UNION OF INDIA Vs. V.P. ANAND

JUDGEMENT

(1.) THE present Revision Petition has been filed by Union of India against the order dated January 11, 1990, passed by Chief Judicial Magistrate, Chandigarh whereby the accused-respondents were discharged of the offences under Section 120-B read with Sections 420/467 and 471 Indian Penal Code.

(2.) THE prosecution case in brief is that the respondents hatched a Conspiracy at Chandigarh to cheat Punjab National Bank, in pursuance of which three fictitious companies were floated by V.P. Anand, respondent. He made his employee Baldev Raj Sharma, respondent No. 3 proprietor, of M/s Moonlight Industries, Village and Post Office Nasrala, District Hoshiarpur. This firm was registered on 20.6.1978 as Small Scale Industrial Unit with District Industries Centre, Hoshiarpur for preparing agricultural implements. The firms was de-registered on 20th March, 1981 by General Manager, District Industries Centre, Hoshiarpur and it stopped production. This firm was not entitled to import material under Open General Licence. Respondent No. 3 opened current account No. 3730 on 9.9.1980 at the instance of V.P. Anand in Sector 22-D Branch of Punjab National Bank, Chandigarh in respect of his firm M/s Moonlight Industries. The credit limit of this firm was Rs. 9,25,000/- which was later on extended to Rs. 25 lacs and V.P. Anand stood guarantor for it.

(3.) V .P. Anand himself was the proprietor of M/s New Link Enterprises, SCF No. 13, Sector 22-D Chandigarh. He too opened current account No. 3661 in the came branch of Punjab National Bank, Chandigarh and he was granted Foreign Letter of Credit Limit of Rs. 15 Lacs although he was not entitled to import any material as per rules.