Allowed

Vishal Chaudhary v. State of NCT of Delhi & Anr.

Delhi HC1 Nov 2025CRL.M.C./7250/2025

Case brief

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What is this about?

Single-judge High Court Delhi allowed a petition to quash an FIR registered for cheating and criminal misappropriation. Relying on settled law, the court observed that amicable settlement without coercion justified quashing the proceedings in the interest of justice, allowing costs to be deposited with State Legal Services Authority.

What did the court decide?

FIR No. 801/2022 and all consequential proceedings were quashed; petitioner to deposit Rs. 25,000 with State Legal Services Authority.

Vishal Chaudhary Vs State of NCT of Delhi & Anr. — Cheque Dishonour | Delhi HC (2025)

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$~01

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*** I� THE HIGH COURT OF DELHI AT �EW DELHI**

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% Date of decision: 01.11.2025

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- CRL.M.C. 7250/2025 & CRL.M.A. 30428/2025 EXEMPTION, CRL.M.A. 30427/2025 INTERIM RELIEF

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VISHAL CHAUDHARY. ....Petitioner Through: Ms. Sahiba Singh, Advocate. Petitioner through VC.

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versus

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STATE OF NCT OF DELHI & ANR. … Respondents Through: Ms. Kiran Bairwa, APP. SI Sargam, PS-Adarsh Nagar. Mr. Harshit Gupta, Mr. Dilip Garg, Advocate for complainant/R-2. Respondent No. 2 through VC.

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CORAM:HO�'BLE MR. JUSTICE RAVI�DER DUDEJA

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JUDGME�T(ORAL)

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RAVI�DER DUDEJA, J.

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This is a petition under Section 528 of the Bharatiya Nagarik Suraksha Sanhita, seeking quashing of FIR No. 801/2022, dated 07.08.2022, registered at P.S Adarsh Nagar, Delhi under Sections 406/420/467/468/471/120B IPC and all proceedings emanating therefrom on the basis of settlement between the parties.

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CRL.M.C. 7250/2025 Page 1 of 4

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Signature Not Verified Digitally Signed By:VAISHALI PRUTHI Signing Da te:0 3.11.2025 12:37:04

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The factual matrix giving rise to the instant case is that the respondent no. 2/complainant had supplied FMCG goods, including cigarettes and pan masala, worth ₹1,55,38,576/-.( Rupees One Crore Fifty Five Lakhs Thirty Eight Thousand Five Hundred Seventy Six Only) to petitioner who later defaulted on payments by fabricating and uploading fake GST invoices to create a fictitious liability against respondent no. 2. FIR No. 801/2022 was lodged at the instance of respondent no. 2 at PS Adarsh Nagar under sections 406/ 420/ 467/ 468/471/120B IPC against the petitioner.

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During the course of proceedings, the parties amicably resolved their disputes and the terms of settlement were written in the form of a Settlement Agreement dated 15.09.2025. It is submitted that petitioner no. 1 has paid the entire settlement amount of Rs. 75,00,000/- (Rupees Seventy Five Lac only) to respondent no. 2 as per the schedule in the settlement. Copy of the Settlement Agreement dated 15.09.2025 has been annexed as Annexure P-2.

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Parties have entered their appearance through VC with respective advocates, present physically before the Court. They have been identified by their respective counsels as well as by the Investigating Officer SI Sargam, from PS Adarsh Nagar.

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Respondent No. 2/ authorized representative confirms that the matter has been amicably settled with the petitioner without any force, fear, coercion and he has received the entire settlement amount and he

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CRL.M.C. 7250/2025 Page 2 of 4

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Signature Not Verified

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Digitally Signed By:VAISHALI PRUTHI Signing Da te:0 3.11.2025 12:37:04

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has no objection if the FIR No. 801/2022 is quashed against the Petitioner.

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In view of the settlement between the parties, learned Additional PP appearing for the State, also has no objection if the present FIR No. 801/2022 is quashed.

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In Gian Singh vs State of Punjab (2012) 10 SCC 303 , Hon’ble Supreme Court has recognized the need of amicable resolution of disputes by observing as under:-

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"61. In other words, the High Court must consider whether it would be unfair or contrary to the interest of justice to continue with the criminal proceedings or continuation of criminal proceedings would tantamount to abuse of process of law despite settlement and compromise between the victim and the wrongdoer and whether to secure the ends of justice, it is appropriate that criminal case is put to an end and if the answer to the above question(s) is in the affirmative, the High Court shall be well within its jurisdiction to quash the criminal proceedings."

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Further, it is settled that the inherent powers under section 482 of the Code are required to be exercised to secure the ends of justice or to prevent abuse of the process of any court. Further, the High Court can quash non-compoundable offences after considering the nature of the offence and the amicable settlement between the concerned parties. Reliance may be placed upon B.S. Joshi v. State of Haryana, (2003) 4 SCC 675.

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CRL.M.C. 7250/2025 Page 3 of 4

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Signature Not Verified Digitally Signed By:VAISHALI PRUTHI Signing Da te:0 3.11.2025 12:37:04

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In view of the above facts that the parties have amicably resolved their differences out of their own free will and without any coercion. Hence, it would be in the interest of justice, to quash the abovementioned FIR and the proceedings pursuant thereto.

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In the interest of justice, the petition is allowed, and the FIR No. 801/2022, dated 07.08.2022, registered at P.S Adarsh Nagar, Delhi under section 406/ 420/ 467/ 468/ 471/ 120B IPC and all the other consequential proceeding emanating therefrom is hereby quashed, subject to petitioner depositing Rs. 25,000/- as cost with Delhi State Legal Services Authority within a period of one month.

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Petition is allowed and disposed of accordingly.

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Pending application(s), if any, also stand disposed of.

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RAVI�DER DUDEJA, J �ovember 01, 2025 MA

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CRL.M.C. 7250/2025 Page 4 of 4

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Signature Not Verified

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Digitally Signed By:VAISHALI PRUTHI Signing Da te:0 3.11.2025 12:37:04

Vishal Chaudhary v. State of NCT of Delhi & Anr.

Case brief

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Vishal Chaudhary v. State of NCT of Delhi & Anr.

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