988. He filed an application contending that his prosecution under the Act was not maintainable since the term 'public servant' defined in s.81 of the Electricity (Supply) Act, 1948 does not satisfy the requirement of the definition as contained in s.21 IPC. The trial court rejected F the application. The High Court having rejected appellant's revision, he filed the present a11peal. F -;.:- 1- Dismissing the appeal, the Court HELD: 1.1. Different statutes may use the same term for different G purposes. A term or a word may be interpreted in the statute itself for fulftllirig the purport and object mentioned therein whereas in another statute it may be defmed differently. Interpretation of a term in one statute, however, cannot be done with reference to its definition contained in another. The object and purport of the provisions of the Electricity (Supply) Act, 1948 is different from H 1040 H ,.,.._._ + NARESH KUMAR MADAN v. STA TEOFMADHY A PRADESH 1041 the 1988 Act. It provides for constitution and composition of State Elec~ricity A Board. (Paras 6, 7 and 12) (1042-F-G; 1044-C) 1.2. By virtue of Sections 66, 78 and 78-A of the 1948 Act, State exercises a deep and pervasive control over the affairs of the Board. The officers of the State Electricity Board are required to carry out public functions. They are public authorities. It is only for proper and effective B exercise of those powers, the statute provides that they would be public servants, wherefor a legal fiction has been created in favour of those employees, when acting or purported to act in pursuance of any of the provisions of the Act within the meaning of Section 21 of the Indian Penal Code. However, it may be noticed that a person who, inter alia, is in the service C or pay of the Government established by or under a Central, Provincial or State Act, would also come within the purview thereof. Section 2(c )(iii) of the 1988 Act also brings within its embrace a person in the service or pay of a corporation established by or order a Central Act. Definition of 'public servant' will have to be construed having regard to the provisions of the 1988 Act. By giving effect to the definition of 'public servant' in the 1988 Act, the legal D fiction is not being extended beyond the purpose for which it was created or beyond the language of the section in which it was created. There is no reason as to why the appellant would not answer the description of public servant within the provision of the said Act. (Paras 14, 16 and 19) (1044-G; 1045-A-C; 1046-E) E _Bimal Kumar Gupta_ v. _Special Police Establishment Lokayukt,_ (2001) 1MPHT330: (2001) 3 JLJ 2, disapproved. _Maharashtra_ v. _La/it Rajashi Shah and Ors.,_ AIR (2000) SC 937, held inapplicable. F CRIMINAL AP PELLA TE JURISDICTION : Criminal Appeal No. 519 of 2007. From the Judgment and Order dated 02.08.2006 of the High Court of Judicature of Madhya Pradesh at Jabalpur bench, Gwalior in Criminal Revision Petition No. 664 of2004. G Rajiv Dutta, Asha Gopalan Nair, Brij Rajesh and Vikash Shanna for the Appellant. Vibha Datta Makhija for the Respondent. The Judgment of the Court was delivered by H + [2007) 4 S.C.R. 1042 ## SUPREME COURT REPORTS **A** **S.B. SINHA, J.** 1. Leave granted. 2. Appellant is a Civil Engineer. He is employed in the Madhya Pradesh Electricity Board constituted in terms of Section 5 of the Electricity (Supply) Act, 1948 (for short, 'the 1948 Act'). It is a body corporate and can sue and be sued in its own name under Section 12 thereof. B 3. He allegedly took illegal gratification from the complainant for the purpose of grant of an electrical connection. A trap was laid and Appellant was allegedly caught red handed with a sum ofRs.1,000/-, which was accepted by him by way of illegal gratification from the complainant. C 4. A charge-sheet was filed against him under Section 7 read with Section 13(l){d)/13(2) of the Prevention of Corruption Act, 1988 {for short 'the 1988 Act'). An application was filed by him contending that he being not a public servant; his prosecution under the 1988 Act was not maintainable. The learned Trial' Judge rejected the said contention. A Revision Application was **D** filed by the appellant thereagainst before the High Court, which was dismissed hy the learned Single Judge of the High Court by reason of the impugned judgment dated 02.08.2006. 