IN IN IN THE HIGH COURT OF JUDICATURE AT BOMBAY THE HIGH COURT OF JUDICATURE AT BOMBAY THE HIGH COURT OF JUDICATURE AT BOMBAY CRIMINAL CRIMINAL CRIMINAL APPELLATE JURISDICTION APPELLATE JURISDICTION APPELLATE JURISDICTION CRIMINAL CRIMINAL CRIMINAL APPLICATION NO.2210 OF 2008. APPLICATION NO.2210 OF 2008. APPLICATION NO.2210 OF 2008. Prem Harish Mehra. ..Applicant. versus The State of Maharashtra & Anr. ..Respondents. .... Mr. Ranjeet M. Parmar, i/b. Sayaji D. Nangre, for the Applicant. Ms. Madhavi Tavanandi with Ms. R.H.Khan, i/b. M/s. Mulla & Mulla, for Respondent No.2. Mr.D.P.Adsule, APP, for the Respondent-State. .... CORAM CORAM CORAM : A.S. OKA, J. : A.S. OKA, J. : A.S. OKA, J. DATE DATE DATE : 30TH JULY,2008. : 30TH JULY,2008. : 30TH JULY,2008. P.C. 1. Rule. The learned APP waives service for the first respondent. The lerned Advocate appearing for the second respondent waives service. The prayer in this application under section 482 of the Code of Criminal Procedure, 1973 (hereinafter referred to as "the said Code"), is for quashing the proceedings of a criminal case on the basis of the first information report lodged at the instance of the second respondent. This offence alleged is under section 406 read with section 420 of the Indian Penal Code. 2. The case made out by the second respondent against the applicant is that initially the second respondent had good relationship with the applicant. - 2 - It is stated that when the second respondent was an employee of the Standard Industries Limited, the applicant used to visit the Company as buyer of textiles. According to the second respondent, in the year 1994, the applicant proposed that the second respondent and his colleague Mr. Desai should join him as partners of two Firms. According to the second respondent, the applicant proposed to form a new partnership Firm. The second respondent alleged that a new partnership Firm, M/s. Professional Textiles was formed and a premises was taken on monthly rental basis for running the business. Various allegations have been made by the second respondent against the applicant in connection with the business of the said Firm. The allegations are regarding the criminal breach of trust by the applicant. 3. In the application, it is pointed out that there was a civil suit filed by the second respondent against the applicant in relation to the dispute between the parties as regards the partnership Firm, M/s. Professional Textiles. It is pointed out that the applicant and the second respondent have resolved the dispute and a consent decree has been passed by this Court in the said suit. - 3 - 4. The learned counsel for the respondent has tendered an affidavit of second respondent on the last date. The paragraph nos. 3 and 4 of the said Affidavit reads thus :- "3. I say that in view of the consent terms, I have no objection if the said proceedings bearing C.C.No.1815/P/2000 arising out of C.R.No.53 of 1998 are quashed by this Hon’ble Court. I further say that the compounding application cannot be preferred before the Ld. Magistrate in view of bar of section 320 of Cr.P.C. 4. I, therefore, pray that the proceeding bearing C.C.No.1815/P/2000 arising out of C.R.No.53 of 1998 pending before the Ld. Addl. Chief Metropolitan Magistrate’s 19th Court, Esplanade, Mumbai against the Applicant be quashed and set aside." 5. Perusal of the material on record shows that the dispute between the parties was essentially a dispute over business transactions. The said dispute - 4 - lead to lodging of F.I.R. Now there is a complete settlement between the parties. 6. Now, the continuation of criminal proceeding will cause undue harassment to both the parties. In view of the settlement, no purpose will be served by continuing the criminal proceeding. 7. In my view, a case is made out for exercising power under section 482 of the said Code for quashing the proceeding. 8. Hence, I pass the following order :- (1) Rule is made absolute in terms of prayer clause (a). (2) Parties and the concerned Court to act upon an authenticated copy of this order. [ A.S.OKA, A.S.OKA, A.S.OKA, J.] J.] J.]