In a significant development, the Supreme Court has delivered a split verdict on the plea filed by former Andhra Pradesh Chief Minister N Chandrababu Naidu in connection with the Skill Development Corporation scam. The court rejected Naidu’s request to quash the FIR related to the case but delivered divergent opinions on the interpretation and applicability of Section 17A of the Prevention of Corruption Act. The bench, comprising Justices Aniruddha Bose and Bela M Trivedi, has referred the matter to the Chief Justice of India (CJI) for further directions.
Chandrababu Naidu’s plea challenged the high court’s decision, which had refused to quash the FIR filed by the Crime Investigation Department (CID) in the Skill Development Corporation scam case.
Section 17A of the Prevention of Corruption Act, introduced by an amendment in 2018, mandates prior approval from the competent authority for conducting any inquiry or investigation into offenses alleged to have been committed by a public servant under the Prevention of Corruption Act.
The split verdict by the Supreme Court presented contrasting opinions on the applicability of Section 17A. Justice Aniruddha Bose stated that prior approval was required for investigating the alleged offenses under the Prevention of Corruption Act against Naidu. However, he refused to quash the remand order, stating that the lack of approval would not render the remand order non-existent. He granted the state the liberty to seek such approval.
On the other hand, Justice Bela M Trivedi held that Section 17A would not apply retrospectively and upheld the high court’s decision to refuse quashing the FIR. She stated, “The impugned order of remand and impugned judgement of the high court does not suffer from any illegality,” while dismissing Naidu’s appeal.
The split verdict resulted in Justice Bose quashing the charges under the Prevention of Corruption Act against Naidu, while Justice Trivedi upheld the invocation of corruption charges. The judges noted that, besides the charges under the Prevention of Corruption Act, Naidu was also booked for offenses under the Indian Penal Code. Due to the divergent opinions, the bench referred the matter to the Chief Justice of India for appropriate directions.
The Skill Development Corporation ‘scam’ revolves around allegations that Chandrababu Naidu misappropriated funds from the Skill Development Corporation during his tenure as the Chief Minister in 2015. The case involves the establishment of Centers of Excellence in Andhra Pradesh, with a total project value of ₹300 crore. The CID claimed that the alleged fraud caused a significant loss to the state government.
CID officials outlined irregularities, including the diversion of government funds to shell companies through fake invoices. They alleged that the money advanced by the government was not used for the intended purposes. Naidu has consistently denied these allegations.
The Supreme Court’s split verdict adds complexity to the legal proceedings, and the matter will now be reviewed by the Chief Justice of India. The case highlights the challenges associated with high-profile corruption charges and the intricacies of interpreting legal provisions related to corruption investigations. The final resolution will shape the course of legal proceedings against Chandrababu Naidu in the Skill Development Corporation scam.