5. Before the courts below as also before us, the contention of Appellant has been that 'public servant' having been defined in Section 81 of the 1_948 E Act, the same does not satisfy the requirements of the definition as contained in Section 21 of the Indian Penal Code. Strong reliance, in this behalf, has been placed on _Bimal Kumar Gupta_ v. _Special Police Establishment Lokayukt,_ (2001) 1MPHT330: (2001) 3 JLJ 2, wherein it has been held that employees of the Madhya Pradesh State Electricity Board are not public servants. F 6. Different statutes may use the same term for different purposes. A term or a word may be interpreted in the statute itself for fulfilling the purport and object mentioned therein whereas in another statute it may be defined differently. 7. Interpretation of a term in one statute, however, cannot be done with G reference to its definition contained in another. [See _Raymond Ltd_ v. _State o/Chhattisgarh and Ors.,_ (2007) 3 SCALE 341] 8. Keeping in view the aforementioned legal proposition, it may be necessary to construe the definition of the term 'public servant' occurring in H the relevant statutes. NARESHKUMARMADANv.STATEOFMADHYAPRADESH[S.B.SINHA,J.] 1043 ·~ i 9. Section 2(1) (c) of the 1988 Act defines 'public servant' in the following terms : "(c) "public servant" means- (i) any person in the service or pay of the Government or remunerated by the Government by fees or commission for the performance of any B public duty; xxx xxx (iii) any person in the service or pay of a corporation established by or under a Central, Provincial or State Act, or an authority or a body owned or controlled or aided by the Government or a Government company as defined in section 617 of the Companies Act, 1956 (1 of 1956);" xxx xxx Explanation 1.- D Persons falling under any of the above sub-clauses are public servants, whether appointed by the Government or not. Explanation 2.- Wherever the words "public servant" occur, they shall be understood of every person who is in actual possession of the situation of a public servant, whatever legal defect there may be in his right to hold that situation." E 18. Section 21 of the Indian Penal Code defines 'public servant' to F mean: "The words "public servant" denote a person falling under any of the descriptions bereinafter following; namely:- xxx xxx G Twelfth.-Every person- (a) in the service or pay of the Government or remunerated by fees or commission for the performance of any public duty by the Government; H -+-- ... ## 1044 > SUPREME COURT REPORTS (2007) 4 S.C.R. A (b) in the service or pay of a local authority, a corporation established by or under a Central, Provincial or State Act or a Government company as defined in section 617 of the Companies Act, 1956 (I of 1956)." 11. Section 81 of the 1948 Act provides that members, officers and servants of the Board to be public servant, stating : B c "81. Members, officers and servants of the Board to be public servants.-All members and officers and other employees of the Board shall be deemed, when acting or purporting to act in pursuance of any of the provisions of this Act, to be public servants within the meaning of section 21 of the Indian Penal Code ( 45 of 1860)." 12. The object and purport of the provisions of the 1948 Act is different from the 1988 Act. It, as noticed hereinbefore, provides for constitution and composition of such Electricity Board. Each State is indeed enjoined with a duty to constitute a Board. (See _Madhya Pradesh Electricity Board_ v. _Union_ D _of India and Ors.,_ (2006) (9) SCALE 194]. 13. Section 12 of the 1948 Act provides for incorporation of Board stating : E "Incorporation of Board.-The Board shall be a body corporate by the name notified under sub-section (1) of section 5, having perpetual succession and a common seal, with power to acquire and hold property both movable and immovable, and shall by the said name sue and be sued." 14. Section 15 of the 1948 Act empowers the Board to appoint a Secretary F and such other officers and employees as may be required to enable it to carry out its functions under the said Act. Appointment of a Secretary of the Board is subject to the approval of the State Government. Section 65 of the 1948 Act provides for power of the Board to borrow funds for the purposes mentioned therein wherefor however, previous sanction of the State Government would be required to be obtained. Section 66 thereof provides for furnishing of G guarantee in respect of such loan advanced by the State Government. Section 78 of the 1948 Act empowers the State Government to make rules for the purposes mentioned therein. Section 78A empowers