M.K. Hanjura ORDER
M.K. Hanjura, J.
1. In this petition, filed under Section 561_A Cr. PC, the petitioners crave the indulgence of this Court in quashing the FIR bearing No. 123/2017 A003 dated 26.09.2017, registered against them at Police Station CBI, ACB, Srinagar, on a written complaint dated 19.09.2017 of Shri Sundeep Singh, Chief General Manager (Vigilance), Food Corporation of India-FCI, Zonal Office (North), Noida,-U.P., addressed to the Head of Branch CBI ACB-Srinagar, which was received by him on 25.09.2015. The complaint pertains to the misappropriation of rice & wheat stocks at PEG (Private Entrepreneur Guarantee) Store, Baramulla, valued at over 14 Crores. It is stated in the complaint that 130 No. of Trucks were missing during the reconciliation from the records at the Lower Munda (Qazigund) which have been shown to have been acknowledged and also in the reconciliation statements. The genuineness of the stamp affixed on the challans of these 130 Trucks was cross checked with the specimen copy of stamps obtained from Lower Munda (Qazigund). It was found that fake stamps have been affixed on these challans and it appears that stocks have been misappropriated by the transport contractor i.e. M/s. Gagan Traders and M/s. Walia Goods & Transport, both from Punjab in connivance and collusion with the Food Corporation India Staff, the State Government officials and the owner of PEG Baramulla, between the dispatching depot of Bhogpur and Kartarpur, under FCI District Office Jalandhar and Lower Munda Check Post. The complaint further reads that since various parties, FCI Employees as well as State Machinery appear to be involved in this Criminal Misappropriation of FCI Stocks and forgery of documents, therefore, it is requested to take up the investigation of the matter and to proceed against the culprits under the appropriate provisions of criminal law. On the receipt of this complaint, a regular case was registered under Section 120B, 420, 467, 468, 471 RPC and 5(1)(C) r/w. 5(2) of J & K PC Act against the above mentioned suspect persons and the investigation of the case was entrusted to Mr. Sheikh Firdous, Inspector of Police.
2. The petitioners have challenged the FIR, inter alia, on the grounds that the petitioners are proprietors of the sole proprietorship concern against whom the impugned FIR has been registered by the CBI. The proprietorships concerns are not legal entities or juridical persons against whom prosecution can be launched. The proprietorship is doli incapax and thus can neither be prosecuted nor punished under any statute. The inference that can be drawn from the allegations contained in the FIR is that the alleged commission of the breach of trust and misappropriation has taken place beyond the territorial jurisdiction of State of Jammu and Kashmir, that is, in the State of Punjab. Such offences have no territorial nexus vis-à-vis the penal offences provided under Ranbir Penal Code and their prosecution cannot be countenanced within the State of J & K. Therefore, neither the Central Bureau of Investigation has the jurisdiction to investigate the offences nor can these offences be tried within the territorial jurisdiction of the State of J & K. The Central Bureau of Investigation (CBI) has no jurisdiction to investigate the case in the territory of J & K State without the sanction of the State Government as required under Section 6 of Delhi Special Police Establishment Act. The FIR has been registered on the basis of a complaint directly transmitted by the Zonal Office Food Corporation of India, Noida, UP, in the absence of a valid sanction.
3. It is further submitted that the matter pertains to the entrustment of property with the transport agency at the dispatching centre within Punjab region regulated by a contract. Since the affairs pertain to the territory of Punjab as also elicited by the show cause notices appended herewith as Ann........