STATE OF MADHYA PRADESH Vs. AJAY SINGH: A AND A ENTERPRISES
LAWS(SC)-1992-11-27
SUPREME COURT OF INDIA (FROM: MADHYA PRADESH)
Decided on November 02,1992

STATE OF MADHYA PRADESH Appellant
VERSUS
AJAY SINGH,A.AND A.ENTERPRISES Respondents

JUDGEMENT

- (1.) The petitioner-State of Madhya Pradesh in both these petitions seeks leave to appeal under Article 136 of the Constitution against the common judgment and order dated 8-5-1992 of the High Court of Madhya Pradesh in Miscellaneous Petitions Nos. 481 of 1992 and 533 of 1992 under Article 226 of the Constitution. The High Court has allowed both these writ petitions.
(2.) The material facts are these. In Miscellaneous Petition No. 3909 of 1987 filed in public interest by Kailash Joshi, then leader of the Opposition in Madhya Pradesh Vidhan Sabha and now a Cabinet Minister in Madhya Pradesh, relating to the affairs of the Churhat Children's Welfare Society and lottery conducted by it, the M. P. High Court by its judgment dated 20-1-1989* issued a direction for setting up an independent high power agency to hold an inquiry into the affairs of the said Society of which respondent No. 1 Ajay Singh was one of the office bearers. In compliance of that direction, the State Government passed a resolution on 24-2-1989 and also issued notification of the same date having the effect of setting up a Commission of Inquiry consisting of Justice S.T, Ramalingam, a Judge of the Madras High Court to investigate into the affairs of the said Society and the lottery conducted by it. The resolution and the notification are as under :- "Bhopal, the 24th February, 1989 No. F. 1-3-89-I(i)-E.C. - Whereas the High Court of Madhya Pradesh in its order dated the 20th January, 1989 in M.P. No. 3909/87, Kailash Joshi v. State of Madhya Pradesh and others. has directed that an inquiry be made by an independent high power agency into the affairs of the Churhat Children's Welfare Society and how the share of its profits derived from all or any other draws have been utilized and to take such action as may be required under the law against the said Society and its organizing agent and that the State Government is of the view that the said order of the High Court should be implemented and carried out and whereas the State Government is also satisfied that this is a definite matter of public importance which calls for an inquiry to be made, the State Government hereby appoints an independent high power agency presided over by Shri Justice S. T. Ramalingam, Judge of the Madras High Court. 2. The Headquarters of the Agency shall be at Jabalpur, Madhya Pradesh. 3. The terms of reference for inquiry by the aforesaid Agency shall be as under.: - (1) How the affairs of the Churhat Children's Welfare Society are conducted and how the share of the profit derived and the money collected through lottery has been utilised (2) What is the amount collected draw-wise, by the agent and the Society and what is the tax liability as per the Madhya Pradesh Lottery (Niyantran Tatha Kar) Adhiniyam, 1973 (3) Whether any irregularities, illegalities and offences were committed in organizing the lottery, holding of draws of lottery, distribution of prizes, and in that event, the person responsible for the same; (4) Any other matter incidental or connected with the above subject matter of enquiry. 4. The Agency may complete its enquiry and submit its report to the State Government within a period of six months from the date of issue of this Notification. By order and in the name of the Governor of Madhya Pradesh, R. C. SHRIVASTAVA,Secy." "Bhopal, the 24th February, 1989 No. F.1-3-89-I(i)-E.C.-Whereas by Government of Madhya Pradesh Resolution dated the 24th February, 1989 and Notification No. F.1-3-89-I(i)-E.C., dated the 24th February, 1989 an independent High Power Agency presided over by Shri S. T. Ramalingam, Judge of the Madras High Court has been set up to hold an inquiry into the affairs of the Churhat Children's Welfare Society; And whereas the State Government having regard to the nature of the inquiry to be made and other circumstances of the case is of the opinion that provisions contained in sub- sections (2) to (5) of Section 5 of the Commissions of Inquiry Act, 1952, hould be made applicable to the aforesaid Agency; Now, therefore, in exercise of the powers conferred by sub-section (1) of S. 5 of the Commissions of Inquiry Act, 1952, the State Government hereby directs that the provisions of sub-sections (2) to (5) of S. 5 of the said Act shall apply to the above described Agency. By order and in the name of the Governor of Madhya Pradesh, R. C. SHRIVASTAVA, Secy."
(3.) According to the terms of the above notification, the inquiry was to be completed within a period of six months from the date of issue of the notification. As the enquiry could not be completed within that period, by a notification dated 1-8-1990 the period for completing the inquiry was extended up to 22-8-1991; then by another notification dated 16-8-1991 the period was extended up to 31-3-1992; and then by another notification dated 27-3-1992 the period for completing the enquiry stands extended up to 31-3-1993.;


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