E V RAMANARASAIAH Vs. G GNANESWAR

JUDGEMENT

(1.) The petitioners who are A1 and A2 in CC No.566 of 1998 on the file of XV Metropolitan Magistrate, City Criminal Courts, Hyderabad, invoke the inherent powers of this Court under Section 482 Cr.PC to quash the proceedings.

(2.) A brief resume of background of facts is necessary. 1st respondent and his brother were running a brick manufacturing factory under the name and style of M/s. Swati Clay Products, at Anantharam Village, in Nalgonda District. 1st petitioner is a Lecturer in S.V.S. College, Osmania University and 2nd petitioner is his wife. Both of them along with their son are also running a school under the name Mother Public School. 1st respondent offered to sell the above clay factory and clear the liability with bank and on the strength of collateral security given the documents were got released. The petitioners took possession of the Swati Clay Factory and changed the name to Ajantha Clay Products. An agreement was obtained in the name of the 2nd petitioner herein. In the year May, 1996 Allahabad Bank filed a claim petition before the Debt Recovery Tribunal for recovery of Rs.38,00,000/- and when the 1st respondent went to the factory premises and found that the entire plant and machinery together with lorry bearing No.APIO/T. 1068 were removed from the premises. As there is an agreement in between the 2nd petitioner and the 1st respondent and his brother, they have impleaded the 2nd petitioner before the Debt Recovery Tribunal. 1st petitioner offered to have a compromise in between the 2nd petitioner and 1st respondent and his brother which was reduced into writing. It was specifically agreed that the petitioner pay Rs.6 lakhs to 1st respondent and his brother and issued three post dated cheques for Rs.3,00,000/-, Rs.2,00,000/- and Rs.1,00,000/- drawn at Trinity Urban Co-operative Bank Limited. Out of the three cheques, Cheque No.016866 dated 20-4-1998 is said to have been returned for want of sufficient funds. Thereafter, a complaint was filed before the XV Metropolitan Magistrate, Hyderabad and the same was registered as CC No.566/98. The petitioners filed Crl. MP No.7035 of 1999 before the learned Magistrate seeking for discharge. The learned Magistrate dismissed the application.

(3.) Aggrieved by the same, the petitioners filed the present criminal petition to quash the proceedings under Section 482 Cr.PC.