In Brief
A company contracted for road construction discovered fraud by its four employees (a General Manager and three Liaison Officers) who misappropriated land acquisition compensation funds meant for affected farmers through forged documents and fake beneficiaries, causing a loss of approximately Rs. 5.28 crores. The High Court granted anticipatory bail to the accused, holding that the Magistrate's order directing investigation under Section 156(3) CrPC was invalid because the complainant was not examined on oath. The Supreme Court set aside the bail, holding that the Magistrate could direct investigation under Section 156(3) without examining the complainant, as this power exists before cognizance is taken. The Court emphasized that the grave allegations of fraudulent misappropriation and forgery warranted no case for anticipatory bail.
The lawyer headnote and full judgment text are available to registered users.