Case Note & Summary
The State of Andhra Pradesh appealed against an interim order of the High Court of Andhra Pradesh that stayed the operation of two Government Orders: G.O. Rt. No.1411 dated 26.06.2019, which appointed a Cabinet Sub-Committee to examine corruption allegations against members of the erstwhile government, and G.O. Rt. No.344 dated 21.02.2020, which set up a Special Investigation Team (SIT) to investigate those allegations. The High Court had admitted the writ petitions filed by the respondents (former ministers) and stayed all further proceedings pursuant to the said G.O.s. The Supreme Court noted that the High Court had passed the interim order without proper application of mind, without considering the prima facie case of the State, and without balancing the convenience of the parties. The Court observed that the State had acted within its executive power to form the SIT and had validly given consent for CBI investigation under the Delhi Special Police Establishment Act, 1946. The Supreme Court set aside the High Court's interim order and directed the High Court to hear the writ petitions afresh on merits, without being influenced by any observations made in the appeal. The Court clarified that it had not expressed any opinion on the merits of the case and that the High Court should decide the matter expeditiously.
Headnote
A) Constitutional Law - Power of State Government - Formation of SIT - The State Government has the power to constitute a Special Investigation Team (SIT) to investigate allegations of corruption against former ministers, and such action is within the executive power of the State under Article 162 of the Constitution of India. The High Court erred in staying the operation of the Government Orders without considering the prima facie case and balance of convenience. (Paras 1-10) B) Criminal Procedure - Investigation - Consent for CBI Investigation - Under Section 6 of the Delhi Special Police Establishment Act, 1946, the State Government can give consent for the CBI to investigate offences within the State. The State's consent dated 13.07.2020 was valid and the High Court's stay on the investigation was unjustified. (Paras 2-8) C) Civil Procedure - Interim Orders - Application of Mind - An interim order of stay must be passed after due application of mind and recording reasons. The High Court's order staying the Government Orders without considering the balance of convenience and without proper reasoning was set aside as it amounted to a final order at the interim stage. (Paras 9-13)
Issue of Consideration
Whether the High Court was justified in passing an interim order staying the operation of G.O. Rt. No.1411 dated 26.06.2019 and G.O. Rt. No.344 dated 21.02.2020 without proper application of mind and without considering the balance of convenience.
Final Decision
The Supreme Court allowed the appeals, set aside the impugned interim order of the High Court, and directed the High Court to hear the writ petitions afresh on merits, without being influenced by any observations made in the appeal. The Court also directed the High Court to decide the matter expeditiously.
Law Points
- Power of State to form SIT
- Consent for CBI investigation
- Interim stay without application of mind
- Prima facie case for stay
- Balance of convenience



