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2018 Supreme(MP) 331

IN THE HIGH COURT OF MADHYA PRADESH
G. S. Ahluwalia, J.
Antim Dubey v. State of M. P. and another
Miscellaneous Criminal Case No. 10820 of 2018 (Gwalior);
Decided on 5.4.2018

Advocates:
Rajiv Jain for applicant; Dilip Singh Tomar for respondent No. 1/State.

Headnote:(1) Penal Code, 1860 -- S.406 -- not making payment of remaining consideration amount and constantly using property delivered by seller

       -- would certainly amount to criminal breach of trust because position of buyer would be that of trustee so long as he does not pay entire consideration amount. (2014)2 SCC 1 referred to. [Para 17

       (2) Sale of Goods Act, 1930 -- Ss.31,45 and 46 -- seller delivered property to buyer -- part of consideration amount not paid -- unpaid seller has lien over said property. [Para 17

       (3) Sale of Goods Act, 1930 -- Ss.4 and 5 -- Contract Act, 1872 -- S. 11 -- Penal Code, 1860 -- S. 406 -- nothing in Sale of Goods Act which prohibits juvenile to enter into transaction -- juvenile cannot say that contract is void therefore he cannot be criminally prosecuted for criminal breach of trust. [Para 17

        ¼1½ naM lafgrk] 1860 && /kkjk 406 && 'ks"k izfrdj jkf'k dk lank; ugha djuk rFkk foØsrk }kjk ifjnÙk laifÙk dk fujarj mi;ksx && fuf'pr :i ls vkijkf/kd U;klHkax dh dksfV esa vk,xk D;ksfd tc rd og laiw.kZ izfrdj jkf'k lanÙk ugha dj nsrk rc rd Øsrk dh fLFkfr U;klh dh gksxhA ¼2014½2 ,l lh lh 1 fufnZ"VA ¼iSjk 17

       ¼2½ eky foØ; vf/kfu;e] 1930 && /kkjk 31] 45 rFkk 46 && foØsrk us laifÙk Øsrk dks ifjnÙk dj nh && izfrdj jkf'k dk ,d va'k lanÙk ugha && vlaanÙk ugha && vlanÙk foØsrk dk mä laifÙk ij /kkj.kkf/kdkj gSA ¼iSjk 17

       ¼3½ eky foØ; vf/kfu;e] 1930 && /kkjk 4 rFkk 5 && lafonk vf/kfu;e] 1872 /kkjk 11 && naM lafgrk] 1860 && /kkjk 406 && eky foØ; vf/kfu;e esa ,slk dqN ugha tks fd'kksj dks laO;ogkj djus ls izfrfl) djrk gks && fd'kksj ;g ugha dg ldrk fd lafonk 'kwU; gS blfy, vkijkf/kd U;klHkax ds fy, mldk nkafMd vfHk;kstu ugha fd;k tk ldrkA ¼iSjk 17


       

ORDER

1. This application under section 482 of CrPC has been filed for quashing the FIR in Crime No. 463/2017 registered by Police Station Aron District Guna for the offence punishable under section 406 of IPC.

2. The necessary facts for the disposal of the present application, in short, are that the complainant Manish Sharma lodged a report that the applicant had entered into an agreement to purchase one “10 wheeler truck” bearing registration No. RJ11-GA-6251 for a consideration amount of Rs.13,75,000/-out of which Rs.5,85,000/- was paid to the complainant and the remaining amount of Rs.7,90,000/- was to be paid to Magma Finance Company by the applicant. The said agreement was executed in the presence of one Kalla Yadav and the present applicant took possession of the truck. Thereafter, the applicant neither paid the remaining amount to the Magma Finance Company nor has paid to the complainant. Even the truck was not got ensured and the fitness certificate was also not obtained and the applicant in an illegal manner is plying the truck. The complainant has sent various notices to the applicant to deposit the financed amount but he has not returned so. Thus, he has committed criminal breach of trust.

3. Challenging the FIR lodged by the complainant, it is submitted by the counsel for the applicant that the agreement is alleged to have been executed on 7.7.2014 and on that day, the applicant was minor. It is well established principle of law that any contract executed by a minor is void and on the basis of void contract, the applicant cannot be prosecuted. The applicant has also made a complaint to the Superintendent of Police, Guna in this regard on 26.12.2017. However, no steps have been taken.

4. Per contra, it is submitted by the counsel for the State that so far as the agreement by a minor is concerned, the criminal law does not grant any exemption to a minor in this regard. If the accused has misappropriated the funds or has committed a criminal breach of trust, then he can be prosecuted. The accused cannot claim any exemption from the criminal law.

5. Heard the learned counsel for the parties.

6. Counsel for the applicant has made a singular submission that as the applicant was juvenile on the date of execution of the contract, therefore, the contract by a minor is void. Thus, the applicant cannot be prosecuted on the basis of a void agreement.

7. It is the case of the complainant that the applicant had entered into an agreement to purchase the truck for a consideration amount of Rs.13,75,000/-, out of which Rs.5,85,000/- was paid and the applicant had agreed to pay the remaining amount of Rs.7,90,000/- to Magma Finance Company. It is alleged that the applicant has neither paid the said amount to the Magma Finance Company nor has paid the said amount to the present complainant, although the possession of the truck was taken by the applicant on the date of agreement itself. section 406 of IPC read as under :

“406. Punishment for criminal breach of trust.

Whoever commits criminal breach of trust shall be punished with imprisonment of either description for a term which may extend to three years, or with fine, or with both.”

8. Criminal breach of trust has been defined under section 405 of IPC, which reads as under :

“405. Criminal breach of trust.—

Whoever, being in any manner entrusted with property, or with any dominion over property, dishonestly misappropriates or converts to his own use that property, or dishonestly uses or disposes of that property in violation of any direction of law prescribing the mode in which such trust is to be discharged, or of any legal contract, express or implied, which he has made touching the discharge of such trust, or wilfully suffers any other person so to do, commits “criminal breach of trust”.

Explanation 1.—A person, being an employer of an establishment whether exempted under section 17 of the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952 (19 of 1952), or not









































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