IN THE HIGH COURT OF JHARKHAND AT RANCHI
Sanjay Kumar Dwivedi, J.
Kanti Kumari, W/o. Samrendra Prasad, Ors. - Petitioners
Versus
The State of Jharkhand, Anr. - Opposite Parties
Cr. M.P. No. 3017 of 2018 with Cr. M.P. No. 2897 of 2018
Decided On : 26-09-2022
Criminal Proceedings - Non-Maintenance of Building - Criminal Misconduct - [Ekalavya Estate Pvt. Ltd.] - [Criminal Misconduct, Non-Maintenance of Building] - [Indian Penal Code, 1860 - Sections 415, 417, 420, 465, 468, 471, 406, 120B] - The court discussed the allegations of cheating, forgery, and criminal breach of trust under a criminal conspiracy, and the lack of maintenance of the building complex. The judgment highlighted the non-application of judicial mind in taking cognizance against certain petitioners and set aside the cognizance order, remitting the matter back to the lower court.
Fact of the Case:
The petitioners sought to quash criminal proceedings related to a complaint alleging cheating, forgery, and criminal breach of trust under a criminal conspiracy, and non-maintenance of a building complex.
Finding of the Court:
The court found non-application of judicial mind in taking cognizance against certain petitioners and set aside the cognizance order, remitting the matter back to the lower court.
Issues: The issues involved the allegations of criminal misconduct, non-maintenance of the building, and the application of judicial mind in taking cognizance against the petitioners.
Ratio Decidendi: The court's decision was based on the lack of application of judicial mind in taking cognizance against certain petitioners, leading to the setting aside of the cognizance order.
Final Decision: The cognizance order was set aside, and the matter was remitted back to the lower court for a fresh order in accordance with the law.
JUDGMENT :
1. Heard Mr. Rishav Kumar, learned counsel for the petitioners, Mr. Sanjay Kumar Srivastava, learned counsel for the State and Mr. Birendra Kumar, learned counsel for opposite party no.2.
2. In both the petitions, common questions of fact and law are involved and that is why both the petitions have been heard together with consent of the parties.
3. These petitions have been filed for quashing of entire criminal proceedings including the order dated 11.07.2018 passed in connection with Complaint Case No.1082 of 2018, pending in the court of the learned Judicial Magistrate, Ranchi.
4. The complaint case has been filed by opposite party no.2 alleging therein that the accused no.1 is a Sudo Managing Director of Ekalavya Estate Pvt. Ltd., Dipatoli, Pundag, Ranchi, but business in the name and style of Ekalavya Estate Pvt. Ltd. is being carried on by accused no.2 being a Government employee. The accused no.2 is running the business in the Benami of his wife, the accused no.1 to avoid any penal action by the Government against him. The accused no.1 being the Developer and Managing Director of Ekalavya Estate Pvt. Ltd., Ranchi entered into a development agreement with the land owner namely Gopichand Mahto, Ramchandra Mahto, Pusuwa Mahto, Mahendra Mahto and Likhu Mahto in respect to the land of R.S. Plot No.892, 893 (part) and 891 under Khata No.139 of village Pundag, Mouza Pundag, P.S. Jagarnathpur, District-Ranchi. In pursuance to the said development agreement, the accused nos. 1 and 2 on the assistance of accused nos. 3 to 8 hereof constructed the building complex comprising of G+9 over the said land. On the assurances and representation of the accused persons that they would provide all modern amenities including the lift of good quality (OTIS or KONE make), smokeless generator and one standby generator and all other modern amenities, the complainant and the other purchaser including the witnesses hereof paid to the accused persons substantial amount, but they have installed absolutely low quality of lift and other amenities and they have not installed generators. It was further alleged that the complainant asserts that by the false assurances and representation, the accused persons have cheated the complainant and other purchasers of the flats including the witnesses hereof and rendering the accused persons themselves liable for criminal prosecution by committing cheating, forgery and criminal breach of trust under the criminal conspiracy with each other with the purpose to illegal gain and put the complainant and the other purchasers including the witnesses hereof loss and damages. The accused persons promised that they would regularly and properly maintain the building complex and will attend to all effects which may crop up at any time in the flats and the building complex of Ekalavya Tower and on such assurances the accused persons have realized from the complainant and each of the other purchasers including the witnesses hereof Rs.54,000/-as onetime payment for three years maintenance and in this manner, the accused persons have realized from the complainant and other purchasers of the flat including the witnesses hereof crores of rupees, but no arrangement or provision has been made by the accused persons and they are not maintaining the building complex due to which the condition of the complex is every day deteriorating. The accused persons do not even attend to the defects or problem that often crop i.e. electricity, supply water, damage and plumber work etc. As per the terms of the agreement and the assurances made by the accused persons, there are so many deficiencies in the complex on their part which they are bound to remove. The accused persons have installed three lifts which are so bad quality that they do not function properly and due to that the users of the lift i.e. the complainant and the other purchasers including the witnesses hereof and their family members facing immense difficulties and someti
AI
The main legal point established in the judgment is the requirement for the application of judicial mind in taking cognizance of criminal proceedings.
A breach of contract does not give rise to criminal prosecution for cheating unless fraudulent or dishonest intention is shown at the time of the transaction.
The main legal point established in the judgment is that in cases involving fraudulent real estate transactions, the liability of directors of the companies involved is not automatic, and the nature ....
Once a forum is chosen, the parties are not allowed to choose a new forum, and the nature of the case should be considered before initiating criminal proceedings.
Abuse of process of law and the purely civil nature of a case can lead to the quashing of criminal proceedings.
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