WP(Crl.) No.928/2007 Page 1 of 18The petitioner nos.1 and 2 and the complainant one Hari Mohan Bansal, were the Directors of a company by the name of HMD Technology Ltd. There were some disputes, regarding management and the financial issues, between the complainant and the petitioners.This resulted in registration of the aforesaid FIR.In terms of the said amicable and peaceful settlement, all the past, present disputes /litigation were agreed to be settled on the following terms and conditions:-"1) That the second party agrees to pay to the first party (First party is the complainant and the Second party is the petitioners) an amount of `30,00,000/- (Rupees Thirty Lacs) in favour of M/s HMD Technologies Ltd., in full and final settlement of all dues and liabilities that may have arisen against the second party.It is hereby agreed that henceforth, after having received the amount above amount of `30,00,000/-, the first part shall have no WP(Crl.) No.928/2007 Page 2 of 18 claim charge, lien and/or demand against the second party.The abovesaid amount of `30,00,000/- will be paid to the first party as follows:-WP(Crl.) No.928/2007 Page 2 of 18A) Rs.10 Lacs by way of cheque within 20 days from the date of present agreement.Details of the cheques issued by the second party is given in annexure A to this agreement.The second party undertakes that all the cheques issued by them will be honouored on presentation for encashment by the first party.That, second party agrees to transfer their entire share holdings of HMD Technologies Ltd. held by second party in the name of M/s Shanti Deep Constructions Pvt. Ltd. and M/s Raf Steels pvt.Ltd. to the first party at the time of signing of this agreement and the amount of consideration in respect of share purchase agreement is set off or adjusted within the settled amount amicably arrived at between both the party.The second party will set off the unsecured loan `8,04,168/-in the name of M/s Shri Hans Energy System Pvt. Ltd. and share application money of `13,18,770/- in the name of M/s Shanti Deep Constructions Pvt. Ltd., `5,00,000/- in the name of M/s Akanksha Telecommunication and `10,00,000/- in the name of Bsskay Communication i.e. total amounting of `36,85,938/- stands WP(Crl.) No.928/2007 Page 3 of 18 adjusted/setoff.The set off so affected shall be full and final settlement of the dues against the unsecured loan and share application money of the second party shown as outstanding in the books of accounts of M/s HMD Technologies Ltd. The second party shall not claim any amount from M/s HMD Technologies Ltd. for the aforesaid unsecured loan and share application money at any point of time in future.WP(Crl.) No.928/2007 Page 3 of 18The HMD Technologies Ltd. had availed a financial assistance, from the State Bank of Bikaner and Jaipur, Safdarjung Enclave Branch, New Delhi and the first and the second parties had furnished a personal guarantee against the working capital loan and term loan or any other financial assistance for and on behalf of the company as security for the financial aid so received from the said bank or any other bank.It is now hereby agreed between the parties hereto that after encashing all the cheques details of which is given in annexure A the totaling of `30 lacs, and assured by the first party, that the first party undertakes to approach the said bank to have the personal guarantee, furnished by the second party be released.Further during the pendency of installments if any liability arises against the second party the first party indemnifies to resolve the same.That after encashing all the cheques details of which is given in annexure A the totaling of `30 lacs, the first party WP(Crl.) No.928/2007 Page 4 of 18 undertakes to make a no objection statement to quashing of FIR no.52/2006 P.S. Preet Vihar which will be filed by the second party by way of a petition u/S 482 Cr.P.C. and the first party shall forfeit its right to prosecute the second party in the FIR.In case this agreement fails, the first party shall take appropriate course of the law to prosecute the second party.WP(Crl.) No.928/2007 Page 4 of 18That after the receipt of `30 lacs, the first party shall take necessary steps, indemnify and shall fully co-ordinate and co-operate with the second party for discharging the second party from the various criminal complaints filed under section 138 of the Negotiable Instruments Act by creditors of M/s HMD Technologies Ltd.The second party will supply their DIN No. to the first party for filing Form 32 to the ROC.That on execution of this agreement the share holding agreement of dated 15.11.2002 stand terminated between the parties."WP(Crl.) No.928/2007 Page 6 of 18This is a petition filed by the petitioners under Section 482 Cr.P.C. for quashing of FIR No.52/2006, under WP(Crl.) No.928/2007 Page 1 of 18 Section 406/420 IPC registered by P.S. Preet Vihar, Delhi.That the first party shall issue a discharge certificate i.e. discharge from all liabilities past and future of the company i.e. M/s HMD Technologies Ltd. in favour of second party.That the first party on signing of this agreement shall appear before the Honble High Court of Delhi and apprise the court about the settlement of agreement among them.The first party shall make appropriate statement for the grant of permanent bail of the second party and Mrs. Leela Pilania in the captioned FIR.The first party shall assist the second party subject to the fulfillment of this agreement.In case the agreement fails the first party WP(Crl.) No.928/2007 Page 5 of 18 reserve its right to approach the Honble High Court for the cancellation of the bail.That the second party on signing of this agreement shall withdraw the Arbitration Petition No.OMP434/2006 and AA No.477/2006 pending before the Honble High Court of Delhi at New Delhi.In case this agreement fails the second party reserve its right to continue with the arbitration application or any other legal recourse.That upon signing of this agreement Mr.K.K.Pilania, Mr.A.K.Pilania, Mr.WP(Crl.) No.928/2007 Page 9 of 18As against this, the learned counsel for the respondent no.2/complainant has vehemently opposed the quashing of the FIR on the ground that the petitioners have not complied with the terms and conditions of the settlement agreement inasmuch as neither they have signed the resignation letter nor they have signed the other requisite forms and consequently, the petitioners have not fulfilled their obligations under the settlement agreement and therefore, the aforesaid FIR cannot be quashed.In this regard, the learned counsel for the respondent no.2/complainant has placed reliance on the judgment titled Sushil Suri Vs.The petitioners had also in terms of the settlement agreement withdrawn the Arbitration matters which were initiated against the respondent no.2/complainant.After having received the said benefit, it is not open to the respondent no.2/complainant to urge that the FIR may not be quashed on the ground that the offences u/S 468/471 IPC are non-compoundable offences.

Sections cited: Section 420 in The Indian Penal Code, Section 471 in The Indian Penal Code, Section 468 in The Indian Penal Code, Section 406 in The Indian Penal Code