Supreme Court Dismisses SLP Challenging Quashing of FIR in J&K Land Scam Case
The Supreme Court of India recently dismissed a Special Leave Petition filed by the Union Territory of Jammu and Kashmir challenging the High Court’s order quashing an FIR registered against Brij Bhushan, former Managing Director of J&K Cooperative Housing Corporation Ltd (JKCHC). The case involved allegations of corruption in a 1989 land transaction that came under scrutiny three decades later in 2021.
Case Background
The dispute centered around JKCHC’s acquisition of 30 kanals and 5 marlas of land in 1989 for developing residential colonies. The transaction was completed after negotiations with landlords at Rs. 31,500 per kanal, with a lease deed registered on April 10, 1989. The land was subsequently developed and allotted to society members.
In 2021, an FIR (No. 10/2021) was registered under:
- Section 5(2) of J&K Prevention of Corruption Act, 2006
- Section 120-B (criminal conspiracy) of IPC
The allegations claimed that:
- The power of attorney holders of the land colluded with the Tehsildar
- Brij Bhushan as MD of JKCHC facilitated obtaining ‘fard Intikhab’ (land selection document)
- The transaction violated Sections 28(1)(d) and 28-A of J&K Agrarian Reforms Act, 1976
High Court’s Decision
The High Court quashed the FIR through its order dated May 29, 2023, in CRM(M) No. 410/2021. Key findings included:
“The learned Single Judge has found that there can be no criminal proceeding initiated on the basis of a transfer, which is prohibited under the Act. The consequence is only of reversion of such rights on the land to the State Government.”
The Court noted that the Agrarian Reforms Act only provided for reversion of land rights to the State for prohibited transfers, not criminal liability. It also considered Section 29 of the Act which protects actions done in good faith.
Supreme Court’s Analysis
The bench comprising Justices Sudhanshu Dhulia and K. Vinod Chandran upheld the High Court’s decision, making several key observations:
1. On Criminal Proceedings
The Court clarified that while statutory violations might not automatically lead to criminal liability, corruption charges could still apply if proven:
“We also do not agree with the learned Single Judge that no criminal proceedings will lie, for reason only of the statute having not provided it; since the allegation of corruption and criminal breach of trust, if substantiated, could lead to conviction under the Prevention of Corruption Act and the IPC.”
2. Regarding the Respondent’s Role
The Court found no substantive allegations against Brij Bhushan:
“We do not see any allegation against the respondent herein under the provisions on which the F.I.R. has been registered but for a bland allegation of connivance with the officers of the State. There is also no personal benefit even alleged to have accrued to the party respondent herein.”
Key points noted:
- JKCHC acquired land after due verification from District Collector
- Land was developed for its intended purpose
- No action taken by State under Section 28-A for reversion
- No personal enrichment alleged
3. On Good Faith Protection
The Court observed that Section 29 of the Agrarian Reforms Act provided protection for actions taken in good faith, though this defense would need to be raised separately by the accused government officers.
Final Judgment
The Supreme Court concluded:
“We find no reason to interfere with the well-reasoned order of the learned Single Judge of the High Court. The Special Leave Petition stands dismissed.”
The judgment highlights the importance of specific allegations in corruption cases and the courts’ reluctance to permit fishing expeditions, especially in decades-old transactions where development has already occurred. It also clarifies the distinction between civil consequences of statutory violations and criminal liability that requires proof of corrupt intent or personal gain.
Petitioner Name: Union Territory of Jammu and Kashmir.Respondent Name: Brij Bhushan.Judgment By: Justice Sudhanshu Dhulia, Justice K. Vinod Chandran.Place Of Incident: Jammu and Kashmir.Judgment Date: 06-04-2025.Result: dismissed.
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