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Issues: Whether the appellant's conviction for criminal breach of trust and allied offences could be sustained where the charge of conspiracy had failed and there was no direct or circumstantial evidence showing his personal involvement or knowledge of the alleged defalcations.
Analysis: The prosecution case rested substantially on the appellant's position as Chairman of the managing committee and on the inference that he should be liable for acts done by others. The charge of conspiracy having failed, that foundation disappeared. In a criminal case of this nature, mens rea could not be excluded, and the prosecution had to prove affirmative, direct, or circumstantial evidence connecting the appellant personally with the disputed transactions. Mere status as Chairman, routine signing of papers, or approval of tenders did not establish criminal liability in a vicarious sense. There was no evidence that he knew of the non-existent firms, the alleged misuse of amounts, or the missing oil engines, and the prosecution had not proved the case beyond reasonable doubt.
Conclusion: The conviction and sentences were unsustainable and were set aside; the appellant was acquitted.
Ratio Decidendi: In criminal proceedings, vicarious liability cannot be inferred merely from a person's office or position unless the prosecution proves beyond reasonable doubt that he was personally connected with the offence and possessed the requisite mens rea.