Criminal proceedings for non-payment of dues cannot be sustained when the dispute arises from business losses rather than initial dishonest intention. Absent specific allegations of criminal conduct and the involvement of the corporate entity, company officers cannot be held liable for civil transactional failures.

By the Court:- Heard the parties.

2. Since all these three Criminal Miscellaneous Petitions have been filed in respect of similar allegations and two of them being the cases – complaint; out of which, Cr.M.P. No.835 of 2020 has arisen and the complaint; out of which, Cr.M.P. No.734 of 2018 has arisen being filed by the same complainant against the petitioners. Hence, all these three Criminal Miscellaneous Petitions are disposed of by this common judgment.

3. The brief facts of the case is that Cr.M.P. No.835 of 2020 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 and also the order taking cognizance dated 07.01.2020 passed in C.P. Case No.1199 of 2018 by the learned Judicial Magistrate-1st Class, Bokaro whereby and where under the learned Judicial Magistrate-1st Class, Bokaro has found prima facie case for the offences punishable under Sections 406, 419 of the Indian Penal Code.

4. Cr.M.P. No.734 of 2018 invoking the jurisdiction of this Court under Section 482 of the Code of Criminal Procedure has been filed with the prayer to quash the entire criminal proceedings and also the order taking cognizance dated 30.11.2017 passed in C.P. No.640 of 2017 by the learned Judicial Magistrate-1st Class, Bokaro whereby and where under the learned Judicial Magistrate-1st Class, Bokaro has found prima facie case for the offences punishable under Section 406 of the Indian Penal Code.

5. Cr.M.P. No.944 of 2020 invoking the jurisdiction of this Court under Section 482 of the Code of Criminal Procedure has been filed with the prayer to quash the entire criminal proceedings and also the order taking cognizance dated 23.09.2019 passed in C.P. No.1198 of 2018 by the learned Judicial Magistrate-1st Class, Bokaro whereby and where under the learned Judicial Magistrate-1st Class, Bokaro has found prima facie case for the offences punishable under Sections 406, 420, 467 and 471 of the Indian Penal Code.

6. The allegation in all the three complaints is that the period in respect of which Complaint Case No.1199 of 2018 was filed, relates to about the month of May, 2014 and though the PF, ESI Contribution of the complainant was deducted, the same was not deposited with the concerned authority. There is further allegation against the petitioners that the house, canteen, education, money and other accounts were also deducted but were kept by the petitioners. When the complainants demanded their money, false promise was given to them but money was not paid to them. There was settlement between the parties on several occasions but the same was not honoured. There is also further allegation that the settlement paper was corrected by applying Whitener. The complainant of Complaint Case No.1199 of 2018 and Complaint Case No.640 of 2017 claims to be the permanent employee of the company, while the petitioner No.1 has been described as the Director of M/s Eastern Neptha Chemicals Private Limited. It has not been mentioned as to how the petitioner No.4 of Cr.M.P. No.835 of 2020 is associated with the said company and the petitioners No.2 and 3 are described as the Managers of the said company. In Complaint Case No.640 of 2017, the petitioner No.1 has been described as the Director and the petitioners No.2 and 3 have been described as the Managers of the said company. The period involving Complaint Case N