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MANU/SC/0446/2003

IN THE SUPREME COURT OF INDIA

Appeal (crl.) 666 of 2002

Decided On: 07.07.2003

Appellants: Union of India (UOI) Vs. Respondent: Prakash P. Hinduja and Ors.

Hon'ble Judges/Coram:
S. Rajendra Babu and G.P. Mathur

JUDGMENT

G.P. Mathur, J.

1. Union of India through Central Bureau of Investigation (for short "CBI") and Central Vigilance Commission (for short "CVC") have preferred these appeals by special leave against the judgment and order dated 10.6.2002 of a learned Single Judge of Delhi High Court by which the petition preferred by Prakash Hinduja respondent No. 1 has been allowed and the cognizance taken by the learned Special Judge and all consequential proceedings have been quashed. It has, however, been left open to the prosecution to file a fresh charge-sheet after following the procedure laid down by this Court in Vineet Narain and Ors. v. Union of India MANU/SC/0827/1998 : 1998CriLJ1208 .

2. In order to appreciate the controversy raised it is necessary to briefly notice the relevant facts. A contract was entered between Government of India and M/s. AB Bofors on 24.3.1986 for supply of 400 FH 77-B gun systems along with vehicles, ammunition and other accessories at a total cost of SEK 8,410,660,984 (equivalent to about Rs. 1437.72 crores as per exchange rate on 21.3.1986) and on 2.5.1986 advance payment equivalent to 20 per cent of the contract value was paid to M/s. AB Bofors. On 16.4.1987 Swedish Radio came out with a story that Bofors had managed to obtain the contract from Government of India after payment of large amounts as bribe. On 21.4.1987 the Government of India made a formal request to Government of Sweden for an investigation into the allegations. The CBI registered a case being RC 1A/90-ACU.IV on 22.1.1990 and proceeded to investigate the matter. Thereafter on 22.10.1999 the CBI submitted charge sheet No. 01 under Secti........