IN THE HIGH COURT OF JUDICATURE AT PATNA Cr.Misc. No.18510 of 1999 SUDHAKAR SINHA, SON OF LATE DR. S.C. SINHA, MARKETING SUPERVISOR, INDIAN IMMUNOLOGICAL, MOHALLA PIRMOHANI, P.S. KADAMKUAN, DISTRICT- PATNA………………………………………. PETITIONER Versus 1. STATE OF BIHAR 2. M/S GILPA COMPANY THROUGH ITS MANAGER SHRI LAL MOHAN LAL RASTOGI, SON OF SHRI PURUSHOTTAM LAL RASTOGI HAVING ITS OFFICE AT VIDYA SHANTI COMPLEX NEAR BRIDGE, KHAGAUL ROAD, MITHAPUR, PATNA AND AZIZ PATH (GAURIA MATH),P.S. JAKKANPUR, DISTRICT- PATNA……………………………………….. OPP. PARTIES. ----------- 4 28-4-2010 Heard learned counsel for the petitioner and Mr. Lala Kailash Bihari Prasad, Sr. Counsel appearing for the State. 2. Although the name of counsel for opposite party no.2, the complainant appears in the daily cause list but nobody has appeared to oppose this quashing application. 3. The prayer made in this application filed under section 482 of the Code of Criminal Procedure is to quash the order of cognizance dated 10-3-1999 passed by the learned Judicial Magistrate, Patna in complaint case no. 717 ( C )/1998 relating to offences under sections 420,406 and 120 (B) of the Indian Penal Code. The petitioner has also prayed for quashing the entire criminal proceeding of the aforesaid complaint case on the ground that the allegations show dispute over accounting and demand of money by the complainant on the plea of loss etc. which are essentially demands of civil nature and lacking the essential ingredients of offence of breach of trust or cheating. Learned counsel for the petitioner has read out the entire allegations made in the petition of complaint contained in annexure-1. The allegations are only 2 to the effect that complainant is a business man having several types of business and the accused persons are Managing Director and Officers of the Indian Immunological, the unit of the National Dairy Development Board engaged in manufacture of veterinary, biological animal health product. 4. According to the complainant, he was appointed as consignment agent for the sale of products manufactured by the company represented by the accused persons and for such business as consignment agent an agreement was also entered into and security of Rs.1,25,000/- was deposited. It appears from the complaint petition that some differences arose between the parties particularly in the matters of accounting and the request of the complainant to adjust his claim of losses for goods returned was not accepted and instead of issuing a credit note of Rs.55856.92 paise in favour of the complainant, the accused persons did not continue business through the complainant and on this account he allegedly sustained loss and gave a notice to the accused persons to compensate him by paying Rs.14,64,262.58 paise along with interest at the rate of 24% and Rs.1000/- for the cost of legal expenses. According to the complainant under a conspiracy the accused persons started business with another firm, accused no.6 M/s Vijay Agriculture Implement and they did not pay the amount demanded through a notice. 5. On going through the allegations which have been noticed above, it is found that the dispute raised by the complainant is essentially a civil dispute involving claim of money for alleged loss in 3 business for which the accused persons have been blamed. The allegations lacked the essential ingredients of offences of breach of trust because apparently no property was entrusted by the complainant in favour of the accused persons nor there was any mis-appropriation of such property. Similarly the allegations do not disclose any deceitful or fraudulent or dishonest intention rather the allegations disclose a dispute over accounting leading to severance of relationship. In such circumstances, it would be an abuse of the process of the court in allowing the criminal prosecution against the petitioner Hence, the prayer made in the application is allowed. The criminal proceedings in question as well as the impugned order of cognizance are hereby quashed in respect of the petitioners. Naresh ( Shiva Kirti Singh, J.)