SC: Stay on Investigation or Granting Interim Relief in the Exercise of S.482 CrPC Powers by the HC should only be in the Rarest of Rare Cases

Khushi Bajpai

Published on: 16 August, 2022 at 18:59 IST

The Supreme Court has reaffirmed that the High Court should only use its authority under Section 482 of the Code of Criminal Procedure (CrPC) to award a stay on an investigation or any other temporary relief [Siddharth Mukesh Bhandari v. State of Gujarat and Anr.].

This position has been determined, according to a division bench of Justices MR Shah and BV Nagarathna, in the case of M/s. Neeharika Infrastructure Pvt. Ltd. v. State of Maharashtra.

“In the matter of M/s. Neeharika Infrastructure Pvt. Ltd., the court highlighted that it would only ever grant a stay of investigation or other temporary remedy while using its Section 482 CrPC authority. Additionally, this Court has stressed the Investigating Officer’s right to look into the criminal proceedings. “ the highest court said.

The Gujarat High Court’s February 14 order, which had admitted the Section 482 plea but had also granted interim relief and postponed the criminal proceedings against the respondents, was being challenged in court.

In 2019, the respondent-accused went to the High Court to ask for the criminal proceedings to be halted. The High Court awarded interim relief and ordered that no coercive measures against the respondents on October 10, 2019, before any further enquiry could start.

However, the Supreme Court overturned the High Court’s interim ruling on December 17, 2021, after staying the High Court’s order from October 10 to December 9, 2019.

The High Court then granted interim relief by stopping the criminal proceedings while once again admitting the respondent-application.

In spite of the earlier ruling by the Supreme Court in the case of M/s Neeharika Infrastructure Private Limited, wherein it was ruled that even in cases where the High Court is prima facie of the opinion that an exceptional case is made out for the grant of an interim stay of further investigation, it has to give brief reasons why such an interim order is warranted, the Supreme Court noted that the High Court had seriously erred in passing the order.

“The concepts and the law established by this Court in the instance of M/s. Neeharika Infrastructure Pvt. Ltd. have not been effectively grasped by the High Court (supra). In the case of M/s. Neeharika Infrastructure Pvt. Ltd. (supra), this Court noted that only the rarest of situations would a stay of investigation or other interim relief be granted while exercising powers under Section 482 CrPC.” The Court made a note.

“Despite the earlier judgement and order passed by this Court in the very criminal proceedings quashing and setting aside the earlier interim orders passed by the High Court, which came to be set aside by this Court, again, the learned Single Judge has granted the very same interim relief, which, as observed hereinabove, can be said to be in the teeth of and contrary to our earlier judgement and order in the case of M/s. Neeharika,” the Court said in allowing the appeal.

As a result, the High Court’s order of February 14, 2022 has been annulled by the Supreme Court.

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