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Amit Vashistha (S) v. Suresh And Another (S)

Supreme Court Of India
Aug 31, 2017
Smart Summary (Beta)

Factual and Procedural Background

The Assistant Provident Fund Commissioner initiated adjudication proceedings under Section 7A of the Employees Provident Funds and Miscellaneous Provisions Act, 1952 concerning provident-fund dues of the respondent. During those proceedings the respondent allegedly abused the Presiding Officer, attempted to assault him, and disrupted the hearing. Consequently, on 22 June 2001 a complaint under Section 228 of the Indian Penal Code was filed before the Judicial Magistrate First Class.

The Magistrate convicted the respondent “till rising of the Court” and imposed a fine of ₹500. On appeal, the Sessions Judge upheld the conviction but released the respondent on probation for one year under the Probation of Offenders Act, 1958. The respondent then filed Criminal Revision No. 445 of 2007 before the High Court, which acquitted him on 30 January 2009, holding that the complaint was not maintainable because Section 7A proceedings were not before a “court” for the purposes of Section 195(1)(b)(i) of the Code of Criminal Procedure (Cr.P.C.). The present appeal challenges that High Court order.

Legal Issues Presented

  1. Whether proceedings conducted by an authority under Section 7A of the EPF Act are “judicial proceedings” that can be equated with proceedings “in any court” for the purpose of Section 195(1)(b)(i) Cr.P.C.
  2. Consequently, whether a complaint for an offence under Section 228 IPC, arising out of disruption of a Section 7A hearing, is maintainable before a Magistrate.

Arguments of the Parties

Appellant's Arguments

  • Section 7A proceedings have been statutorily declared to be judicial proceedings; therefore they attract Sections 193 and 228 IPC.
  • Because these proceedings possess the character of judicial proceedings, they are to be treated as proceedings “in any court” for the limited purpose of Section 195(1)(b)(i) Cr.P.C.
  • The High Court erred in holding that the complaint was not maintainable merely because the Assistant Provident Fund Commissioner’s office was not a conventional court.

Respondent's Arguments

  • Section 195(1)(b)(i) Cr.P.C. applies only to proceedings before a court; Section 7A hearings are administrative and therefore outside its scope.
  • If any complaint was sustainable, it should have been initiated before the appellate tribunal constituted under Section 7J of the EPF Act, not directly before a Magistrate.

Table of Precedents Cited

Precedent Rule or Principle Cited For Application by the Court
Lalji Haridas v. State of Maharashtra, (1964) 6 SCR 700 Proceedings that are declared “judicial” by statute should, for Section 195(1)(b) Cr.P.C., be treated as proceedings “in any court,” thereby requiring a complaint from the presiding public servant for offences under Sections 193 and 228 IPC. The Court adopted the reasoning in Lalji Haridas to hold that once Section 7A proceedings are deemed judicial, they attract the procedural safeguard of Section 195(1)(b)(i) Cr.P.C., making the complaint by the Assistant Provident Fund Commissioner maintainable.

Court's Reasoning and Analysis

Section 2(i) Cr.P.C. defines a “judicial proceeding” as one in which evidence may legally be taken on oath—an authority expressly conferred on the adjudicating officer under Section 7A of the EPF Act. Parliament therefore vested Section 7A hearings with a judicial character and specifically linked them to Sections 193 and 228 IPC.

Applying the rationale of Lalji Haridas, the Court held that when a statute designates a proceeding as “judicial,” that fiction must extend to Section 195(1)(b)(i) Cr.P.C.; otherwise, the statutory declaration would be rendered ineffective. Whether the Section 7A authority is formally a “court” is irrelevant; the decisive factor is the judicial nature of the proceeding.

The respondent’s contention that the complaint ought to have been filed under Section 340 Cr.P.C. before the appellate tribunal was considered “frivolous” and rejected, as nothing in the Act or the Code mandated such a route when the public servant himself had lodged the complaint before the competent Magistrate.

Holding and Implications

The appeal is allowed; the High Court’s order of acquittal dated 30 January 2009 is set aside.

Immediate Effect: The setting aside of the High Court’s judgment restores the conviction and the order of the Sessions Judge releasing the respondent on probation. Broader Implication: The decision reaffirms that statutorily designated “judicial proceedings” (such as Section 7A EPF inquiries) are, for the limited purpose of Section 195(1)(b)(i) Cr.P.C., treated as proceedings “in any court,” thereby validating complaints by the concerned public servant for offences under Section 228 IPC.

Show all summary ...

Navin Sinha, J.:— The appellant is aggrieved by order dated 30.01.2009 in Criminal Revision No. 445 of 2007. By the impugned order, the respondent has been acquitted of the charge under Section 228 of the Indian Penal Code on the premise that the adjudication proceedings under Section 7A of the Employees Provident Funds and Miscellaneous Provisions Act, 1952 (hereinafter for short the ‘Act’) not being before a court, the complaint itself was not maintainable.

