PARWATI AGARWAL Vs. STATE OF JHARKHAND

JUDGEMENT

(1.) This application under Section 482 of the Code of Criminal Procedure has been filed for quashing the order dated 12-1-1999 passed in Complaint Case No. 627/98, whereby and whereunder cognizance under Sections 406/420IPC has been taken against the petitioners.

(2.) Facts giving rise to the filing of this application are that opposite party No.2 (hereinafter referred to as "the complainant") has filed a complaint case before the Court of learned Chief Judicial Magistrate, Ranchi on 24-11-1998 stating therein that accused No. 1, M/s. Durga Finance Ltd. is a company incorporated under the Companies Act and accused No.2 Smt. Parwati Agarwal and accused No. 3 Mangi Lai Agarwal are its directors. One M/s. Rungta Irrigation Ltd. is also a company limited by shares duly incorporated under the Companies Act. M/s. Rungta Irrigation Ltd. issued equity shares @ Rs. 10/-. The accused No. 1 had purchased some shares of M/s. Rungta Irrigation Ltd. on or about 22-5-1995 and on or about 3-12-1996. The complainant purchased 2000 equity shares of Rs.10/- bearing distinctive numbers from 4284301 to 4286300 of certificate No. 36644-663 for a consideration of Rs. 40,000/- only from the accused. The accused, through the authorized agent, delivered the said shares to the complainant at Ranchi along with a transfer certificate duly signed by accused No.2 Smt. Parwati Agarwal, one of the directors of M/s. Durga Finance Ltd. and the money was delivered at Ranchi. It is further stated that at the time of purchase of shares the accused had assured the complainant that as soon as the said shares with transfer deed were lodged with M/s. Rungta Irrigation Ltd. the aforesaid purchased shares will be transferred in the name of the complainant. The complainant had purchased the said shares under the belief and good faith as assured by the accused that the shares would be transferred in his name and accordingly after purchase the complainant submitted those shares to M/s. Rungta Irrigation Ltd. for transfer in his name by letter dated 18-12-1996. It is alleged that the shares were out of N. R. I./ O. C. B. shares holdings, which were governed by the Reserve Bank of India terms and conditions as per their letter No. EC. CO. FID (II) 5286/10-02- 04(5691) 94-95 dated 29-9-1995 and the permission of the Reserve Bank of India was necessary for the transfer of those shares in the name of the complainant. The complainant requested M/s. Rungta Irrigation Ltd. several times to transfer those shares in his name but M/s. Rungta Irrigation Ltd. expressed their inability to do so for want of permission from the Reserve Bank of India. It is also pointed out that accused never told the complainant about the aforesaid fact at the time of selling the shares and no such permission was given by RBI. When the complainant failed to take back the shares then he asked the accused No.l on 20-10-1998 to refund the amount and take back the shares, which he had purchased from them.

(3.) Learned counsel appearing for the petitioners submitted that false and fabricated case has been filed against these petitioners. It was further pointed out that the present complaint petition is a counter blast to the earlier case lodged by the petitioners against M/s. Rungta Irrigation Ltd. and the FIR was sent to the Crime Branch of Delhi Police through post office on 4-9-1998 and the same was duly received there on 22-9-1998. The Crime Branch of Delhi, after investigation, found a prima facie case against the complainant and others then a formal FIR was lodged at Prasad Nagar Police Station on 30-11-1998 (Annexure 3) and after proper investigation Delhi Police submitted charge-sheet on 8-1-2002 (Annexure 4). It is claimed that petitioners have never sold any of their shares, which were purchased by them from M/s. Rungta Irrigation Ltd. on 18-3-1995 because the shares were not delivered to the petitioners by M/s. Rungta Irrigation Ltd.