Economic offences involving forgery and cheating cannot be quashed under CrPC Section 482 on compromise basis due to societal impact and public interest in prosecution.

JUDGMENT :
Rakesh Kainthla, Judge

The petitioners have filed the present petition for quashing of FIR No.106 of 2019, dated 23.07.2019, registered at Police Station Badsar, District Hamirpur, H.P., for the commission of offences punishable under Sections 420, 120-B, 467, 468, and 471 of the Indian Penal Code (IPC) and Sections 66 C and 66 D of the Information Technology Act (IT Act) based on the compromise.

2. It has been asserted that the matter has been compromised between the parties after the registration of the F.I.R. voluntarily and without any influence. The informant does not want to proceed further with the matter after the compromise. Hence, the petition.

3. Mr K.S. Daulta, learned counsel for the petitioners, submitted that the matter has been voluntarily compromised between the parties without any influence of any person. The informant does not want to proceed further after the compromise. Hence, he prayed that the present petition be allowed and the FIR be quashed based on the compromise between the parties.

4. Mr Lokender Kutlehria, learned Additional Advocate General, submitted that the petitioners are part of the organised gang who had obtained money from the informant by promising to deliver a Tata Safari or Rs. 12,80,000/-as prize money. Such offences are on the increase. The petitioners forged various documents of a reputed online seller to cheat the informant. Such offences have large repercussions on society and should not be quashed based on a compromise. Hence, he prayed that the present petition be dismissed.

5. I have given considerable thought to the submissions made at the bar and have gone through the records carefully.

6. It was laid down by the Hon’ble Supreme Court in Parbatbhai Aahir v. State of Gujarat (2017) 9 SCC 641 that a settlement between the offender and the victim in offences against society will not justify the quashing of the FIR. The offences punishable under Sections 467, 468 and 471 of the IPC involve the forgery of the document and such offences cannot be quashed under Section 482 of the Cr PC. It was observed:-

13. In State of Maharashtra v. Vikram Anantrai Doshi, (2014) 15 SCC 29: (2015) 4 SCC (Cri) 563, a Bench of two learned Judges of this Court explained the earlier decisions and the principles which must govern in deciding whether a criminal proceeding involving a non-compoundable offence should be quashed. In that case, the respondents were alleged to have obtained letters of credit from a bank in favour of fictitious entities. The charge sheet involved the offences under Sections 406, 420, 467, 468 and 471, read with Section 120-B of the Penal Code. Bogus beneficiary companies were alleged to have got them discounted by attaching fabricated bills. Mr Justice Dipak Misra (as the learned Chief Justice then was) emphasised that the case involved an allegation of forgery; hence, the Court was not dealing with a simple case where “the accused had borrowed money from a bank, to divert it elsewhere”. The Court held that the manner in which letters of credit were issued, and funds were siphoned off, had a foundation in criminal law (SCC p. 42, para 26)

“26. … availing of money from a nationalised bank in the manner, as alleged by the investigating agency, vividly exposes fiscal impurity and, in a way, financial fraud. The modus operandi, as narrated in the charge sheet, cannot be put in the compartment of an individual or personal wrong. It is a social wrong, and it has an immense societal impact. It is an accepted principle of handling finance that whenever there is manipulation and cleverly conceived contrivance to avail of these kinds of benefits,