Disha v. State of Gujarat & Ors.
DR. B.S. CHAUHAN, J. 1. This writ petition has been
filed for seeking the directions that investigations into the
financial transactions of the petitioner's late husband Shri G
Deven Malviya and his associates through various firms, and
the mysterious cause of her husband's death in Hotel Marriott,
Senapati Bapat Road, Pune be transferred to Central Bureau
of Investigation (hereinafter called CBI) under Section 173 of
the Code of Criminal Procedure, 1973 (hereinafter referred to H
A as Cr.P.C.); and further to hand over all complaints made by
various investors against the firms owned by her family
members to the CBI for investigation.
2. Facts and circumstances giving rise to this case are as
B under:
A. Petitioner indulged herself in commercial/business
activities alongwith her husband late Deven Malviya, particularly
in share broking in the name and style of Mis Disha Credit and
Marketing Services alongwith one another' partner Mr. Ajay
c Gandeja in Nagpur from 1998 to 2004.
B. Late Mr. Deven Malviya, for certain reasons, shifted
from Nagpur to Pune and started his own share broking
business in the year 2007. Petitioner's husband and his •
maternal uncle namely, Shri Narendra Dhruv and his sons
started share broking business in Rajkot in the name of M/s
Vision Equities and Commodities and subsequently at
Ahmedabad also. In 2008, another firm was constituted in the
name of Vibrant Equities and Commodities, of which the
petitioner was the proprietor.
E C. During that period, i.e., between 2008 and 2010,
petitioner's husband, his maternal uncle and his sons appointed
a large number of agents/franchises for their firms all over
Gujarat and the said agents collected a huge amount from
F large number of persons/investors giving them assurance that
their money would be multiplied within a short span of time.
D. On 28.12.2010, Late Deven Malviya, petitioner's
husband checked in Hotel Marriott at Senapati Bapat Marg,
Pune in a Room on 20th floor. He jumped from 22nd floor of
G Hotel Marriott at 11.30 a.m. on 30.12.2010 and died
spontaneously. The matter of death of petitioner's husband is
being investigated by Chhatushingi Police Station, Pune.
E. An FIR No. CR No. 1-18/2011 was lodged on 12.1.2011
H at Gandhigram Police Station in Rajkot under Sections 406,
DISHA v. STATE OF GUJARAT & ORS. 365
..>-' [DR. B.S. CHAUHAN, J.]
420 and 120-B of the Indian Penal Code, 1860 (hereinafter A
called IPC) by the complainant with the allegations that the
partners/ agents/franchises of the firm owned by the petitioner
,herself had given fake promises to the complainant and other
>:. investors that they would get Rs.1,40,000/- in return of their
~
investment of Rs.1,00,000/- within a short stipulated period. But B
~
the investors could not get any amount. The accused persons '
in conspiracy with each other made a fraudulent scheme duping
the innocent investors.
F. The police filed a charge sheet against 13 accused
c persons including the petitioner after examining 23 witnesses.
Seven accused have already been arrested and further
investigation is in progress for obtaining the Forensic Science
-. Laboratory report in connection with the seized Muddamaal
... (Crime property, e.g. Computer, CPU, Hard disk etc.) .
According to investigation held, so far, it is evident that the D
investors have been duped by petitioner's Firms for a sum of
Rs.60 crores.
3. The grounds on which the transfer is sought are as
follows: E
(1) Petitioner will face acute harassment owing to the
number of investors.
I (2) Petitioner likely to be victimised, and all associates,
/
agents, partners would suppress material information fastening F
all charges on her to save themselves.
(3) Number of scattered complaints would lead to
uncoordinated investigation and not uncovering the truth.
1 (4) Death in most suspicious circumstances since the G
alleged scam involves politicians, bureaucrats and influential
business men who could have abetted the suicide since they
invested crores of rupees.
(5) Petitioner is interested in finding out the truth.
A (6) Interference needed for putting the investigations on
proper track relating to the death of the husband/deceased and
for enquiry into scam by CBI.
(7) To avoid botch up in investigation due to prevailing
B corruption.
