Earlier, the single bench had directed the government to take action against three officials of SIT, including its head Mathews, on the basis of a CBI report.
In his writ appeal challenging the single judge's direction, Mathews had contended there were sufficient reasons for the arrest of former ISRO scientist Nambi Narayanan and other accused in the case.
Referring to the CBI report, relied by Nambi Narayanan, the bench observed that the report of CBI is only an opinion.
"Government may consider or may not consider such opinion," the bench observed.
The bench also said the government's decision to drop action was in the light of the report of the state police chief. Right from the Chief Judicial Magistrate court to the Supreme Court, no action was recommended against SIT, the bench observed.
The subject matter of the case is a report sent to the state government by CBI alleging laspses in the investigation carried out by the members of SIT. Considering the report, and after getting the opinion of the state police chief, government had decided not to proceed with the case.
Challenging this, Nambi Narayanan had moved the court, seeking initiation of criminal and disciplinary action against Mathews and two retired Supertendents of police- Joshua and S Vijayan who were held responsible by CBI for his illegal arrest. The single judge's order was in favour of Nambi Narayanan.
The ISRO spy case had surfaced in 1994 when Narayanan, along with another top official of ISRO, two Maldivian women and a businessman, was arrested on espionage charges.
