Disputes arising from financial transactions, lacking evidence of fraudulent intent, cannot suffice for charges of cheating or criminal breach of trust.

JUDGMENT :

AJAY KUMAR GUPTA, J.

1. The instant Criminal Revisional application has been preferred under Section 482 of the Code of Criminal Procedure, 1973 (in short ‘Cr.P.C.), by the petitioner seeking quashing of the proceeding being Arambagh P.S. Case No. 1066 of 2016 dated 11.11.2016 under Sections 406/420 of the Indian Penal Code corresponding to G.R. No. 2090 of 2016, pending before the Court of the Learned Additional Chief Judicial Magistrate at Arambagh, District – Hooghly.

FACTS OF THE CASE:

2. The brief facts, leading to the filing of this instant Criminal Revisional application, are that the petitioner runs a small business of selling chicken and poultry feed under the name and style of Loknath Feed Centre. The business is registered with Harinkhola–2 Gram Panchayat, and has a valid trade certificate issued in its name.

3. Opposite Party No. 2 is a supplier of chicken and poultry feed. The petitioner has been buying feed from him regularly since 2012, and both parties had a long and smooth business relationship.

4. The supplier usually supplied goods on credit, and the petitioner made payments regularly, in cash, by cheque, and through bank transfer, and the supplier gave receipts for the same.

5. During the period from 1^st April, 2013 to 31^st March, 2014, the total business transaction taken place between them was of Rs. 1,02,22,252/- out of this, the petitioner had paid an amount of Rs. 75,61,200/-, and the remaining amount was indicated in the supplier’s ledger as due.

6. On 19^th March, 2014, the supplier himself gave a 3% rebate (discount) on the balance amount, reducing the outstanding dues. This shows that the supplier accepted the accounts and payments.

7. Even after 2014, the business and payments continued regularly. The last payment was made on 12^th July 2016, which proves that there was no break in the business relationship.

8. Problems started when the supplier began using some security cheques given by the petitioner without informing him.

9. Suddenly, on 12^th November 2016, the police picked up the petitioner from his house at night without any reason or explanation, and without giving any notice. Later, the petitioner came to know that the supplier had filed a police complaint falsely claiming that an amount of ₹40 lakh was due for more than one year and that the petitioner had cheated the Opposite party No. 2.

10. Based on this complaint, Arambagh Police Station registered an FIR, being Arambagh Police Case No. 1066 of 2016, dated 11.11.2016, under Sections 406 and 420 of IPC (criminal breach of trust and cheating).

11. After completion of investigation, the investigating agency submitted a charge sheet being Charge Sheet No. 1027/2016 dated 18.11.2016, under Sections 406/420 of IPC against the petitioner. The petitioner was later released on bail by the Learned Court.

12. The petitioner contends that the claim of ₹40 lakh is completely false and frivolous. It is not linked to any specific bill and is clearly contradicted by bank statements and receipts, which indicate payments were made till July 2016.

13. Being aggrieved by and dissatisfied with the aforesaid illegal action of the police and proceedings being initiated by the opposite party no. 2 without any fault of the petitioner, the petitioner filed this revisional application praying for the aforesaid prayer.

SUBMISSION ON BEHALF OF THE PETITIONER: -

14. Learned counsel appearing on behalf of the petitioner submitted that whatever transactions had been made between the petitioner and the opposite party No.2 are commercial t