High Court Upholds Compulsory Retirement of Judge Over Corruption in Buying Property in the name of Relatives

The Punjab and Haryana High Court has upheld the compulsory retirement of judicial officer Ved Pal Gupta after allegations of corruption in property acquisitions were found substantiated. Dismissing Gupta’s challenge to the disciplinary inquiry, the court reinforced the importance of maintaining the highest ethical standards in the judiciary.  

Background of the Case  

The case involved serious charges of misconduct against Gupta, who served as a judicial officer in Haryana since 1987. It was alleged that Gupta and his wife had acquired multiple high-value properties, far exceeding his known sources of income. The properties in question included plots in Gurgaon, Panchkula, and Faridabad, some acquired through suspicious wills or at rates significantly below market value.  

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The disciplinary inquiry, conducted by a sitting High Court judge, found that Gupta’s actions amounted to corruption and were unbecoming of a judicial officer. The findings led to his compulsory retirement, which Gupta subsequently challenged in court.  

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Legal Issues  

The case revolved around several significant legal issues:  

1. Disproportionate Assets and Financial Irregularities:  

   Gupta was accused of acquiring assets beyond his legitimate means. The inquiry highlighted discrepancies in financial records, including manipulated income tax returns and unexplained transactions. Key properties included:  

   – A Gurgaon plot inherited through a will from his mother-in-law, excluding other heirs.  

   – A Panchkula plot purchased by his wife, a homemaker, at a fraction of its market value.  

   – Properties purportedly acquired through benami transactions.  

   The inquiry found that Gupta failed to provide credible evidence to justify these acquisitions, concluding they were financed through illegitimate means.  

2. Role of Administrative Approvals:  

   Gupta argued that his transactions were lawful as they had administrative approval from the High Court. However, the court clarified that such permissions do not certify the legitimacy of the funds used. Administrative approvals merely ensure procedural compliance and do not shield officers from scrutiny under disciplinary proceedings.  

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3. Judicial Standards of Conduct:  

   The court emphasized that judicial officers are held to the highest standards of integrity. Gupta’s conduct, which involved financial improprieties and unexplained property transactions, was found to have tarnished the public image of the judiciary.  

4. Scope of Judicial Review:  

   Gupta contended that the inquiry findings were based on assumptions and lacked substantial evidence. However, the court reiterated that judicial review under Article 226 does not extend to reappraising evidence or substituting the findings of a disciplinary authority. The court’s role is limited to ensuring the inquiry was conducted lawfully and without procedural irregularities.  

Key Observations by the Court  

In its judgment, the court made several pointed observations:  

– On Judicial Integrity:  

 “Judicial officers must exemplify the highest standards of honesty and integrity. Misconduct, especially involving corruption, not only tarnishes the individual but erodes public trust in the judiciary.”  

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– On Disproportionate Assets:  

“The acquisition of multiple properties far exceeding known sources of income is reflective of corruption and a clear breach of the integrity expected from a judicial officer.”  

– On Administrative Permissions:  

“Administrative approval for property transactions cannot be construed as a certificate of legitimacy for the resources used or the propriety of the transactions.”  

Court’s Decision  

After thoroughly examining the disciplinary inquiry’s findings and the petitioner’s submissions, the court dismissed Gupta’s plea. It upheld the disciplinary authority’s decision to impose compulsory retirement, concluding that Gupta’s conduct was incompatible with the standards expected of a judicial officer.  

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