Srinagar: The High Court of Jammu & Kashmir and Ladakh on Wednesday dismissed a plea by a former General Manager, District Industries Centre (DIC), Pulwama, seeking quashing of an anti-corruption FIR, holding that his claimed authority under the Industrial Policy 2016 could not be viewed independently of the mandatory procedural guidelines governing land allotments.
The court particularly noted that the industrial estates involved had already been handed over to SICOP before the alleged allotments were made, making the continuation of allotment powers by the petitioner a matter requiring clear justification.
Justice Shahzad Azeem observed that the court could not, at the stage of a petition seeking quashing of an FIR, conduct a mini-trial or conclusively determine whether the petitioner had acted with dishonest intention.
The material on record, including the fact that the estates had been transferred to SICOP on April 20, 2017, was sufficient to justify continuation of the investigation.
Laiq Parvez, the GM, had approached the court under Section 482 of the Code of Criminal Procedure seeking quashing of FIR No. 03/2020, registered by the Anti-Corruption Bureau (ACB), South Kashmir, on July 7, 2020, under provisions of the Jammu and Kashmir Prevention of Corruption Act and Section 120-B RPC.
The petitioner served as GM, DIC Pulwama from June 2017 to February 2018. The ACB alleged that during his tenure he issued land allotment orders and executed lease deeds in favour of various unit holders in violation of the Industrial Policy, 2016 and the Procedural Guidelines of 2017.
The case originated from a complaint alleging that DIC Pulwama had become a hub of corruption.
Parvez’s counsel argued that under the Industrial Policy, the GM, DIC was competent to allot land to MSME units having investment in plant and machinery up to Rs 5 crore.
The petitioner maintained that he had acted within his authority and that the FIR did not disclose criminal misconduct.
The ACB, however, contended that the industrial estates at Pulwama and Chatpora had already been transferred to SICOP on April 20, 2017.
Despite this, the petitioner allegedly made 48 allotments in estates already under SICOP’s control. Departmental and Expert Committees also found irregularities in approximately 62 units, including allotments made without SWCC clearance and acceptance of physical applications despite the mandatory online procedure.
The court clarified that even where the GM, DIC had a role under the Industrial Policy, the power was subject to prescribed procedures.
For units involving investment up to Rs 5 crore, decisions were required to be taken by the Single Window Clearance Committee, headed by the GM, rather than by the GM acting alone. Final allotment orders were to be issued by notified SICOP/SIDCO officers, while lease deeds were to be executed with the corporations.
The court further noted that the investigation was examining documents relating to 42 units, the role of beneficiaries and the conduct of other SICOP/SIDCO officials.
It held that determining whether undue benefit had been conferred, whether there was concerted action and whether other officials facilitated the alleged irregularities required a complete investigation.
Holding that quashing the proceedings at this stage would truncate an ongoing investigation, Justice Azeem dismissed the petition as “bereft of merit” and directed that the case file be returned to the concerned police station for further action.