Cooperative society or bank employee is public servant: High Court

Srinagar, Aug 23: The High Court of J&K and Ladakh has held that an officer or servant employed by a cooperative society or cooperative bank falls within the definition of a public servant.

“An officer or servant employed by a Cooperative Society or Cooperative Bank, whether for the whole or part of his tenure including every member of the society or bank falls within the definition of Public Servant”, a bench of Justice Sanjay Dhar said, while dealing with a related plea.

The Court dismissed the plea by Ghulam Nabi Shah, former chairman of the Board, Urban Cooperative Bank Ltd, through which he had sought quashing of an FIR filed by Anti-corruption Bureau (ACB) Anantnag against him regarding alleged backdoor appointments of at least 12 of his kith and kin.

The FIR (No. 04 of 2020) was registered on August 17, 2020 against the former chairman of the Bank for offences under Sections 5(1) (d) read with Section 5(2) of the J&K Prevention of Corruption Act 2006 and 120-B of RPC with Police Station, ACB Anantnag.

The FIR was challenged on the ground that after coming into force the Jammu and Kashmir Re-organization Act of 2019, the provisions of Prevention of Corruption Act, 1988 have been extended to the UT of J&K. Therefore, the procedure prescribed in the Act would be applicable to the present case, the plea said.

The former bank officer also contended that in terms of Section 17-A of the Act of 1988, without previous approval of the competent authority, the investigation of the case could not have proceeded against him.

“An employee or officer of the Cooperative Society does not fall within the definition of ‘public servant’ as contained in Section 2(2) of the State Act, as such, the proceedings against him cannot continue”, according to the plea.

“In the instant case, the alleged offence has taken place at a time when State Act was in force and, as such, in terms of Article 20(1) of the Constitution of India which provides that no person shall be convicted for any offence except for violation of a law which was in force at the relevant time, the petitioner has to be tried for the offence as defined under repealed State Act and not for the offences created under the Act of 1988, which was not in force at the time of the alleged occurrence,” the court said in response to the plea.

The court observed that sub-section (2) of Section 2 of State Act adopts the definition of ‘public servant’ as contained in Section 21 of the Ranbir Penal Code.

It said: “Section 21 of the Ranbir Penal Code defines public servant and it brings certain persons within the purview of the definition of Public Servant.

The Court dismissed the plea, underscoring that an officer or servant employed by cooperative society or cooperative bank falls within the definition of a public servant.