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1998 Supreme(Ori) 428
IN THE HIGH COURT OF ORISSA
S.C. Datta, J.
ASHOK KUMAR DUBRIWAL - APPELLANT
Versus
RASHMI RANJAN MOHAPATRA AND OTHERS - RESPONDENT
Criminal Miscellaneous Case No. 611 of 1994
Decided On : 05-05-1998
L. Pangari, B. Jena, S. Das and S.N. Sukla, for the Appellant; M. Kanungo, L. Kanungo, S. Das and D. Pradhan, for the Respondent
A dispute between parties that is purely civil in nature cannot be the subject of criminal proceedings.
Headnote:
{'KEYWORD': 'Quashing of Criminal Proceedings', 'SUBJECT': 'Abuse of Process of Court', 'ACT SECTION LIST': 'Section 401, 482 Cr. P.C.', 'SUMMARY': 'Quashing of criminal proceedings initiated against the petitioner, a managing director of a finance company, for alleged forgery and cheating in relation to a hire purchase agreement. The court held that the dispute between the parties was purely civil in nature and that the initiation of criminal proceedings was an abuse of process.'}
Fact of the Case:
The petitioner, a managing director of a finance company, was accused of forgery and cheating in relation to a hire purchase agreement. The complainant alleged that the petitioner had obtained his signature on blank papers and used those papers to create a forged document to seize the complainant's bus. The petitioner denied the allegations and argued that the dispute was purely civil in nature.
Finding of the Court:
The court found that the complainant's allegations were not credible and that the dispute between the parties was purely civil in nature. The court also found that the initiation of criminal proceedings was an abuse of process.
Issues: Whether the dispute between the parties was purely civil in nature.
Ratio Decidendi: The court held that the dispute between the parties was purely civil in nature and that the initiation of criminal proceedings was an abuse of process. The court relied on the fact that the complainant had admitted to signing the hire purchase agreement and that the petitioner had provided evidence of the complainant's default on the loan.
Final Decision: The court quashed the criminal proceedings against the petitioner.
JUDGMENT :
S.C. Datta, J. - This is an application u/s 401 read with Section 482 Cr. P.C., praying for setting aside order dated 2-11-93 passed by the learned Sub-divisional Judicial Magistrate, Khurda taking cognizance of the offence under Sections 468 and 471, I.P. C. against the Petitioner and another. The Petitioner has also prayed for quashing the order dated 18-2-1994 whereby the learned Magistrate rejected the prayer of the Petitioner to reconsider the order dated 2-11-93 taking cognizance of the offence under Sections 468 and 471, I.P. C..
2. The fact of the case may be shortly stated as follows. The Petitioner is the Managing Director of M/s. United Credit Limited (for short 'the creditor') and carries on bussiness of lease financing and hire purchase and is a reputed financier in the Country. The said M/s. United Credit Limited has financed for a Canter Bus bearing Registration No. OR-05-8591 under a hire purchase agreement executed between M/s. United Credit Limited and opposite party No. 1 in accordance with the term and conditions contained in the said agreement. As per the hire purchase agreement. M/s. United Credit Limited are the owners and the opposite party No. 1 is the hirer of the said vehicle. It was stipulated in the agreement that opposite party No. 1 shall pay monthly instalment of Rs. 14,606/- by 25th of every month.
The entire dues with interest and other charges were required to be liquidated by 30 monthly instalments. The parties have agreed that if any monthly hire charges or part thereof or any other amount due against the hirer is in arrears and left unpaid for a period of seven days after the date when it becomes payable. The owner may with or without metion to the hirer terminte the contract of hiring and forthwith take possession of the vehicle. There was an, arbitration agreement to the effect that all disputes arising out of the contract of hire or concerning the said bus shall be referred for arbitration.
3. In pursuance of the said agreement, opposite party No. 1 took the bus on hire from M/s. United Credit Limited, used the same as a stage-carriage and paid Rs. 14,600/- on 6-4-1992 by Demand Draft No. 801838 towards first instalment and defaulted in making payment of subsequent instalments. Thereupon, M/s. United Credit Limited called upon the opposite party No. 1 by a letter through their Advocate to pay all the dues but in spite of the service of the said letter, the opposite party No. 1 failed to pay the arrear instalments but paid a sum of Rs. 14,600/- only on 14-7-1993 by another demand draft. In the meantime, the creditor terminated the contract of hire purchase and moved an application before the City Civil Court Calcutta for appointment for a Receiver for taking possession of the said vehicle and the latter by order dated 11-3-1993, appointed a Receiver for taking possession of the vehicle. In accordance with the order of the City Civil Court at Calcutta, the Agent of the Receiver took possession of the said vehicle at Rasulgarh chhak after preparing necessary inventories in presence of and with the help of Mancheswar Police-station, Bhubaneswar.
4. On coming to know about the seizure of the vehicle,the opposite parties filed a complaint case bearing No. I.C.C. Case No. 142/93 under Sections 191, 192, 193, 463 and 464 of the Indian Penal Code in the Court of the Sub-divisional Judicial Magistrate, Khurda against the present Petitioner and one P.S. Guru alleging that the said P.S. Guru had gone to the residence of the complainant Nos. 1 and 2 and attained their signatures on some blank papers stating that their signatures were necessary for giving delivery of the vehicle. The complainant Nos. 1 and 2 signed some documents in good faith. While they were plying the Bus the same was seized by the Inspector-in-charge, Mancheswar, P.S. Rasulgarh. The complainant alleged in the complaint petition that the said agreement is a forged one created to fraudalently obtain an order from the Calcutta
