CHANDRAKANT CHHAGANLAL SHAH Vs. LAXMIDAS CHHAGANLAL SHAH

JUDGEMENT

(1.) By this petition under section 482 of the Criminal Procedure Code (Cri.P.C.) and Article 227 of the Constitution, the petitioner wants the quashing of a Magisterial direction under section 156(3) of the Cri.P.C.

(2.) Petitioner and respondent 1 are brothers having four more brothers, named Manmohandas, Navinchandra, Jaindas and Rasiklal. The business of the family was to trade in cloth. They were doing business under different names in which they and/or their sons and daughters were and are partners. The offices of all the firms were at 34, Navi Galli, Mulji, Jehta Market and 439/3, Kalbadevi Road, Bombay. In the latter half of 1986 disputes arose between the brothers and in September 1986, the brothers came to a settlement. This was that the Bank accounts of the six firms would be operated for the purpose of control of funds only by cheques drawn jointly by the petitioner-hereinafter referred to as the accused and a family friend Natwarlal M. Shah. The sales and collections of all the firms were to be looked after only by the accused.

(3.) On 10 June, 1987, respondent 1 submitted a petition to a Metropolitan Magistrate seeking therein a direction to the General Crime Branch C.I.D. Bombay under section 156(3) of the Cri.P.C. The genesis of this sought for direction was explained thus :--- At the end of September 1986 a total sum of Rs. 46,43,000/- representing the collections and dues from different customers of the six firms had been effected. Most of the payments had comes vide drafts and cheques. They were collected by the accused. Enquiries with the Dena Bank revealed that a little prior to the institution of the petition, the credits in the accounts of the firms had gone down considerably. The Enquiries made by the complainant and Rasiklal showed that the customers of the firms had been making payments in due course. This was however, not reflected in the credits with the Bank. For this reason the complainant believed that---