PUNJAB AND SIND BANK Vs. NARINDER SYAL

JUDGEMENT

(1.) Punjab & Sind Bank, the appellant herein, has challenged the order passed by Shri Joga Singh, Judicial Magistrate 1st Class, Jalandhar, dated March 21,1989, whereby Narinder Syal, respondent - herein, was acquitted of the charges framed against him.

(2.) Narinder Syal was prosecuted on a complaint lodged by the appellant Bank under Sections 420,406,120 - 8 of the Indian Penal Code. The case of the appellant is that Narinder Syal in order to avail over - draft facilities, from it hadmortgaged his land measuring 25 Kanals 1 Marlas situated at village Lasara, vide registered mortgage deed dated May 10, 1982. Neelam Syal and Lalit Syal stood as guarantors for him and Narinder Syal, who was in possession of the mortgaged land, sold it vide two registered sale deeds dated December 21, 1984 and January 7, 1985 to Raja Singh and Sital Singh and thereby committed criminal breach of trust as Narinder Syal was having possession/dominion over the mortgaged property as trustee of the Bank. These facts were proved on the records of the case. The learned Magistrate, however, acquitted Narinder Syal on the ground that the appellant - Bank had not suffered any loss as by virtue of sale deeds the mortgagee rights of the bank had not been extinguished or in any way adversely effected. By virtue of mortgagee rights in the land in dispute the Bank could still recover the loan advanced to the accused through sale of the land. Not only that, the bank had already obtained a decree dated May 5,1987, Ex.DA in a suit instituted by it against respondent - Narinder Syal for recovery of Rs.4,09,584.67. The decretal amount has been made a charge over the mortgaged land

(3.) Mr.Giani, learned counsel appearing for the appellant, however, contends that on proof of the basic facts, as have been mentioned above, and which actually stood proved before the trial Judge, a case under Section 4051.P.C. was made out and, therefore, the order acquitting Narinder Syal deserves to be set - aside. Section 405 of the Indian Penal Code runs thus: -