IMPORTANT POINT
The court emphasized the necessity of clubbing FIRs to ensure a fair trial and reduce judicial burden, affirming its discretion under the Rajasthan Co-operative Societies Act and Bharatiya Nagarik Suraksha Sanhita.

JUDGMENT :

(Arun Monga, J.)

1. Above titled two petitions are with common prayer seeking the clubbing of multiple FIRs registered against the petitioners at different police stations in State of Rajasthan. Allegations are mismanagement, embezzlement, and financial irregularities in conducting the affairs of registered society namely Creative Credit Corporation Society Limited (Society- for short). The petitioners/accused were at the helm of affairs of the society at the relevant time.

2. The FIRs have been registered on the complaint of the subsequent management of which the complainants are currently the executive members. It appears that almost each executive member has lodged an independent FIR based on similar facts and allegations at different police stations. More of it later.

3. Before adverting to the merits of the case, it would be apposite to have a look at the relevant facts leading to the institution of the present petitions. For convenience, the recitals and narrative herein is taken from S.B. Criminal Writ Petition No.1732/2023, which is as below:-

3.1. Creative Credit Cooperative Society was registered under the provisions of the Rajasthan Co-operative Societies Act about 17 years ago. It is governed as per its bye-laws framed as per the provisions of the Act. It has got a Board of Directors elected by its members. The Society is in business of accepting financial deposits contributed by its members, which money is in turn then utilized for lending to those of the members who seek loans as per the bye-laws.

3.2. On account of Covid-19, loanee members of the Society defaulted in serving the debts. All such loans thus turned into Non Performing Assets (NPA). In fact, during the Covid-19 period, under the orders passed by competent government authorities, the society was restrained from causing recovery of debts from its borrowers for 6 months. Resultantly, Society plunged into serious financial hardship and was unable to pay back to its depositors when they sought refund of their deposits. Approximately 159 criminal complaints were filed under Section 138 of the N.I. Act by the depositors/members of the society, which are sub judice. On the other hand, society has filed around 195 recovery proceedings against the borrowers which too are pending.

3.3. Since the Society was unable to pay the depositors/members, a General Meeting of the Members was called, wherein it was decided to liquidation of the Society.

3.4. The Society then filed a writ petition (SBCWP No.17943/2021) before this Court, wherein vide order dated 11.01.2022 directions were given to the Deputy Registrar, Cooperative Societies, to expeditiously decide the liquidation application filed by the Society. However, the liquidation application is still pending till date. In the meanwhile, the depositors/members of the Society lodged several FIRs against the petitioners, who were in the erstwhile management of the society at the relevant time.

4. In the aforesaid backdrop, I have heard the learned counsel for the petitioners as well as the learned Public Prosecutor and have perused the case file and gone through the nature of allegations contained in the different FIRs as enumerated in both the petitions.

5. My attention has been drawn to a judgment/order rendered in Vikram Singh v. State of Rajasthan, S.B. Criminal Writ Petition No. 1479/2023 dated 23.08.2024 by a coordinate Bench of this Court presided over by my learned brother Farzand Ali, J., wherein somewhat similar money dispute pertaining to another Society namely Sanjivani Credit Cooperative Society is involved. Relevant of the said judgment is reproduced hereinbelow:-

“23. While considering the rights of the accused, this Court also needs to consider a smooth and flawless trial, preventing errors in the criminal proceedings in every corner. If, in any case, the present situation sustains, it shall result in a miscarriage of justice. Conducting so many trials simultaneously as well as investigations at the