2. In an adjudication proceeding under Section 7A of the Act, with regard to provident fund claims of the respondent, the Assistant Provident Fund Commissioner filed a complaint on 22.06.2001 before the Judicial Magistrate First Class under Section 228 IPC, that the respondent had obstructed and interfered with the proceedings by abusing the Presiding Officer, and rushed to assault him, but the complainant was saved by the office staff. The Magistrate convicted the respondent till rising of the Court and imposed fine of Rs. 500/- with default stipulation. In appeal, preferred by the respondent, the Sessions Judge while maintaining the conviction released him under the Probation of Offenders Act, 1958 on an undertaking of good behavior for a period of one year. Aggrieved, the respondent moved the High Court in a revision application leading to the impugned order, thus the present appeal.

3. Learned Counsel for the appellant submits that the High Court erred in not appreciating that the proceedings under Section 7A were judicial proceedings, and misdirected itself in concluding that the office of the appellant was not a court, and therefore, the complaint itself was not maintainable under Section 195(1)(b)(i) of the Code of Criminal Procedure (hereinafter referred to as ‘the Cr.P.C’).

4. The respondent appearing in person, supporting the impugned order submitted that the proceedings under Section 7A not being before a court, the High Court rightly held that no complaint could have been filed under Section 195(1)(b)(i) of the Cr.P.C which was applicable only to proceedings before a court. It was next submitted that in any event the complaint could have been filed, if at all, before the appellate tribunal under Section 7J of the Act, and not before the magistrate directly.

5. The facts are not in dispute, and neither is it in dispute that the appellant is a public servant. The only question for consideration is if the complaint under Section 228 IPC was maintainable in view of the proceeding under Section 7A deemed to be a judicial proceeding or whether the proceedings had to be before a court to invoke Section 195(1)(b)(i) Cr.P.C

6. Section 2(i) of the Cr.P.C defines a judicial proceeding to include any proceedings in the course of which evidence is or may be legally taken on oath. This power is indisputably statutorily vested in the authority holding proceedings under Section 7A of the Act. The legislature, in its wisdom, considering the seriousness of the adjudicatory process under the said provision, vested it with the nature of a judicial proceeding within the meaning of Sections 193 and 228 IPC. If the proceedings under Section 7A are deemed to be a judicial proceeding by fiction, it must be carried to its logical conclusion. Therefore, such a judicial proceeding can well be equated for that purpose with a court under Section 195(1)(b)(i). Whether the proceedings under Section 7A will partake the character of a court or not, is not relevant to the controversy. The High Court failed to consider the effect of the judicial nature of the proceeding, simply by reference to Section 195(1)(b)(i) Cr.P.C to hold that the proceedings did not partake the nature of a court, and therefore, the complaint was not maintainable. A similar issue was considered in Lalji Haridas v. State of Maharashtra, (1964) 6 SCR 700, observing as follows:—

“14. It is somewhat remarkable that though Section 193 IPC, refers to a judicial proceeding, Section 195 CrPC refers to a proceeding in any court; it does not say a judicial proceeding in any court. Mr. Desai contends that reading Section 193 IPC and Section 195(1)(b) CrPC together, it would not be unreasonable to hold that proceedings which are judicial under the former, should be taken to be proceedings in any court under the latter. The whole basis of providing for a higher sentence in regard to offences committed at any stage of a judicial proceeding appears to be that the legislature took the view that the said offences were more serious in character, and so, it distinguished the said offences from similar offences committed at any stage of other proceeding. The argument is that while providing for a higher sentence in respect of this more serious class of offences committed at any stage of judicial proceedings, the legislature intended that there should be a safeguard in respect of complaints as regards the said offences and that safeguard is provided by Section 195(1)(b) CrPC. In other words, an offence which is treated as more serious by the first paragraph of Section 193 IPC because it is an offence committed during the course of a judicial proceeding should be held to be an offence committed in any proceeding in any court for the purpose of Section 195(1)(b) CrPC. On this argument, it is not necessary to consider whether the Income Tax Officer is a court or not, for, in substance, the contention is that as soon as Section 37(4) of the Act was enacted, the proceedings before an Income Tax Officer become judicial proceedings for the purpose of Section 193 IPC, and since they are classed under the first paragraph of the said section, they attract the protection of Section 195(1)(b) CrPC. In our opinion, there is considerable force in this argument, and, on the whole, we are inclined to prefer the construction suggested by Mr. Desai to that pressed before us by the learned Additional Solicitor-General.

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16……There can be little doubt that if a person offers an insult to a public servant sitting in a judicial proceeding, or causes interruption to him while he is so sitting at any stage of the judicial proceeding, the complaint has to proceed from the public servant himself; that is the effect of Section 195(1)(b) CrPC.”

7. The argument that the complaint was required to be filed under Section 340 Cr.P.C before the appellate tribunal and not before the magistrate having jurisdiction is considered frivolous and is rejected.

8. The order of the High Court is, therefore, held to be unsustainable and is set aside.

9. The appeal is allowed.