M S BANGA Vs. PAWAN GULZARILAL CHOPRA

JUDGEMENT

(1.) This writ petition is filed with following substantive prayers:-

(2.) Respondent No. 1 is original complainant. Gist of the complaint is that, Mr. Pavan Gulzarilal Chopra is the Director Skipper Foods (P) Limited, New Delhi. His company is in the business of production of ice cream. On 6th August, 1991, the complainant had entered into an agreement with Cadbury India Limited (for short "CIL") granting the complainant company the franchise for manufacture of ice cream under the brand name DOLLOPS which then belonged to CIL. The franchise agreement was for a period of 5 years. As per the franchise agreement, Rs. 8 lacs was paid for Franchise fees and Rs. 2 lacs was paid as deposit.

(3.) It is further the case of the complainant that for extending the territories to Punjab, Jammu & Kashmir and for sale within Delhi region, the Complainant paid a further sum of Rs. 8 lacs, 3 lacs, and 1 lac as franchise fees respectively. This franchise was granted from November 1992. The total amount therefore was Rs. 22 lacs entrusted by the complainant to CIL. That, CIL entered into an agreement with Brooke Bond India Limited (for short "BBIL") dated07.08.1993, by which BBIL became the owner of the said brand name. That, Rs. 58 lacs were held as deposits by BBIL and that BBIL was having dominion over the said money and were bound to account for the same. In February 1993, BBIL, ignoring the agreement gave away franchise for the manufacture of ice cream to another company. That, there was correspondence alleging that BBIL was violating the agreement which was subsisting between CIL and the complainant. On or about 10.05.1994, the complainant company entered into a separate agreement with BBIL for manufacture of ice cream and that BBIL had undertaken to lift the said goods and sell the same in the market on their own. Accordingly, the complainant had upgraded their plant and machinery incurring Rs. 34 lacs as per specifications of BBIL and thus an amount of Rs. 34 lacs was entrusted by the complainant towards the said project to BBIL. It is further alleged that, suddenly without notice BBIL stopped operations of ice cream with the complainant company. Subsequently, BBIL came to be merged with Hindustan Lever Limited (for short "HLL") and actually the money, which was entrusted by the complainant company to CIL, whose brand DOLLOPS was in turn taken over by BBIL, were held in dominion by HLL and its Directors. It is the case of the complainant that, neither of the companies had honoured the said agreement and that the complainant was entitled to the refund of all amounts as the franchise agreement was not honoured. Similarly, Rs. 34 lacs which were to be accounted for have not be accounted for. The complainant has not received the said amounts and by virtue of with-holding the said money, the Accused have committed an offence of criminal breach of trust.