Bombay High Court Quashes Criminal Proceedings Against Managing Director and Publisher in Defamation Case for Lack of Specific Allegations of Involvement in Publication. Managing Director Not Liable Under Sections 500, 501, 502 IPC Without Evidence of Direct Role in Publication.

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

The applicants, Muncherji Nusserwanji Cama (Managing Director of Bombay Samachar Pvt. Ltd.) and the company itself, filed an application under Section 482 of the Code of Criminal Procedure, 1973, challenging the order of issue process dated 19 October 2018 passed by the learned Metropolitan Magistrate, 25th Court at Mazgaon, Sewree, Mumbai. The Magistrate had issued process against the applicants for alleged offences punishable under Sections 500, 501, 502 and 34 of the Indian Penal Code, 1860, based on a complaint filed by Yazdi Hosi Desai (Respondent No. 3). The complaint alleged that a defamatory article was published in the newspaper 'Bombay Samachar' on 1 July 2018. The applicants contended that the Managing Director could not be held liable for the article as his name was not mentioned in the declaration under the Press and Registration of Books Act, 1867, and there were no specific averments about his involvement in the publication. The court, after hearing arguments, held that the Managing Director cannot be vicariously liable for criminal defamation without specific allegations of his role. The court relied on precedents including Sardar Nihal Singh vs. Arjan Das, K. M. Mathew vs. K. A. Abraham & Ors., Haji C. H. Mohammad Koya vs. T.K.S.M.A. Muthukoya, K. M. Mathew vs. State of Kerala, and Indu Jain & Anr. vs. NCT of Delhi. The court quashed the order of issue process and the criminal complaint against the applicants, allowing the application.

Headnote

A) Criminal Law - Defamation - Liability of Managing Director - Sections 500, 501, 502, 34 IPC - The Managing Director of a newspaper company cannot be held liable for a defamatory article published in the newspaper unless there are specific averments showing his direct involvement in the publication or that he was the editor as defined under the Press and Registration of Books Act. The court quashed the process issued against the Managing Director and the company, holding that mere designation as Managing Director does not attract criminal liability for defamation. (Paras 1-14)

B) Criminal Procedure - Quashing of Criminal Proceedings - Section 482 CrPC - Abuse of Process - The High Court exercised its inherent jurisdiction under Section 482 CrPC to quash the order of issue process and the criminal complaint, as the continuation of proceedings would be an abuse of the process of law. The court found that the complaint lacked specific allegations against the applicants and that the Managing Director could not be vicariously liable for the acts of the editor or publisher. (Paras 2-14)

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Issue of Consideration

Whether the Managing Director of a newspaper company can be held liable for defamation under Sections 500, 501, 502 IPC without specific allegations of his involvement in the publication, and whether the order issuing process against him was sustainable.

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Final Decision

The court allowed the application and quashed the order of issue process dated 19 October 2018 and the criminal complaint against the applicants.

Law Points

  • Managing Director not liable for defamatory article unless specific role in publication is alleged
  • Editor defined under Press and Registration of Books Act
  • vicarious liability not applicable in criminal defamation
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Case Details

2019 LawText (BOM) (11) 85

Criminal Application No. 97 of 2019

2019-11-18

Revati Mohite Dere

Mr. Ashok Mundargi, Sr. Counsel a/w Mr. Amol Doijode, Mr. Levi Rubens, Mr. Sushant Arora, Ms. Sheetal Mote, Mr. Anshul Rathi and Ms. Ruchi Magoo i/b Vigil Juris for the Applicants; Mr. P. H. Gaikwad-Patil, A.P.P for the Respondent No. 1; Mr. Samsher Garud a/w Mr. Harsh Noorjani and Mr. Vignesh Iyer i/b Jayakar & Partners for the Respondent No. 3

Muncherji Nusserwanji Cama and Bombay Samachar Pvt. Ltd.

The State of Maharashtra and Yazdi Hosi Desai

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Nature of Litigation

Criminal application under Section 482 CrPC seeking quashing of order of issue process and criminal complaint for defamation.

Remedy Sought

Quashing of the order of issue process dated 19 October 2018 and the criminal complaint against the applicants.

Filing Reason

The applicants challenged the order of issue process passed by the Magistrate for alleged offences under Sections 500, 501, 502 and 34 IPC, contending that the Managing Director could not be held liable without specific allegations of involvement.

Previous Decisions

The learned Metropolitan Magistrate, 25th Court at Mazgaon, Sewree, Mumbai, passed the order of issue process on 19 October 2018.

Issues

Whether the Managing Director of a newspaper company can be held liable for defamation under Sections 500, 501, 502 IPC without specific allegations of his involvement in the publication. Whether the order issuing process against the applicants was sustainable in law.

Submissions/Arguments

Mr. Mundargi, learned senior counsel for the applicants, submitted that no offence is disclosed against the applicants. He argued that the Managing Director cannot be held liable for the article published in the newspaper as his name is not mentioned in the declaration under the Press and Registration of Books Act, and there are no specific averments about his involvement. He relied on several judgments including Sardar Nihal Singh vs. Arjan Das, K. M. Mathew vs. K. A. Abraham & Ors., Haji C. H. Mohammad Koya vs. T.K.S.M.A. Muthukoya, K. M. Mathew vs. State of Kerala, and Indu Jain & Anr. vs. NCT of Delhi. The respondent No. 3 (complainant) opposed the application, but the judgment does not detail his arguments.

Ratio Decidendi

The Managing Director of a newspaper company cannot be held vicariously liable for criminal defamation under Sections 500, 501, 502 IPC for an article published in the newspaper unless there are specific averments showing his direct involvement in the publication or that he is the editor as defined under the Press and Registration of Books Act. The mere designation as Managing Director does not attract criminal liability.

Judgment Excerpts

By this application preferred under Section 482 of the Code of Criminal Procedure (`Cr.P.C’), the applicants have impugned the order of issue process dated 19th October 2018 passed by the learned Metropolitan Magistrate, 25th Court at Mazgaon, Sewree, Mumbai, as against the applicants for the alleged offences punishable under Sections 500, 501, 502 and 34 of the Indian Penal Code. Mr. Mundargi, learned senior counsel for the applicants submits that no offence as alleged is disclosed qua the applicants. He submits that the applicant No. 1, as the Manager Director of Bombay Samachar Pvt. Ltd., cannot be held liable for the article published in the newspaper 'Bombay Samachar'.

Procedural History

The complaint was filed by Yazdi Hosi Desai alleging defamation. The learned Metropolitan Magistrate, 25th Court at Mazgaon, Sewree, Mumbai, passed an order of issue process on 19 October 2018 against the applicants for offences under Sections 500, 501, 502 and 34 IPC. The applicants then filed Criminal Application No. 97 of 2019 under Section 482 CrPC before the Bombay High Court seeking quashing of the order and complaint. The High Court heard the matter and delivered judgment on 18 November 2019, allowing the application and quashing the proceedings.

Acts & Sections

  • Code of Criminal Procedure, 1973 (CrPC): 482
  • Indian Penal Code, 1860 (IPC): 500, 501, 502, 34
  • Press and Registration of Books Act, 1867:
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