Allowed

Rakesh Bhushan & Ors. v. State of Haryana & Anr.

Punjab & Haryana HC4 Aug 2009CRM-M/20080/2009

Case brief

AI extract

What is this about?

Petitioners sought quashing of an FIR alleging cheque fraud arising from a business dispute. The High Court allowed the petition, relying on a prior larger bench judgment, to quash the FIR and all consequential proceedings following a valid compromise entered into by the parties.

What did the court decide?

The FIR No. 99 dated 04.02.2007 and all consequential proceedings arising therefrom are quashed.

Rakesh Bhushan & Ors. Vs State of… — Contract and Commercial Disputes | Punjab & Haryana HC (2009)

¶1

IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH

¶2

Criminal Misc. No. M-20080 of 2009 (O/M). Date of Decision : August 04, 2009.

¶3

Rakesh Bhushan and others.

¶4

...... Petitioners.

¶5

Versus.

¶6

State of Haryana, and another.

¶7

..... Respondents.

¶8

CORAM: HON'BLE MR. JUSTICE AUGUSTINE GEORGE MASIH.

¶9

Present:Mr. R. Kartikeya, Advocate, for Mr. Sanjiv Bansal, Advocate, for the petitioners.

¶10

Mr. Yash Pal Malik, A.A.G. Haryana, A.A.G. Punjab, for the respondent-State.

¶11

Mr. Tushant Deep Garg, Advocate, for the respondent No. 2.

¶12

AUGUSTINE GEORGE MASIH, J. (ORAL).

¶13

The present petition is for quashing of F.I.R. No. 99, dated 04.02.2007 under Section 420, 419, 467, 468, 471, 120-B I.P.C. registered at Police Station Sadar, Hissar, and all consequential proceedings arising therefrom, on the basis of a compromise dated 30.06.2009 (Annexure-P-2), which has been entered into between the parties.

¶14

Counsel for the petitioners contends that the present F.I.R. was lodged by the respondent-Company against the petitioners primarily on the basis of some misunderstanding in business transaction between the parties, which was monetary in nature. Now, the dispute has been resolved between

¶15

Criminal Misc. No. M-20080 of 2009.

¶16

-2-

¶17

the parties and the complainant is fully satisfied and the claim made therein also stands satisfied. He on this basis prays for quashing of the present F.I.R.

¶18

Upon notice having been issued, reply by way of short affidavit of Shri R.P. Jindal, Executive Director, M/s J.S.L. Ltd., O.P. Jindal Marg, Hisar-respondent No. 2 has been filed in the Court, according to which the factum of compromise dated 30.06.2009, has been admitted and it has further been stated that the Company has no objection in case the F.I.R. in question and all consequential proceedings arising therefrom are quashed.

¶19

Counsel for the respondent No. 2-complainant has placed on record the certified copy of Resolution passed in the meeting of Board of Directors held on 01.08.2003, wherein Shri R.P. Jindal, Executive Director was authorised to enter into compromise and take all steps on behalf of Company, and the same is taken on record. Counsel for the respondentCompany submits that on the basis of said Resolution, the present compromise has been entered into between the parties and, therefore, the F.I.R. in question be quashed alongwith all consequential proceedings.

¶20

In view of the above submissions of counsel for the parties and in view of the fact that primarily it was a business transaction, wherein some dispute had arisen between the parties and the parties have amicably settled their dispute, leading to the compromise dated 30.06.2009, which is appended as Annexure-P-2 with the petition and the affidavit filed to the petition, it would be in the interest of justice that the F.I.R. in question be quashed.

¶21

Reliance can be made upon the Larger Bench Judgment of this Court in the case Kulvinder Singh and others Versus State of Punjab and

¶22

Criminal Misc. No. M-20080 of 2009.

¶23

-3-

¶24

another 2007(3) R.C.R. (Criminal) 1052, while discussing the scope of quashing of prosecution on the basis of compromise, by this Court in exercise of powers under Section 482 Cr.P.C., even in non-compoundable offences, has held as under :-

¶25

“28. The compromise, in a modern society, is the sine qua non of harmony and orderly behaviour. It is the soul of justice and if the power under Section 482 of the Cr.P.C. is used to enhance such a compromise which, in turn, enhances the social amity and reduces friction, then it truly is “finest hour of justice”. Disputes which have their genesis in a matrimonial discord, landlord-tenant matters, commercial transactions and other such matters can safely be dealt with by the Court by exercising its powers under Section 482 of the Cr.P.C. in the event of a compromise, but this is not to say that the power is limited to such cases. There can never be any such rigid rule to prescribe the exercise of such power, especially in the absence of any premonitions to forecast and predict eventualities which the cause of justice may throw up during the course of a litigation.

¶26

29. The only inevitable conclusion from the above discussion is that there is no statutory bar under the Cr.P.C. which can affect the inherent power of this Court under Section 482. Further, the same cannot be limited to matrimonial cases alone and the Court has the wide power to quash the proceedings even in non-compoundable offences notwithstanding the bar under Section 320 of the Cr.P.C., in order to prevent the abuse of law and to secure the ends of justice.”

¶27

Therefore, in view of the discussion above, since the parties

¶28

have amicably settled the matter, which is otherwise in the interest of justice and appears to have been effected to promote peace and harmony amongst the parties, the instant petition is allowed. Consequently, impugned F.I.R.

¶29

Criminal Misc. No. M-20080 of 2009.

¶30

-4-

¶31

No. 99, dated 04.02.2007 under Section 420, 419, 467, 468, 471, 120-B I.P.C., registered at Police Station Sadar, Hissar, and all other consequential proceedings arising therefrom are quashed.

¶32

(AUGUSTINE GEORGE MASIH) JUDGE

¶33

August 04, 2009. sjks.

Rakesh Bhushan & Ors. v. State of Haryana & Anr.

Case brief

What is this about?

What did the court decide?

Rakesh Bhushan & Ors. v. State of Haryana & Anr.

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Cases cited

Statutes considered

Parties & counsel

Coram

Case details

Similar cases

Maan Singh Vs State of Punjab

Sarabjit Singh Vs I.O., D.R.I.

Harjeet Kaur Vs State of Punjab

Preet Brar Vs State of Punjab and Anr.

Neelam and Ors. Vs Vijay

Chander Mukhi Bhargav Vs State of Haryana