Breach of contract via delayed sub-standard supply not offences under Sections 406/420 IPC without initial deception or property entrustment.

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 the prayer to quash the entire criminal proceedings including the order taking cognizance dated 07.12.2022 passed by the learned Judicial Magistrate, Ranchi in connection with Complaint Case No. 6708 of 2021 whereby and where under the learned Judicial Magistrate, Ranchi found sufficient material to proceed against the petitioner for having committed the offences punishable under Sections 406 and 420 of the Indian Penal Code.

3. The brief fact of the case is that the petitioner approached the complainant to sell Infrared Thermometer Gun at the rate of Rs.3,250/- each plus tax if the order would be for 1000 pieces of thermometers. The complainant altogether in installments sent Rs.36,10,000/-to the petitioners and the thermometers were to be supplied before 29.04.2020 but the petitioners did not supply any Infrared Thermometer within the stipulated time of 29.04.2020 and supplied 200 pieces on 11.05.2020 but the same were worse than the products that were to be supplied and subsequently, also sent 250 pieces after the COVID-19 pandemic was over and by that time, the market value of the product went down substantially. Hence, the complainant could sell only 250 pieces of the product. These number of products received by the petitioners and sold by the petitioners is as per his statement under the solemn affirmation recorded in the case but as per the protest-cum-complaint petition, on 06.05.2020 the petitioners delivered 200 pieces of thermometer of sub-standard quality as though the complainant ordered for the product of Infrared Thermometer manufactured by Aditya Infotech Limited of CP-Med Brand but the product delivered was of Hored Brand. Later on, on 11.05.2020, the petitioners delivered 600 pieces of CP-Med Brand Thermometer Gun but in the meantime, several companies have flooded the market with their respective products and the price had gone down, therefore, the petitioners could sell only 250 pieces of the products and remaining of 350 pieces of Thermometer could not be sold. The complainant urged the petitioners to take back the same and return the price of the same but the petitioners-accused persons did not agree for the same. The complainant first lodged written report with Argora Police Station and basing upon which, Argora P.S. Case No. 354 of 2020 was registered. Police took up investigation of the case and after completion of the investigation, submitted Final Form as the dispute was of civil nature. Thereafter, the complainant filed protest-cum-complaint case and on the basis of the protest-cum-complaint case, the statement on solemn affirmation and the statement of the inquiry witnesses, the learned Judicial Magistrate, Ranchi found prima facie case for the said offences as already indicated above in the foregoing paragraphs of this judgement.

4. Learned counsel for the petitioners relies upon the judgment of the Hon’ble Supreme Court of India in the case of Uma Shankar Gopalika vs. State of Bihar & Another reported in (2005) 10 SCC 336, paragraph No.6 of which reads as under:-

”6. Xxxxx It is well settled that every breach of contract would not give rise to an offence of cheating and only in those cases breach of contract would amount to cheating where there was any deception played at the very inception. If the intention to cheat has developed later on,