the State Government to issue directions upon the Board in the discharge of its functions. Such directions are binding upon the Board. State, therefore, exercises a deep and H pervasive control over the affairs of the Board. NARESHKUMARMADAN _v._ STATEOFMADHYAPRADESH[S.B.SINHA,J.) 1045 15. The officers of the State Electricity Board are required to carry out A. public functions. They are public authorities. Their action in one way or the other may entail civil or evil consequences to the consumers of electrical energy. They may prosecute a person. They are empowered to enter into the house of the Board's consumers. It is only for proper and effective exercise of those powers, the statute provides that they would be public servants, B wherefor a legal fiction has been created in favour of those employees, when acting or purported to act in pursuance of any of the provisions of the Act within the meaning of Section 21 of the Indian Penal Code. Indian Penal Code denotes various persons to be public servants. It is, however, not exhaustive. A person may be a public servant in terms of another statute. However, we may notice that a person who, inter alia, is in the service or pay of the C Government established by or under a Central, Provincial or State Act, would also come within the purview thereof. Section 2(l)(c) of the 1988 Act also brings within its embrace a person in the service or pay of a corporation established by or under a Central Act. 16. We, therefore, fail to see any reason as to why the appellant would not answer the description of public servant within the provisions of the said Act. The decision of the learned Single Judge of the Madhya Pradesh High _Co..xrt.hBimal Kumar Gupta_ (supra), in our opinion, does not lay down the"· correct law. Referring to Section 81 of the 1948 Act, it held : "14. Considering the aforesaid provisions of law, it emerged that for E the purpose of the Act of 1947, a "public servant" is a person who is covered under the definition of 'public servant' as given under Section 21 of the IPC On careful perusal of the definition of 'public servant' as given in Section 21 of the IPC, it is found that the employees of the Electricity Board are not covered under any of the p clauses of the said Section. However, by virtue of Section 81 of the Electricity Supply Act, 1948, all the members, officers and employees of the Board when acting or purporting to act in pursuance of any of the provisions of the Act are deemed to be public servant under Section 21 of the IPC. As such, it can be inferred that by virtue of Section 81 of the Electricity Supply Act, the Board employees when G acting in pursuance of the provisions of the Act are considered 'deemed public servants' under Section 21 of the IPC. But as held by the Apex Court in case of _State of Maharashtra_ v. _Laljit Rajashi Shah_ (supra) on the ground of 'deemed provision' a person covered under the definition of Section 21 of the IPC cannot be considered 'public H 1046 (2007) 4 S.C.R. ## SUPREME COURT REPORTS ## A ## B servant' for the purpose of prosecution under the provisions of the Prevention of Corruptions Act, 1947. In the aforesaid case, in view of the analogous provision of 'deemed to be public servant' for certain employees of the Cooperative Societies under Maharashtra Cooperative Societies Act, were not considered as public servant for the purpose of the Act of 1947" 17. With respect we do not agree with the aforementioned inference of the learned Judge. 18. The Prevention of Corruption Act, 1?47 was repealed and enacted C in the year 1988. The definition of 'public servant', .as contained in Section 2(c) thereof, is a broad based one. Reliance was placed by the learned Judge in the case of _State of Maharashtra_ v. _Laljit Rajashi Shah and Ors.,_ AIR (2000) SC _93T:_ Therein the court was dealing with a case of a member of a cooperative society. It was not dealing with the case of an employee of a statutory corporation. The said decision, therefore, has no application to the D facts of the present case. 19. Definition of 'public servant' will have to be construed having regard to the provisions of the 1988 Act. By giving effect to the definition of 'public servant' in the 1988 Act, the legal fiction is not being extenqed beyond the purpose for which it was created or beyond the language of the E section in which it was created. 20. For the reasons aforementioned, we find no merits in this appeal, which is accordingly dismissed. RP. Appeal dismissed.