M GOPALA KRISHNAIAH AND Vs. STATE

JUDGEMENT

(1.) These petitions were filed by A-1 and A-2 under S. 482 Cr.P.C. to quash the proceedings against them in C.C. No. 81/86 on the file of the Principal Special Judge for SPE & ACB Cases, Hyderabad, which is now transferred to the Court of the Ist Addl. Special Judge for SPE & ACB cases, Hyderabad, and re-numbered as C.C. No. 19/87. A charge-sheet has been filed against the petitioners (A-1 and A-2) and three others by the Inspector/CBI : CIU (i) New Delhi, alleging that they have committed the offences punishable under sections 120-B read with S. 420 IPC, 161 IPC, 165 IPC and S. 5(2) read with S. 5(1)(d) of the Prevention of Corruption Act.

(2.) A-1 (Petitioner in Crl.M.P. No. 111/87) who is now working as General Manager, Andhra Bank, worked as Dy. General Manager, Andhra Bank, Central Office, Sultan Bazar, Hyderabad, from 1980 to 11-3-1983. A-2 (Petitioner in Crl.M.P. No. 397/87) worked as Branch Manager, Andhra Bank, Ramanthapur Branch, Hyderabad, from May, 1980 to May, 1984. A-3 worked as Rural Credit Officer, Andhra Bank, Nizamabad, from July, 1982 to July, 1983. A-4 was an Approved Valuer of the Andhra Bank during the year 1982-83. A-5 is a Civil contractor during the aforesaid period.

(3.) The prosecution case is that A-1 to A-4 entered into a criminal conspiracy at Hyderabad with an object to cheat the Andhra Bank and to cause huge pecuniary advantage to N. V. Choudary (A-5) in the matter of sanction of loan facilities to A-5 and his associated concerns during the period 1981 to 1983. In the matter of sanction of tipper loans, A-2 took oral permission of A-1 and released the loans. A-1 allowed decrease in the rate of interest for payment of loans by reducing it to 15% and further increased the number of installments for repayment of loans after the sanction of loan facilities. For the loan facilities, the house property of A-5 situated at E-1 Kakatiyanagar, Habsiguda, Hyderabad, was the collateral security. In pursuance of the criminal conspiracy, A-1 and A-2 recommended and enhanced the secured over-draft limit of A-5 from Rs. 1.5 lakhs to Rs. 3 lakhs and recommended renewal of bank guarantee limit of Rs. 4.4 lakhs and further allowed the release of bank guarantee limit up to Rs. 5 lakhs against the security of the house at Kakatiyanagar.