This criminal appeal challenged the common judgment of the High Court of Gujarat, which had upheld the conviction of the appellants—a Talati-cum-Mantri and a Panchayat Peon—under Sections 7, 12, and 13(1)(d) of the Prevention of Corruption Act, 1988. The prosecution alleged that the appellants demanded a bribe of Rs. 120 (Rs. 100 for the first appellant and Rs. 20 for the second appellant) for issuing an income certificate to the complainant. The Supreme Court allowed the appeals and set aside the conviction, holding that the foundational element of an initial demand was never proven beyond reasonable doubt, as the complainant’s versions were contradictory and the official certificate had already been handed over before the money was passed. The Court emphasized that statutory presumptions under Section 20 of the Act cannot be invoked without proof of a valid demand, and additionally noted that the sanction for prosecution granted by a Deputy District Development Officer was legally defective.
- Proof of Initial Demand: The prosecution failed to establish a consistent or reliable demand for a bribe, given serious variances between the complainant’s deposition and his statements in prior parallel proceedings.
- Inapplicability of Statutory Presumption: Under Section 20 of the Prevention of Corruption Act, 1988, legal presumptions cannot be drawn unless the initial demand for illegal gratification is first proven beyond reasonable doubt by the prosecution.
- Post-Delivery Payment Doubt: The handling of money after the official certificate had already been prepared and handed over to the complainant naturally raises severe suspicions that the payment was not pursuant to a bribe demand.
- Defective Prosecution Sanction: Under Section 19(1)(c) of the Act, valid prosecution of a substantive Talati-cum-Mantri requires sanction from the District Development Officer (the removing authority) rather than a Deputy District Development Officer.
- Absence of Conspiracy: Both lower courts concurrently acquitted the accused of criminal conspiracy under Section 120B of the IPC, further weakening the fragmented allegations against individual public servants.
- Final Verdict: The Supreme Court set aside the judgments of the trial court and the High Court, fully acquitting the appellants of all charges and canceling their bail bonds.




