Judgment :-

Dalveer Bhandari, J.

1. Leave granted.

2. This appeal is directed against the judgment and order dated 26.05.2008 passed by the High Court of Karnataka at Bangalore in Criminal Petition No.2625 of 2004.

3. Brief facts of the case are as under:-

The appellant, who was one of the Directors of R.P.S. Benefit Fund Ltd. submitted his resignation letter on 8.12.1997 which became effective from the date of filing of Form 32 (27.12.1997) with the Registrar of Companies. The said Form has been filed with this petition.

4. Respondent no.2 filed a complaint with the Indira Nagar Police Station, Bangalore, alleging:

- that RPS Benefit Fund had invited deposits from the public vide circular dated 06.12.1998 and that monies had been invested by the Petitioner and his wife in the Pensioner's Benefit Fund, pursuant to the approval of the scheme by the Reserve Bank of India;

- that the Company had issued letters on 18.05.1999 and 14.06.1999 to the investors not to present their interest warrants and that payments of interests would be made by August 1999;

- that the company had since closed its business and the amount due to the Respondent No.2 was about Rs.2,91,778/-;

5. The Respondent