4. Heard Shri A.K. Sanghi, learned Senior counsel for the
petitioner, Shri H.P. Rawal, learned ASG for CBI, Shri N.
Nanavati, learned counsel for the State of Gujarat and Shri
Sanjay Kharde, learned counsel for the State of Maharashtra.
c So far as the case of suicide of petitioner's husband is
concerned, the respondent No.2, Maharashtra police, is
investigating the matter. During the investigation, three suicidal
notes in the hand-writing of the deceased have been recovered. •
Father of the deceased identified the hand-writing of Deven ...
D Malviya, the deceased and investigation is going on. However,
according to the investigation so far conducted it appears to
be a plain and simple case of suicide, may be because of
pressure of investors in his commercial activities.
E He was facing large number of demands from investors
who could not even get back the principal amount, what to talk
of multiplied amount or compounded interest etc. as assured
by their agents and collectors/franchises. Therefore, he could
not stand the pressure of his commitments, and as the angry )
investors were reported to have forcibly demanded their money '
F back and had seized the documents of sale of house and office
properties from his maternal uncle at Rajkot.
5. The petitioner did not render any assistance whatsoever
to the Maharashtra Police in investigation of the said case,' nor
G has she raised any grievance before this court that the
investigation conducted by the Maharashtra Police is not fair,
though she is fully aware that the firms owned by the petitioner
and her family members/relatives had collected huge amount
from investors which had not been returned to them as promised
H and they had been pressing hard for recovery of their amount.
DISHA v. STATE OF GUJARAT & ORS. 367
-~ [DR. B.S. CHAUHAN, J.]
In such circumstances, naturally a person will be under the A
pressure and may also commit suicide. However, in view of the
fact that the matter is still being investigated by the Maharashtra
Police, we do not think it proper to make any comment on it.
" 6. So far as the Gujarat Police is concerned, according to ).
B the counter affidavit filed by the State of Gujarat, only one FIR
has been lodged, wherein the investigation has been concluded
and charge sheet has been filed against 13 accused persons
including petitioner.
7. In this background, the case is required to be examined c
as to whether in the facts and circumstances of the case, where
in case of cheating, a charge sheet has been filed, the matter
--
can, and is required to be transferred for investigation/further
... investigation to the CBI .
8. In Kashmeri Devi v. Delhi Admn. & Anr., AIR 1988 SC D
1323, this Court held that the magistrate can direct CBI to
investigate a case, after charge sheet has been filed, by
exercising his powers under Section 173(8) Cr.PC. It was
stated accordingly:-
"Since according to the respondents charge-sheet has
already been submitted to the Magistrate we direct the trial
court before whom the charge-sheet has been submitted to
l exercise his powers under Section 173(8) CrPC to direct the
!
Central Bureau of Investigation for proper and thorough F investigation of the case. On issue of such direction the Central
Bureau of Investigation will investigate the case in an
independent and object.ive manner and it will further submit
additional charge-sheet, if any, in accordance with law. The
~ appeal stands disposed of accordingly."
9. In Gudalure M.J. Cherian v. Union of India (1992) 1
~CC ~97 •. this Court however, held that the power ~f directing
mv~st1~ation by CBI after chargesheet was filed, should not
ord1~anly be used, but only when necessary. The investigation
having been completed by the police and charge-sheet H
A submitted to the court, it is not for this Court, ordinarily, to
reopen the investigation specially by entrusting the same to a
specialised agency like CBI.
Same view has been reiterated by this Court in Punjab &
B Haryana High Court Bar Assn., Chandigarh through its
Secretary v. State of Punjab & Ors. AIR 1994 SC 1023.
10. In R.S. Sodhi v. State of UP. & Ors., AIR 1994 SC
38, this Court examined the case where the accusations were
directed against the local police personnel. The Court held that
c it would be desirable to entrust the investigation to an
independent agency like the CBI so that all concerned including
the relatives of the deceased may feel assured that an
independent agency was looking into the matter and that would
lend the final outcome of the investigation credibility. However
0 faithfully the local police may carry out the investigation, the
same would lack credibility since the allegations were· against
them.
11. This Court refused to direct t.1e investigation by the
CBI, after the charge sheet was filed in Vineet Narain & Ors.
