A bank's loan secured against a vehicle must be legally acknowledged to retain rights over the vehicle's custody if subsequent ownership changes occur without its consent.

JUDGEMENT

IN THE HIGH COURT OF GUJARAT AT AHMEDABAD CRIMINAL REVISION APPLICATION No. 917 of 2005 For Approval and Signature: HONOURABLE MR.JUSTICE RAVI R.TRIPATHI ========================================================= 1 Whether Reporters of Local Papers may be allowed to see the judgment ? 2 To be referred to the Reporter or not ? 3 Whether their Lordships wish to see the fair copy of the judgment ? 4 Whether this case involves a substantial question of law as to the interpretation of the constitution of India, 1950 or any order made thereunder ? 5 Whether it is to be circulated to the civil judge ? ========================================================= STANDARD CHARTERED BANK - Applicant(s) Versus DHANANJAY JAGDISHCHANDRA GOR & 1 - Respondent(s) ========================================================= Appearance : MR CHINTAN R. ABICHANDANI for Applicant(s) : 1,MR CR ABICHANDANI for Applicant(s) : 1, MR SHAKEEL A QURESHI for Respondent(s) : 1, MR.A.J. DESAI, ADDL. PUBLIC PROSECUTOR for Respondent(s) : 2, ========================================================= CORAM : HONOURABLE MR.JUSTICE RAVI R.TRIPATHI Date : 03/10/2006 ORAL JUDGMENT Standard Chartered Bank, through its authorised person-Shri Sanjay Patil is before this Court. The 2/12 JUDGMENT petitioner-Bank is aggrieved by an order passed by the learned Presiding Officer, 8th Fast Track Court, Surat in Criminal Revision Application No.74 of 2005 dated 28th October 2005.

In Criminal Revision Application No.74 of 2005, the learned Judge was pleased to quash and set aside the order passed in Muddamal Application No.101 of 2005 by the learned In-charge Judicial Magistrate (First Class), 3rd Court. The learned Judge was pleased to order that on a personal bond of Rs.1.50 lakhs and surety of the like amount the Muddamal-Maruti Zen bearing registration No.GJ-5-AG-7407 (Chasis No.447687, Engine No.436725), which is given new number GJ 17-C-5337 be given to the opponent-Dhananjay Jagdishchandra Gor as interim custody.

The learned Judge was pleased to provide for conditions, namely, 'without prior permission of the Court the vehicle should not be sold, mortgaged, gifted, assigned or in any manner transferred', 'that the Muddamal vehicle shall be produced before the Court as and when directed at one's own cost without any delay'.

2. The case of the petitioner-Standard Chartered Bank is that it gave loan of Rs.2.51 lakhs to one, Rajiv H. 3/12 JUDGMENT Chimnani for purchase of the aforesaid vehicle repayable in monthly instalments. As the said loan amount was not paid, the Bank filed an F.I.R. Registered as C.R. No.I- 208 of 2002 at Athwa Line Police Station, Surat. During the course of the investigation, possession of the vehicle was taken from the present respondent-Dhananjay Jagdishchandra Gor. Thereafter, without calling the complainant-the financier/ petitioner- Bank, the learned JM(FC) ordered to give custody of the vehicle to respondent no.1. This order was challenged before this Court in Criminal Revision Application No.218 of 2004 (sic., 280 of 2004). This Court remanded the matter for fresh hearing by order dated 22.02.2005, after making observations that the applicant Bank had released huge amount towards the said loan and the same was not disputed, it was also mentioned that the most affected party was the Bank.

At the time of hearing the matter afresh, the petitioner as well as respondent no.1 were heard. The learned