RAMESH CHAND JAIN Vs. STATE OF MADHYA PRADESH

JUDGEMENT

(1.) THE applicants Ramesh Chand Jain, P. C. Jain and Raj Kumar Jain have come up before this Court for quashing the order impugned dated 8-2-1990, whereby the Special Judge, Jabalpur has framed charges against them (along with eight other accused persons) for the offences punishable Under Sections 5 (2)/5 (1) (a) of the Prevention of Corruption Act and Under Sections 120-B, 468 and 471 of the Indian Penal Code.

(2.) THE charges against these applicants are that they are partners of M/s. Bhilai Motors, Raipur; this partnership firm was formed in the year 1980; one Subash Chand Jain, co-accused, is also one of the partners of the said firm; the firm is dealing in supply of Tata Vehicles (Trucks) to individual buyers, Corporations and Government. It is alleged that on 30-9-1980, Manik Chand and Dhanjo Bai, co-accused, formed a company styled as M/s. United Goods Carriers; on the same day Rajesh Jain and L. N. Singh, (co-accused) also formed a company M/s. Bilaspur-Raipur Transport Company; on 18-5-1981 Bhupatlal and Kashiram, (co-accused) also formed a company M/s. Bhilai Transport Company; then again on 28-8-1981 Bhanjo Bai and Rajesh Jain, (co-accused), formed a company M/s. Jagdalpur Goods Carriers; Subash Chand Jain, co-accused, is the Managing partner of M/ s. Bhilai Motors. The four transport companies applied for loans to the Punjab and Sindh Bank, Raipur for purchase of Tata Trucks. The loan applications were processed by Shri G. S. Behel, (co-accused ). He recommended sanctioning of the loans and on his recommendation loan amounts were sanctioned through Manager's cheques in favour of M/s. Bhilai Motors, Raipur. It is further alleged that on the following dates the said amounts were released : (i) Rs. 13,60,256 on 26-11-1980 to M/s. Bilaspur-Raipur Transport Co. ; (ii) Rs. 13,60,256/- on 26-11-1980 to M/s Jagdalpur Goods Carriers; and (in) Rs. 12, 36, 545/- on 8-9-1981 to M/s. Bhilai Transport Co. The co-accused Subash Chand Jain had signed the guarantee form for the four transport Companies. Ramesh Chand Jain, petitioner No. 1 has also signed the guarantee form for Jagdalpur Goods Carrier.

(3.) THE aforesaid cheques were deposited in the account of M/s. Bhilai Motors and subsequently the said amounts were withdrawn by the co-accused Subash Chand Jain, the Managing partner of Bhilai Motors. However, the trucks were never supplied to the four transport companies referred to above, but forged and fabricated documents were submitted to the Bank to show that the trucks have, in fact, been supplied to the said companies.