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2026 Supreme(Online)(Kar) 18882

THE HIGH COURT OF KARNATAKA
Hanchate Sanjeevkumar, J
K. Vishwanatharaju – Appellant
Versus
Lakshminarayana – Respondent
CRL.P No. 105428 of 2025



Advocates:
For the Appellants/Petitioners: Maqboolahamed M. Patil
For the Respondents: Abhishek Malipatil, HCGP

Criminal proceedings arising from a purely civil dispute, such as a breach of contract for recovery of money, absent the necessary criminal intent or ingredients of an offence, constitute an abuse of the process of court and are liable to be quashed under Section 482 of the Cr.P.C.

Headnote:(A) Code of Criminal Procedure, 1973 - Section 482 - Indian Penal Code, 1860 - Section 420, 504, 506 - Quashing of criminal proceedings - Dispute arising out of an oral agreement regarding share in agricultural sale proceeds - Essential ingredients of cheating under Section 420 IPC absent - Allegations purely civil in nature - Attempt to convert civil dispute into criminal litigation constitutes abuse of process of law.

Facts of the case:
The petitioner and respondent No.2 entered into an oral agreement to share 25% of the proceeds from the sale of pomegranate fruits. Following the sale for Rs.80 lakhs, the petitioner allegedly refused to pay the agreed share. Respondent No.2 filed a private complaint, and after an investigation, the police filed a 'B' final report stating no offence was committed. The Magistrate rejected the 'B' report and issued summons, which the petitioner challenged.

Findings of Court:
The court found that the complaint and witness statements revolved entirely around the breach of a promise and financial recovery. The court emphasized that no intent to cheat at the inception was demonstrated, and therefore, provisions under 420 IPC were not attracted. The court observed that the proceedings were an attempt to give a criminal color to a civil dispute, amounting to an abuse of the court's process.

Issues: Whether the criminal proceedings initiated based on a breach of contract constitute an abuse of the process of law and whether the elements of the alleged offences were satisfied.

Ratio Decidendi: Where a complaint purely pertains to a breach of contract or civil recovery and lacks the essential ingredients required to constitute criminal offences like cheating (Section 420 IPC), continuing such criminal proceedings is an abuse of the judicial process.

Result: Petition allowed; criminal proceedings quashed.

Table of Content
1. nature of the criminal petition and prayer for quashing. (Para 1 , 2)
2. factual background of the alleged pomegranate sale dispute and lower court proceedings. (Para 3 , 4 , 5 , 6)
3. submissions by parties regarding the civil nature of the transaction. (Para 7 , 8 , 9)
4. legal guidelines for invoking section 482 cr.p.c. as per the supreme court. (Para 10 , 11)
5. evaluation of whether the facts constitute criminal cheating or civil breach of contract. (Para 12 , 13 , 14 , 15 , 16 , 17 , 18)
6. final order allowing the petition and quashing proceedings. (Para 19)

THIS CRIMINAL PETITION IS FILED U/S.482 OF THE CODE OF CRIMINAL PROCEDURE, (U/S.528 OF BNSS), PRAYING TO CALL FOR RECORDS AND QUASHING THE ORDER DATED 19/08/2025 PASSED IN P.C.NO.13/2022 WHEREIN THE ‘B’ FINAL REPORT WAS REJECTED AND COGNIZANCE TAKEN FOR THE OFFENCE PUNISHABLE UNDER SECTION 420, 504 AND 506 OF IPC BY REGISTERING C.C.NO.285/2025 (HARGIBOMMANAHALLI CRIME NO.64/2022) AGAINST THE ACCUSED/PETITIONER AND QUASH THE ENTIRE CRIMINAL PROCEEDING IN C.C.NO. 285/2025 REGISTERED FOR THE OFFENCE UNDER SECTION 420, 504, 506 OF IPC PENDING ON THE FILE OF SENIOR CIVIL JUDGE AND JMFC, HAGARIBOMMANAHALLI, IN THE INTEREST OF JUSTICE AND EQUITY.

THIS PETITION COMING ON FOR ADMISSION, THIS DAY ORDER WAS MADE THEREIN AS UNDER:

CORAM: THE HON'BLE MR. JUSTICE HANCHATE SANJEEVKUMAR

ORAL ORDER

Though the petition is listed for admission, with the consent of both the learned counsel appearing on behalf of the parties, the matter is taken up for final disposal.

2. This criminal petition is filed by the petitioner/accused under Section 482 of Code of Criminal Procedure (Cr.P.C.)/528 of Bharatiya Nagarika Suraksha Sanhita, 2023 (BNSS), seeking to quash the entire criminal proceedings initiated against the petitioner/accused, as per the prayer made in the petition as below:

“PRAYER

WHEREFORE, the Hon’ble Court may kindly be pleased,

A. To call for records,

B. To quashing the order dated 19/08/2025 passed in PC No.13/2022wherein the ‘B’ Final Report was rejected and cognizance taken for the offence punishable under section 420, 504 and 506 of IPC by registering CC No.285/2025 (Hagaribommanahalli Crime No. 64/2022) against the Accused/Petitioner.

C. To quash the entire criminal proceeding in CC No. 285/2025 registered for the offence under section 420, 504, 506 of IPC pending on the file of Hon’ble Senior Civil Judge and JMFC, Hagaribommanahalli, in the interest of justice and equity.”

3. The petitioner is arrayed as accused in the complaint-FIR. It is the case of respondent No.2 that respondent No.2 and the petitioner/accused had been cultivating the field in which pomegranate fruits were grown and there was an oral agreement between the petitioner/accused and respondent No.2 to manage the filed and the pomegranate yield. After harvesting the pomegranate fruits, out of the total sale proceeds, it was agreed that 25% of the total sale proceeds would be given to respondent No.2. Accordingly, the petitioner/accused had sold the pomegranate fruits grown on the field for Rs.80,00,000/-, but the petitioner/accused has not given 25% share to respondent No.2. Therefore, respondent No.2 has insisted that the petitioner/accused to give a share of 25% of the total sale proceeds, but the petitioner/accused has not given the 25% share to respondent No.2. Hence, with these allegations, respondent No.2 has lodged a private complaint before the learned Magistrate.

4. Upon referring of the same, the Police have started investigation and registered the FIR for the offences punishable under Sections 506, 504 and 420 of Indian Penal Code, 1860 (IPC). It is the case of respondent No.2 in the complaint that he had looked after the field and ensured that the pomegranate fruits matured with proper protection and care; therefore, respondent No.2 engaged and hired as labour, but he has not received the amount from the petitioner/accused as agreed as per the agreement. Hence, respondent No.2 has

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