Bombay High Court Quashes FIR in Civil Dispute Over Agreement to Sell — Inherent Power Under Section 482 CrPC Exercised to Prevent Abuse of Process. Dispute Purely Civil in Nature, No Criminal Offence Made Out.

High Court: Bombay High Court Bench: NAGPUR In Favour of Accused
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Case Note & Summary

The applicant, Avinash Vinayrao Chopde, filed an application under Section 482 of the Code of Criminal Procedure, 1973 (CrPC) seeking quashing of FIR No. 188 of 2010 registered at Police Station, Akot. The FIR was lodged by respondent no. 2, Gulam Mustafa, alleging offences of criminal breach of trust and cheating. The dispute centered around an agreement to sell executed by the applicant as a power of attorney holder on behalf of Syed Bari Syed Hasan along with Mohan Haribhau Pande. The complainant had paid earnest money of Rs. 10,000 under the agreement. The applicant contended that the dispute was purely civil in nature, relating to the terms of the agreement and its breach, and that the criminal complaint was an abuse of the process of law. The court, after hearing the parties, admitted the application and, upon consideration, found that the allegations in the FIR did not disclose any criminal offence. The court observed that the dispute was essentially contractual and civil, and the criminal machinery was being misused to pressurize the applicant. Consequently, the court exercised its inherent powers under Section 482 CrPC and quashed the FIR and all proceedings arising therefrom.

Headnote

A) Criminal Procedure Code - Quashing of FIR - Section 482 CrPC - Civil Disguised as Criminal - Dispute arose from an agreement to sell property where earnest money was paid - Complainant alleged breach of trust and cheating - Court held that the dispute was purely civil in nature and the criminal proceedings were an abuse of process - FIR quashed (Paras 1-5).

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Issue of Consideration

Whether an FIR alleging criminal breach of trust and cheating can be sustained when the dispute is purely civil in nature arising from an agreement to sell.

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Final Decision

Application allowed. FIR in Crime No.188 of 2010 and all proceedings arising therefrom are quashed.

Law Points

  • Civil dispute cannot be converted into criminal case
  • Inherent power under Section 482 CrPC to quash FIR
  • Abuse of process of court
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Case Details

2011 LawText (BOM) (07) 67

Criminal Application No.3 of 2011

2011-07-25

A.P. Bhangale, J.

Mr. Mohta for applicant, Mrs. K.R. Deshpande (APP) for respondent no.1, Mr. A.B. Mirza for respondent no.2

Avinash Vinayrao Chopde

State of Maharashtra, Gulam Mustafa

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Nature of Litigation

Application under Section 482 CrPC for quashing of FIR

Remedy Sought

Quashing of FIR in Crime No.188 of 2010 registered at Police Station, Akot

Filing Reason

Dispute is purely civil in nature regarding an agreement to sell

Issues

Whether the FIR discloses any criminal offence or is purely civil in nature

Submissions/Arguments

Applicant argued that the dispute is civil and criminal proceedings are abuse of process Respondents opposed the quashing

Ratio Decidendi

When the dispute is purely civil in nature, criminal proceedings cannot be sustained and must be quashed to prevent abuse of process of court.

Judgment Excerpts

By this application under Section 482 of the Code of Criminal Procedure, the applicant has prayed for to quash the F.I.R. in Crime No.188 of 2010 lodged at Police Station, Akot on the ground that the dispute which is sought to be raised by the complainant is purely of a civil nature in respect of the agreement to sell

Procedural History

FIR lodged at Police Station, Akot; applicant filed Criminal Application No.3 of 2011 under Section 482 CrPC for quashing; court admitted and heard the matter.

Acts & Sections

  • Code of Criminal Procedure, 1973: 482
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Related Judgement
High Court Bombay High Court Quashes FIR in Civil Dispute Over Agreement to Sell — Inherent Power Under Section 482 CrPC Exercised to Prevent Abuse of Process. Dispute Purely Civil in Nature, No Criminal Offence Made Out.
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