New Delhi: The Supreme Court directed that no coercive action be taken by the Central Bureau of Investigation against individuals linked to the Punjab government amid a corruption inquiry involving senior officials. The directive was issued during the hearing of a challenge brought by the state government against a high court order that had instructed the federal agency to investigate the allegations and submit its findings within two months.
A bench comprising Justices MM Sundresh and PB Varale issued notices to the central government, the CBI, the Enforcement Directorate, and other respondents. Highlighting the scope of the decision, the bench stated that it was not staying the first information report, but rather barring any harsh enforcement steps.
The Punjab government had approached the top court challenging the Punjab and Haryana High Court ruling, which originated from a petition filed by advocate Nikhil Saraf. The underlying allegations involve corruption matters such as cash-for-transfers and securing favorable policy decisions. The petitioner previously contended that no meaningful steps had been taken despite communications from the Enforcement Directorate to the state administration, arguing that an independent investigation was warranted.
Under the high court's earlier directions, the Punjab Police and state authorities were instructed to transfer all relevant case documents to the CBI. Challenging this directive, the Punjab government argued that the high court judgment contained multiple legal errors. Specifically, the state claimed the ruling misinterpreted information shared under the Prevention of Money Laundering Act as a mandate compelling the registration of a case, which it asserted conflicted with a previous Supreme Court ruling.
Furthermore, the state argued that the high court ordered the registration of an FIR regarding official decisions on transfers, tenders, and policies without obtaining the prior approval mandated by the Prevention of Corruption Act. The state's legal representation also criticized the high court for faulting authorities regarding an unassociated officer whom they could not lawfully investigate without statutory approval. The Supreme Court's current interim order maintains the existing FIR while shielding those connected to the Punjab government from immediate coercive measures as the legal challenge proceeds.