Back
IN THE HIGH COURT AT CALCUTTA
UDAY KUMAR
Sreelekha Ray – Appellant
Versus
Sarita Agarwal – Respondent
JUDGMENT :
UDAY KUMAR, J.
1. Invoking the inherent power conferred by Section 482 of the Code of Criminal Procedure, 1973 (Cr.P.C.), this Criminal Revisional Application challenges the continuance of criminal proceedings, being CN/1830 of 2022, pending against the Petitioners (Sreelekha Ray and Debayan Ray of M/s Vagabati Board and Paper Mill) for offences punishable under Sections 406 /418/420/120B/34 of the Indian Penal Code, 1860 ( IPC ), primarily on the ground that the underlying cause of action pertains strictly to a breach of contract and a commercial debt dispute, which has been maliciously dressed up as a criminal offense.
2. The core contention of the Petitioners is that the matter lacks the essential element of criminal intent (mens rea) required for IPC offenses, particularly Section 420 (Cheating). The dispute, initiated by the Opposite Party (Sarita Agarwal, M/s Balaji Adhesive), concerns the non-payment for a supply of chemical products valued at Rs. 49,560/-.The fundamental assertion of the Petitioners is that the underlying cause of action is strictly a breach of contract and a commercial debt dispute, which has been maliciously cloaked as a criminal offense, there
Criminal prosecution for breach of contract requires proof of mens rea; subsequent contradictory actions may establish potential dishonesty necessitating a trial.
Criminal proceedings cannot be quashed solely due to the existence of civil remedies; prima facie evidence of criminal offenses warrants trial.
Disputes arising from financial transactions, lacking evidence of fraudulent intent, cannot suffice for charges of cheating or criminal breach of trust.
The judgment established that not every breach of contract amounts to a criminal offence and emphasized the importance of the presence of deception and dishonesty at the inception of a transaction to....
No offence under Sections 406/420 IPC without deception at transaction inception or entrustment with dishonest misappropriation; business account disputes civil, not criminal; proceedings quashed und....
A commercial dispute cannot be criminalized under IPC sections unless the essential ingredients of the alleged offences are satisfied.
A breach of contract does not constitute cheating unless there is evidence of dishonest intent from the outset of the transaction.
An indispensable Tool for Legal Professionals, Endorsed by Various High Court and Judicial Officers
Please visit our Training & Support
Center or Contact Us for assistance
Scan Me!
India’s Legal research and Law Firm App, Download now!
For Daily Legal Updates, Join us on :
Back to top
