In Union of India & Ors v. PK Sharma, a division bench of the Delhi High Court observed that the fact that the respondent was acquitted in the proceedings under the Customs Act, 1962 would have no bearing on the departmental inquiry as both are distinct in nature.
Respondent, Inspector at the Indira Gandhi International Airport, Delhi gave a false examination report in respect of Bill of Entry filed by M/s Intertrade Incorporated, Noida declaring the imported goods to be ‘Plastic Buttons’ valued at Rs.56,531/- whereas on verification the packet was found to be intact and in its original packing. On examination, they were found to be cellular phones along with batteries and chargers. The department initiated proceedings under section 17 of the Customs Act. Disciplinary proceedings were also initiated against the respondent. However, the Tribunal set aside the proceedings under section 17. Consequently, it also quashed the penalty imposed by the Disciplinary Authority.
The question before the division bench was that whether the respondent once having been acquitted of the charges under the Customs Act, 1962 can then be proceeded against in a departmental inquiry under the CCS (CCA) Rules on the same cause of action?
Before the Court, the department contended that both the criminal and disciplinary proceedings are distinct and independent in nature. They claimed that the provisions of the Indian Evidence Act are not strictly applicable to disciplinary proceedings and the doctrine of the preponderance of probabilities applies in such proceedings. There is no statutory rule or provision which stipulates that the departmental proceedings cannot be opened or initiated after a decision of acquittal in a criminal case arising from the same cause of action.
Accepting the above contentions, the bench observed that there is no bar in initiating disciplinary proceedings if the charged officer is acquitted of criminal proceedings arising out of the same cause of action. “The result of one proceeding does not have a bearing on the other proceedings. The CESTAT might have found that the respondent did not collude with the importer and hence was not liable of a penalty under the Customs Act, 1962 but that does not mean that he is not guilty of misconduct, maintaining absolute integrity and devotion to duty as per Rule 14 of the CCS (CCA) Rules.”
Read the full text of the Judgment below.
