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Disproportionate Assets Conviction Set Aside for Defective Investigation and Omission of Income: Madras HC

Case Law Details

TaxGuru Citation
2026 taxguru.in 8476
Case Name
P. Suyambu Vs State (Madras High Court)
Date of Judgement/Order
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P. Suyambu Vs State (Madras High Court)

The appeal arose from the judgment of the II Additional District Court for CBI Cases, Madurai, convicting the appellant, a Central Excise Inspector, for offences under Sections 13(2) read with 13(1)(e) of the Prevention of Corruption Act, 1988 and Sections 465 and 471 read with Section 465 of the Indian Penal Code. The prosecution alleged that during the check period from April 1987 to December 1988, the appellant possessed assets disproportionate to his known sources of income and had fraudulently opened a fictitious bank account and forged documents in connection with acquisition of assets. While the appellant was convicted and sentenced, the other three accused—his wife, father-in-law and mother-in-law—were acquitted.

The prosecution alleged that the appellant, while serving as Inspector in the Central Excise Department, acquired assets worth ₹54,90,759 during the check period against likely savings of ₹17,12,794, resulting in disproportionate assets of ₹37,77,965. It further alleged that he had opened a fictitious savings account in the name of “A.P. Nadar” and forged signatures on account opening documents, banking records and share application forms to acquire assets in his own name and in the names of his family members. During trial, the prosecution examined 89 witnesses and produced 288 exhibits, while the defence examined one witness and produced two documents.

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Author Info

CA Sandeep Kanoi
Qualification: CA in Job / Business
Company: Taxguru Consultancy
Location: Mumbai, Maharashtra
Articles Published: 21,612

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