This Criminal Petition is filed seeking to quash the proceedings in C.C. No. 184 of 2011 on the file of the Additional Judicial Magistrate of First Class, Amalapuram, East Godavari District.

2. The petitioners herein are A-1 and A-2, and the first respondent herein is the defacto complainant, in the above case.

3. The first respondent lodged a private complaint before the court below against the petitioners for the offences under Sections 409 and 420 IPC alleging as follows.

The complainant is proprietor of Subrahmanya Agro Products, Ambajipeta and doing business in coconuts and oils. A-1 is father of A-2, and both are businessmen in Guntur and Directors of Premier Tobacco Packers Private Limited, Potturu in Guntur District. On 18-3-2007, the accused offered their oil extraction plant in Potturu for lease and published the same in Eenadu news paper as follows:

"Extaction Plant for Job Work/Lease:

150 TP, Solvent Extraction plant (continuous) for edible oil cake/soya seed with soya preparatory, with this facilities Boiler 4 ton FBC Godown facility 30,000 sft, expellers 6 Nos. with 320 Kv Power"

Upon reading the publication, the complainant wrote letter for enquiry, and thereafter, the accused contacted the complainant at Ambajipeta by phone from Guntur and offered their extraction plaint is ready to use. On 6-5-2007, further discussions were held at complainant's officer at Ambajipeta. The accused represented themselves as Director of Multi crore business house as exporters by name Bommidala group in Guntur and surrounding areas and showed several proofs of their business through web sites, etc. They convinced the complainant that they would support him in all ways and he would get maximum profits under their guidance by running the extraction plant on lease. The accused promised and assured that the plant/extraction unit is in good running condition without any defects, and that the plant got all required licenses and permissions to run immediately, and that they undertook that their plant has got license to purchase hexane and they would supply/fill hexane whenever it was required for running the plant.

The accused offered on lease to the complainant for Rs. 20.00 lakhs per annum to be payable in instalments @ Rs. 5.00 lakhs at the end of each quarter. The complainant agreed for the same and paid Rs. 9,001/- as advance to the accused, and A-1 passed receipt dated 6-5-2007 in favour of the complainant therefore. After unloading the material, complainant tried to start the mill for extraction of oil. But, to surprise of the complainant, the plaint was not in running condition and it required heavy repairs and replacement of parts. When the complainant questioned the accused with regard to above, they represented that they would reimburse later cost of the parts and repairs, if paid by him during lease period, and regarding filling of hexane liquid, as fuel for the plant, the accused represented after long time that they did not have license to purchase and the complainant had to purchase the same from other plants with high cost.

The complainant incurred all the above expenses and finally started the plant and extracted oil from the plant. Accused locked the plant gates and demanded to pay Rs. 10.00 lakhs otherwise they would not allow him to take the extracted product. The complainant paid Rs. 10.00 lakhs to the accused, but, again, the accused demanded some more amount to release the material. As the plant was not in running condition and broke down several times, the complainant incurred huge expenses to purchase hexane liquid at every break down with high cost. For the aforesaid reasons, the complainant decided not to continue the lease or operation of running plant from 10-8-2007 onwards. He diverted further stocks from outside to another plant Rajagopal Oil Mills, Tadepalli and continued the work. But, the accused did not allow him to take away his material from the plant and harassed in several ways. In the month of October