Punjab: HC questions FIR registration delay in ₹500cr post-matric scholarship ‘fraud’

The Punjab and Haryana high court on Thursday pulled up Punjab government for delay in registration of a criminal case in alleged fraud of funds estimated to be ₹500, meant for scholarship and said that the government “misinterpreted” a court order that has led to the delay in launch of the investigation

Chandigarh: The Punjab and Haryana high court on Thursday pulled up Punjab government for delay in registration of a criminal case in alleged fraud of funds estimated to be ₹500, meant for scholarship and said that the government “misinterpreted” a court order that has led to the delay in launch of the investigation.

The court of chief justice Sheel Nagu and justice Sanjiv Berry had summoned the chief secretary for the proceedings as it came to light during previous proceedings that court orders protecting certain institutions from coercive recovery steps were wrongly interpreted as a shield against criminal prosecution as well by the state authorities.

The court was hearing a public interest litigation (PIL) seeking Central Bureau of Investigation (CBI) probe into post-matric scholarship fraud reported in Punjab.

The plea was filed by Satbir Singh Walia, a Chandigarh resident, in 2020. The central government-sponsored scheme is aimed at giving scholarships to meritorious students belonging to economically weaker sections so as to provide them better opportunities for higher education.

The court of chief justice Sheel Nagu and justice Sanjiv Berry had summoned the chief secretary for the proceedings as it came to light during previous proceedings that court orders protecting certain institutions from coercive recovery steps were wrongly interpreted as a shield against criminal prosecution as well by the state authorities.

The state even failed to seek clarification of the interim orders and instead “straight away complied with the same by misinterpreting the order”, the court observed during a hearing on Thursday.

Chief secretary KAP Sinha, who appeared virtually, tendered an unconditional apology before the court and tried to justify the delay by referring to a Punjab cabinet decision dated November, 2021.

The state’s understanding of the order was that phrase “no coercive steps” meant to include criminal proceedings as well because the alleged criminal liability arose from non-deposit of recoverable amounts by institutions, he said adding that the state feared criminal proceedings could expose officials to contempt proceedings.

It was further informed that the vigilance bureau has registered a criminal case now on April 16 after a preliminary probe was completed. Still, the criminal case has not been registered against those three institutions, who were before the court, the state’s lawyer said.

However, the court rejected the reasoning observing that if an information is given of commission of cognisable offence and the same is found to be true as early as in 2020, then FIR should not have been delayed for five years.

Appearing for the Centre, additional solicitor general Satya Pal Jain said the Enforcement Directorate (ED) is already examining the matter and added that the agency has got a copy of the FIR registered. In case, any other FIR is registered, copy be the same be supplied to the ED, Jain submitted.