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STATE OF MAHARASHTRA versus LALJIT RAJSHI SHAH AND ORS.

Citation: [2000] 1 S.C.R. 1239 · Decided: 28-02-2000 · Supreme Court of India · Bench: G.B. PATTANAIK · Disposal: Dismissed

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Judgment (excerpt)

i 
, 
--.. 
STATE OF MAHARASHTRA 
A 
v . 
LAL.TIT RAJSHI SHAH AND ORS. 
FEBRUARY 28, 2000 
[G.B. PATTANAIK AND N. SANTOSH HEGDE, JJ.] 
B 
Penal Code, 1860-Section 21 Maharashtra Co-operative Societies Act, 
1960-Sections 161 and 2(20)-Public servant for purpose of the Code-In-
corporation of section 21 of the code in section 161 of the Maharashtra Co-
operative Societies Act-Held, chairman and the members of managing C 
committee of a co-operative society under the Act not public servant-Preven-
tion of CorrnptionAct, 1947, sections 2, 5(1) and 5(2)--Constitution of India 
Articles 245, 246 and 254(2) and Seventh Schedule list II entry 32 and List 
III entry I. 
Interpretation of statutes : 
Pari materia provisions-Penal Code and Maharashtra Co-operative 
Societies Act-Held, not statutes in pari materia as both statutes have different 
objects and sections with separate ingredients. 
D 
Legal fiction-Construing of-Not to be extended beyond the purpose E 
for which it is created-To be restricted for the purpose of the Act for which 
it is enacted and not be extended to cover another Act. 
Words and Phrases : 
'Public servant'-Meaning of 
F 
'Deemed to be'-Meaning of 
Respondents were the chairman and the members of the managing 
committee of a co-operative society under the Maharashtra Co-operative 
Societies Act. They were prosecuted for offences under section 409 of the G 
Indian Penal Code and section 5(1) and (2) of the Prevention of Corrup-
tion Act. Respondents contended that they are not 'public servants' for the 
purpose of offences under the Code and the prosecution was not main-
tainable. High Court held that a person defined as "officer" under section 
2(20) of the Maharashtra Co-operative Societies Act is not a "Public H 
1239 
1240 
SUPREME COURT REPORTS 
[2000) 1 S.C.R. 
A 
Servant" within the meaning of section 2 of the Prevention of Corruption 
Act, by virtue of provisions of section 161 of the Maharashtra Co-operative 
Societies Act, read with Section 21 of the Penal Code. Hence these appeal. 
Dismissing thl! app!!als, the Court 
B 
HELD : 1.1. 'The respondents cannot be held to be 'public servants' 
as defined under Section 21 of the Indian Penal Code notwithstanding the 
incorporation of Section 21 of the Code in section 161 of the Maharashtra 
Co-operative Societies Act and, therefore, no cognizance can be taken of 
the offences under the Prevention of Corruption Act. The inclusion of the 
C 
persons who are 'public servants' under section 161 of the Co-operative 
Societies Act would be repugnant to the definition of 'public servant' under 
section 21 of the Indian Penal Code. [1242-A-B; 1244-E-F] 
D 
Ramesh Balkrishna Ku/kami v. State of Maharashtra, [1985] 3 SCC 
606 and R.S. Nayak v. A.R. Antulay, [1984] 2 SCC 183, relied on. 
2.1. The Indian Penal Code and the Maharashtra Co-operative 
Societies Act are not statutes in pari mate1ia. The Co-operative Societies 
Act is a completely self-contained statute with its own provisions and has 
created specific offences quite different from the offences in the Indian 
E 
Penal Code. [1244-G] 
F 
G 
2.2. In interpreting a provision creating a legal fiction, court is to 
ascertain for what purpose the fiction is created, and after ascertaining 
this, the court is to assume all those facts and consequences which are 
incidental or inevitable corollaries to giving effect to the fiction. It is not 
to be extended beyond the purpose for which it is created, or beyond the 
language of the section by which it is created. A legal fiction in terms 
enacted for the purposes of one Act is normally restricted to that Act and 
cannot be extended to cover another Act. Thus, even though the legislature 
had incorporated the provisions of Section 21 of the Indian Penal Code 
into the Co-operative Act, in order to define a 'public servant' but those 
'public servants' cannot be prosecuted for having committed the offence 
under the Indian Penal Code. [1245-B-E] 
• 
3,1. When a person is "deemed to be" something, the only meaning 
H possible is that whereas he is not in reality that something, the Act of 
STATEv. L.R.SHAH[PATTANAIK,J.] 
1241 
legislature requires him to be treated as if obviously for the purposes of A 
the said Act and not othernise. [1245-E-F] 
CRIMINAL APPELLATE JURISDICTION 
Criminal Appeal 
Nos. 752-755A of 1995. 
From the Judgment and Order dated 12/13.1.94 of the Bombay High B 
Court in Crl R.A. Nos. 144/86, 145-146/86 and Cr!. Application No. 20/93 

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