HON’BLE SRI JUSTICE B.SESHASAYANA REDDY CRIMINAL PETITION No. 3168 of 2007 ORDER: This petition has been filed U/Sec. 482 of Cr.P.C. with a prayer to quash the proceedings in Crime No. 200 of 2007 of Afzalgunj Police Station (wrongly mentioned as Cr.No. 1655 of 2007) registered for the offences punishable U/Sec. 406 and 420 r/w. 34 IPC. 2. The facts of the case in brief are that M.Narasimha Rao-2nd respondent herein and M.Mallaiah are brothers. They floated a company called M/s. Malson Paints and Chemicals Private Limited. The said Mallaiah died in the year 2003. His children, who are the petitioners 1 and 2 herein, and his wife, who is petitioner No.3 herein, became the shareholders of the company. The petitioner No.1 M.Srinivas Yadav is stated to be having 10% of the shareholding in the company. He executed a registered sale deed in respect of 1256 sq.yds of the company property in favour of one Ramesh. The said Ramesh is stated to be none other than the brother of the petitioners 1 and 2 and son of the petitioner No.3. Towards the sale consideration, cheques bearing Nos. 355906, 804275 and 084274 dated 10-03-2006 for an amount of Rs. 12,80,400/-, Rs.12,88,300/- and 12,88,300/- respectively drawn on Union Bank of India, Gowliguda Branch, Hyderabad were stated to be issued by A-1 to A3 herein respectively. The total sale consideration is Rs.38,65,000/-. The complainant got the cheques verified from the Bank and came to know that those cheques were never presented for encashment and thereby the sale consideration did not reach the accounts of the company. The complainant filed the said complaint alleging that the petitioners herein in collusion with the said Ramesh resorted to liquidate the property of the company. The complaint filed by the 2nd respondent herein came to be forwarded to the Station House Officer, Afzalgunj Police Station and thereupon the Station House Officer registered a case in crime No. 200 of 2007. Hence this application by the petitioners, who are A-1 to A3, with the prayer stated supra. 3. Heard the learned counsel appearing for the petitioners and the learned counsel appearing for the respondent No.2. 4. Learned counsel appearing for the petitioners submits that initiation of criminal proceedings in the given facts and circumstances of the case are not warranted and therefore, the proceedings in crime No. 200 of 2007 are liable to be quashed. Learned counsel also contends that certain civil suits are pending between the parties and pending adjudication of the dispute by the civil court, continuation of the criminal proceedings amounts to abuse of process of law. 5. Learned counsel appearing for the respondent No.2 submits that the 1st petitioner executed the sale deed in favour of his brother, namely, Ramesh and the sale deed indicates as if sale consideration has been paid by way of cheques and in fact, cheques were never presented to the bank for encashment and thereby no consideration has been paid for transfer of title in respect of 1256 sq.yds of land owned by the company. 6. For better understanding of the grievance of the defacto complainant, I deem it appropriate to refer para No. 7 of the complaint, which reads thus: “It is submitted that the brother of the complainant namely, M.Mallaiah expired in the year 2003 and after his demise, his children without intimating to the complainant and to grab the share of the complainant have sold a portion of the property by one M.Srinivas Yadav S/o late M.Mallaiah self styling himself as Managing Director of the company to one M.Ramesh S/o late M.Mallaiah i.e, to his own brother by executing a sale deed dated 10-03-2006 at Medchal to an extent of part of shed bearing Plot Nos. 56 part and 57 part admeasuring 1256 sq.yds with a plinth area of 2500 sq.ft. from out of the above mentioned property for a total sale consideration of Rs.38,65,000/-. Further the details of payments made by way of 1. Cheque No. 084274 dt. 10.03.2006 for Rs.12,88,300/- drawn on Union Bank of India, Gowliguda Branch, Hyderabad, 2. Cheque No. 084275 dt. 10- 03-2006 for Rs.12,88,300/- drawn on Union Bank of India, Gowliguda Branch, Hyderabad and 3. Cheque No. 355906 dt. 10-03-2006 for Rs.12,88,400/- drawn on Union Bank of India, Gowliguda Branch, Hyderabad were bogus and without paying single naya paisa, the sale deed has been registered.” 7. I have gone through the registered sale deed, copy of which has been placed on record. The petitioner No.1 claiming to be the Managing Director of the company executed a sale deed in favour of the said Ramesh, who is none other than his brother. Consideration is stated to have been paid by way of cheques, details of which are mentioned in the sale deed. The specific assertion of the respondent No.2 –complainant is that the cheques were never presented in the bank and no consideration was resceived by the company. The matter is still pending investigated and the assertions made by the complainant are required to be examined during investigation. Interdicting the investigation at this stage, in my considered opinion is not warranted in exercise of inherent powers U/Sec. 482 Cr.P.C.. 8. Accordingly, the criminal petition is dismissed. The interim stay granted on 30-04-2007 shall stand vacated. ____________ 08-07-2010 Mjl/* HON’BLE SRI JUSTICE B.SESHASAYANA REDDY CRIMINAL PETITION No. 3168 of 2007 Dated: 08-07-2010 Mjl/*