Case: State Of Punjab  Vs. Inder Mohan Chopra

Respondent had made prayer that the FIR No. 152 dated 12.7.2002 registered under Section 36 of the Punjab Apartment and Property Regulations, 1995 (in short the ‘Regulation) at police station Sultanwind, Amritsar, should be quashed. The complaint was filed on the premises that the total area alleged to have sold was 1861.16 Sq. Yards which was jointly held by four real brothers and the individual shares comes to 465.29 Sq. Yards. It was alleged that the accused persons had sold joint family property by conveying land into an unauthorised colony in violation of the provisions of the Act and each one of them was therefore guilty of offence punishable under Section 36 of the Act read with Section 120 (B) of the Indian Penal Code, 1860 (in short the ‘IPC). The respondents in the petition filed before the High Court stated that the individual shares come below 465.29 sq. yards and, therefore, there was no violation. The stand of the appellant before the High Court was that by selling 1861.16 Sq. Yards in a joint Khasra to different purchasers, the accused person had violated the provisions of the Act and, therefore, they were rightly proceeded against. Reference was made under Section 2(k) of the Act which shows that the expression ‘Person includes a ‘company, firm, cooperative society, joint family and ‘body of persons whether incorporated or not. Therefore, it was pleaded that the joint holders are to be treated as one person in the eye of law in such prosecutions. The High Court accepted the stand of the respondents by holding that even if the property continued to be joint, it cannot be said that the venders had sold anything more than their respective shares.

Court's reasoning:
10. As noted above, the powers possessed by the High Court under Section 482 of the Code are very wide and the very plenitude of the power requires great caution in its exercise. Court must be careful to see that its decision in exercise of this power is based on sound principles. The inherent power should not be exercised to stifle a legitimate prosecution. High Court being the highest Court of a State should normally refrain from giving a prima facie decision in a case where the entire facts are incomplete and hazy, more so when the evidence has not been collected and produced before the Court and the issues involved, whether factual or legal, are of magnitude and cannot be seen in their true perspective without sufficient material. Of course, no hard and fast rule can be laid down in regard to cases in which the High Court will exercise its extraordinary jurisdiction of quashing the proceeding at any stage. (See: The Janata Dal etc. v. H.S. Chowdhary and others, etc. (AIR 1993 SC 892 ), Dr. Raghubir Saran v. State of Bihar and another (AIR 1964 SC 1 )). It would not be proper for the High Court to analyse the case of the complainant in the light of all probabilities in order to determine whether a conviction would be sustainable and on such premises, arrive at a conclusion that the proceedings are to be quashed. It would be erroneous to assess the material before it and conclude that the complaint cannot be proceeded with. In proceeding instituted on complaint, exercise of the inherent powers to quash the proceedings is called for only in a case where the complaint does not disclose any offence or is frivolous, vexatious or oppressive. If the allegations set out in the complaint do not constitute the offence of which cognizance has been taken by the Magistrate, it is open to the High Court to quash the same in exercise of the inherent powers under Section 482 of the Code. It is not, however, necessary that there should be meticulous analysis of the case before the trial to find out whether the case would end in conviction or acquittal. The complaint/F.I.R. has to be read as a whole. If it appears that on consideration of the allegations in the light of the statement made on oath of the complainant or disclosed in the F.I.R. that the ingredients of the offence or offences are disclosed and there is no material to show that the complaint/F.I.R. is mala fide, frivolous or vexatious, in that event there would be no justification for interference by the High Court. When an information is lodged at the police station and an offence is registered, then the mala fides of the informant would be of secondary importance. It is the material collected during the investigation and evidence led in Court which decides the fate of the accused person. The allegations of mala fides against the informant are of no consequence and cannot by itself be the basis for quashing the proceeding.