State Of Goa vs Babu Thomas

The Supreme Court held that the sanction for prosecution under Section 19 of the Prevention of Corruption Act, 1988 must be granted by the competent authority, which in this case was the Board of Directors of Goa Shipyard Limited. The Court found that the sanction order issued by the Company Secretary was invalid as it lacked the necessary approval from the Board, thereby rendering the prosecution unsustainable. Consequently, the appeal by the State of Goa was dismissed, upholding the High Court's decision to quash the charges against the respondent.