It is contended by learned counsel for the petitioners that the petitioners are officers of Mahindra and Mahindra Company, which is a registered company under the Companies Act and the said company entered into tripartite agreement with the first informant's firm namely, M/s Rajendra Auto Wheels Private Limited on 23.12.2014 of which, the respondent no.3 is the partner and the said firm was appointed as a franchisee of the petitioners' company whereby it was agreed that the respondent no.3 firm will sell the tractor of the petitioners company for which bank guarantee of Rs.50 lacs was initially given and when the business enhanced the said bank guarantee was also enhanced which was valid till 01.10.2017 and further when the business expanded, the said bank guarantee was again enhanced to the tune of Rs. 1,75,00,000/- Learned counsel further contends that when the payment of the petitioner's company was not made by the franchisee and substantial amount became due, the bank guarantee was invoked. It is further contended that first informant's firm also filed a civil suit no. 25 of 2017 in which no interim order was granted and in order to avoid recovery proceedings, the present proceedings has been drawn which is total misuse of the process of law and Court. Learned counsel further contends that the agreement is already on record which shows that the bank guarantee was given for the business transaction done by the respondent no.3 and therefore, initiation of the present prosecution is nothing but gross misuse of the process of law. Learned counsel has lastly contended that the matter is purely of contractual nature which has been dragged into criminal prosecution of the petitioners which is bad in law. He further submitted that apart from the bald allegations made in the F.I.R., which is a bundle of lies and product of malice, no credible evidence is forthcoming, even prima facie, indicating that any such incident had taken place, hence the impugned F. I. R. is liable to be quashed.
