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IN THE HIGH COURT OF JHARKHAND AT RANCHI
ANIL KUMAR CHOUDHARY
Mukesh Sao @ Mukesh Shaw, S/o. Vishwanath Shaw – Appellant
Versus
State of Jharkhand – Respondent
JUDGMENT :
Anil Kumar Choudhary, J.
Heard the parties.
2. This Criminal Miscellaneous Petition has been filed invoking the jurisdiction of this Court under Section 482 of the Code of Criminal Procedure with a prayer to quash and set aside the entire criminal proceeding including the order dated 04.08.2022 passed by learned Judicial Magistrate, Dhanbad in connection with C.P. Case No.3916 of 2019 whereby and where under the learned Judicial Magistrate, Dhanbad has found prima facie case to proceed against the petitioners and taken cognizance of the offences punishable under Sections 420/406 of the Indian Penal Code against the petitioners.
3. The allegation against the petitioners is that the petitioner no.1 took a friendly loan of Rs.13,15,000/- with a promise to repay the same once the loan which he had applied from the State Bank of India is sanctioned in his favour. The complainant after getting the information that the loan has been sanctioned in favour of the petitioner no.1 and the complainant approached for repayment of the loan which the petitioner no.1 has taken from the complainant. The petitioner no.1 issued 10 cheques, out of which 5 cheques were signed by him as proprietor
A mere inability to repay a loan does not amount to cheating unless there was deception from the inception of the transaction.
Inability to repay a loan does not constitute criminal cheating without evidence of fraudulent intent or deception at the transaction's inception.
A loan default does not constitute cheating unless there was fraudulent intention at the inception of the agreement, distinguishing civil disputes from criminal offenses.
The absence of initial deception or property entrustment negates offences of cheating and criminal breach of trust under IPC sections 420 and 406.
For offences under IPC Sections 420 and 406, there must be initial deception and property entrustment; lack of such elements results in quashing of proceedings.
Mere loan default does not amount to cheating under IPC unless fraudulent intent is proven from the inception of the transaction.
A breach of contract does not constitute cheating unless there is initial deception; mere non-payment does not amount to criminal breach of trust.
Breach of contract does not constitute cheating unless deception and dishonest intention at inception. Advance payment for property sale is not entrustment; mere non-execution of sale deed without mi....
A mere breach of contract does not constitute cheating or criminal breach of trust without evidence of initial deceptive intent or dishonest misappropriation.
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