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2007 Supreme(Pat) 274
PATNA HIGH COURT
Ghanshyam Prasad, J.
Raghu Nath Singh
Versus
State Of Bihar
Criminal Miscellaneous No. 26813 of 2006 ; 26597 of 2006 ; 26810 of 2006 ; 26812 of 2006 ;
Decided On : FEBRUARY 6, 2007
The court's decision was based on the admitted fact of cheque bouncing by the petitioners, leading to the rejection of the petitions seeking quashing of the criminal proceeding.
Headnote:
Criminal Proceeding - Quashing of Criminal Proceeding - Cheque Bouncing - Loan Repayment
Fact of the Case:
The petitioners, who are Managing Directors of a company, issued four cheques towards repayment of a loan to a Government Undertaking Corporation. The cheques were bounced due to insufficient funds, leading to the filing of criminal cases against the petitioners.
Finding of the Court:
The court found that the cognizance in all the four cases had been taken without any enquiry under Sec.202 Cr.P.C. However, considering the admitted fact that all the four cheques issued by the petitioners had been bounced, the court declined to interfere in the impugned order of cognizance.
Issues: The main issue was whether the court should quash the criminal proceeding and orders of cognizance in the four cases where the petitioners were being prosecuted for cheque bouncing and loan repayment.
Ratio Decidendi: The court's decision was influenced by the admitted fact that all the four cheques issued by the petitioners had been bounced, leading to the conclusion that interference in the impugned order of cognizance was not warranted.
Final Decision: The court rejected all four petitions seeking quashing of the criminal proceeding and orders of cognizance.
1. Heard.
2. In all the four applications, petitioners as well as opposite parties are same. In all the applications, petitioners have prayed for quashing of criminal proceeding as well as orders of cognizance passed by learned C.J.M., Patna in all complaint cases bearing Nos. 897(M)/05, 534 (M)/04, 994(M)/05 and 1402(M)/05 pending in the court of Shri M.Kumar, Shri P.G. Anal, Shri Bharat Tiwari and M.Kumar, Judicial Magistrate, Patna respectively.
3. In all the four cases, the petitioners are being prosecuted under Sections 420, 406 and 409 I.P.C. alongwith Sec.138 of the N.I. Act for bouncing of four different cheques issued by the petitioners in favour of the opposite party no.2 on different dates. Petitioners are Managing Directors of M/s Baidya Nath Chemical & Carbonisation Company Private Limited, Daltonganj whereas opposite party no.2 is a Government Undertaking Corporation. Petitioners took loan of Rs. 54.50 lacs in the year 1992 from the opposite party no.2. All the four cheques bearing nos. 797818 dated 15.2.2005, 97846 dated 30.1.2005, 978417 dated 15.2.2005 and 978419 dated 15.4.2005 were issued by the petitioners towards re-payment of loan in favour of opposite party no.2. Cheques were presented by the opposite party no.2 on different dates which all were bounced with endorcement "insufficient fund". Thereafter, all these four cases were lodged by the opposite party no.2.
4. Submission of the learned counsel for the petitioners is that the cognizance in all the four cases have been taken in mechanical manner without applying judicial mind and without any enquiry under Sec.202 Cr.P.C. However, facts stated above have not been controverted. The admitted fact is that all the four cheques issued by the petitioners have been bounced.
5. Therefore, in the facts and circumstances of the case as well as admitted position, I am not inclined to interfere in the impugned order of cognizance. Accordingly, all the four petitions are hereby rejected.