E v. Union of India & Anr. AIR 1996 SC 3386.
12. In case of persons against whom a prima facie case
is made out and a charge-sheet is filed in the competent court,
it is that court which will then deal with that case on merits in
F accordance with law. (See : Union of India v. Sushi/ Kumar
Modi, (1998) 8 sec 661).
13. Relying on the observations in Union of India v. Sushi/
Kumar Modi (supra), this Court in Rajiv Ranjan Singh 'Lalan'
(VIII) v. Union of lndia,(2006) 6 SCC 613, reiterated that the
G Court does not have the power to direct the CBI to investigate
a matter after the chargesheet was filed.
14. The above three cases i.e. of Vineet Narain, Sushil
Kumar Modi and Rajiv Rajan Singh were differentiated in a
H recent judgment by this Court in Rubabbuddin Sheikh v. State
......
DISHA v. STATE OF GUJARAT & ORS. 369
[DR. B.S. CHAUHAN, J.]
·~·
of Gujarat & Ors., AIR 2010 SC 3175, wherein this Court held:- A
'Therefore, it can safely be concluded that in an
appropriate case when the court feels that the investigation
by the police authorities is not in the proper direction and
\ in order to do complete justice in the case and as the high ).
police officials are involved in the said crime, it was always B
open to the court to hand over the investigation to the
independent agency like CBI."
15. In Ashok Kumar Todi v. Kishwar Jahan & Ors., (2011)
3 SCC 758, this Court dealt with a case in which Kishwar c
Jahan, mother of the deceased Rizwanur Rahman approached
the High Court to transfer the investigation of his death from
local police to CBI expressing her apprehension that State
~ police would not conduct investigation fairly because her son
... had contracted inter-religion marriage with the daughter of a D
very affluent and influential businessman, who had very close
relationship with high police officials. She produced sufficient
material to establish the nexus between the main accused and
top police officials. This court considering the reasonable
. apprehension in her mind about fair investigation by the State E CID, directed CBI to investigate the cause of death of Rizwanur
Rahman.
(See also: and Narmada Bai v. State of Gujarat, JT 2011
• (4) SC 279) .
' F 16. Thus, it is evident that this Court has transferred the
matter to CBI or any other special agency only when the Court
was satisfied that the accused had been very powerful and
influential person or State authorities like high police officials
were involved and the investigation had not proceeded with in G proper direction or it had been biased. In such a case, in order
to do complete justice and having belief that it would lend the
final outcome of the investigation credibility, such directions
have been issued.
17. The case requires to be examined in the light of the H
"" A aforesaid settled legal proposition.
18. Shri A.K. Sanghi, learned senior counsel appearing for
the petitioner has tried to convince the court placing reliance
on various newspaper cuttings filed as Annexures submitting
I
that it could be a big scam of thousand of crores rupees, but
B we are not impressed by such submissions as the police could
find out that the total investments by investors had been only
about Rs.60 crores.
19. In the instant case, the petitioner herself is the accused.
c A huge amount of Rs.60 crores has been collected from
innocent persons giving them false assurances that their amount
would have a high premium. It has not been alleged in the
petition that any of the investor is very powerful or capable to
manage the investigation against the petitioner or that the case t
..
D of suicide of her husband is not properly investigated. It is no
body's case that the police has unnecessarily harassed the
petitioner; rather, the record of the case reveals that it is only
after completing the investigation, that the charge sheet has
been filed against 13 persons including the petitioner. No
E allegation of mala fide or bias has been alleged against any
investigating authority nor had it been pleaded that charge
sheet had been filed against the petitioner without investigating
the case or having any vindictive attitude towards the petitioner.
In fact, the petition is based purely on mere apprehension by )
the petitioner. None of the grounds taken by the petitioner for ' F transfer is tenable.
20. In such a fact-situation, we do not see any cogent
reason to interfere in the matter. The petition lacks merit and
is accordingly dismissed.
G However, in case any action is taken by the investigating
agency against the petitioner, she would be at liberty to seek
the appropriate remedy before the appropriate forum and any
observation made herein, shall not be treated adverse to her.
H R.P. Writ Petition dismissed. -