GURINDER M THAMON Vs. BLUE BEACON ELECTRONICS

JUDGEMENT

(1.) The present petition has been filed under Section 482 Cr.P.C for quashing of Complaint no.20554 dated 20.10.2008 under Sections 499 and 500 of the Indian Penal Code as well as the Summoning Order dated 02.07.2010 passed by the Judicial Magistrate Ist Class, Chandigarh and all other consequential proceedings arising therefrom.

(2.) Briefly the facts of the case as mentioned in the petition are that the present petitioners namely Gurinder M. Thamon and Varun Thamon are part of M/s Sekurity Xchange which is a proprietary concern and petitioner No.1 is the proprietor and petitioner No.2 is the Managing Director of the said firm. There was a business transaction between the petitioners' firm and respondents' firm. There was a dispute about payment of the security equipments as respondents approached petitioners' firm for purchase of certain security system equipments on credit. The petitioner No.1 informed respondent No.1 that the equipments would be supplied, in case, the payment was made by cash or by draft and accordingly, the respondents' firm offered to make payment by cheque which was presented for encashment but the same could not be honoured. A legal notice was sent about encashment of cheque. A complaint was also filed under Section 138 of the Negotiable Instruments Act as well as under Sections 415 and 420 of the IPC against respondent No.1-Company when the cheque, in question, was not encashed. A copy of the legal notice was sent to all members of the Forum of Security Electronics Distributors'. The stand of the petitioners' firm is that the legal notice was sent in good faith for protection of business interest of the members of the Forum and there was no intention to defame the respondents' firm in any manner. A complaint was also filed by the respondents before the Chief Judicial Magistrate, Chandigarh and Summoning Order has been passed in the said complaint. The allegation in the complaint is that by circulation of notice dated 14.07.2008 to all distributors and clients of the complainant Company through e-mail, phone and by post, the reputation of the Company has been damaged and the notice was sent with the intention to harm and damage and to lower down the reputation of the respondentsCompany. It has also been mentioned that the complainant has also suffered a huge financial loss in the market which has resulted into termination of credit facilities of the complainant-Company for the purchase of security equipments.

(3.) The complaint/Summoning Order was challenged on the ground that the complaint does not satisfy the essential ingredients required to make out offence of defamation outlined in Section 499 of the Indian Penal code. The respondents are claiming that they have been defamed on account of legal Notice dated 14.07.2008 which was circulated by the firm of the petitioners to the members of the Forum, whereas, petitioners state that the legal notice was a formal document which is mandatory under Section 138 of the Negotiable Instruments Act. In the legal notice, factual details of the transaction have been mentioned and there was no intention to defame the respondent-Company, in any manner. Legal notice is a public document and by disclosing the same to the members of the Forum was not going to defame the respondent-Company, in any manner. The efforts made by the petitioners' Company was genuine and bona fide and in context of Office Legal Rights as the same has been done in good faith with bona fide just to safeguard the interest of the members of the forum. The case of the petitioners comes under Ninth and Tenth Exception of Section 499 of the Indian Penal Code.