{"id":95905,"date":"2003-01-28T00:00:00","date_gmt":"2003-01-27T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/ajay-mitra-vs-state-of-m-p-ors-on-28-january-2003-2"},"modified":"2016-07-25T23:37:06","modified_gmt":"2016-07-25T18:07:06","slug":"ajay-mitra-vs-state-of-m-p-ors-on-28-january-2003-2","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/ajay-mitra-vs-state-of-m-p-ors-on-28-january-2003-2","title":{"rendered":"Ajay Mitra vs State Of M.P. &amp; Ors on 28 January, 2003"},"content":{"rendered":"<div class=\"docsource_main\">Supreme Court of India<\/div>\n<div class=\"doc_title\">Ajay Mitra vs State Of M.P. &amp; Ors on 28 January, 2003<\/div>\n<div class=\"doc_author\">Author: Mathur<\/div>\n<div class=\"doc_bench\">Bench: S. Rajendra Babu, Brijesh Kumar, G.P. Mathur.<\/div>\n<pre>           CASE NO.:\nAppeal (crl.)  129 of 2003\n\nPETITIONER:\nAjay Mitra\n\nRESPONDENT:\nState of M.P. &amp; Ors.\n\nDATE OF JUDGMENT: 28\/01\/2003\n\nBENCH:\nS. Rajendra Babu, Brijesh Kumar &amp;  G.P. Mathur.\n\nJUDGMENT:\n<\/pre>\n<p>JUDGMENT<\/p>\n<p>(Arising out of S.L.P.(Crl.) No.914 of 2002)<\/p>\n<p>With Crl. Appeal Nos.130-132 of 2003 (Arising out of S.L.P.<br \/>\n(Crl.) Nos.1710-1712 of 2002)<\/p>\n<p>Mathur, J.\n<\/p>\n<p>\tLeave granted.\n<\/p>\n<p>\tThese appeals by special leave are directed against the<br \/>\njudgment and order dated January 16, 2002 of High Court of<br \/>\nMadhya Pradesh, by which three Petitions filed by the appellants<br \/>\nunder Section 482 Cr.P.C. were dismissed.\n<\/p>\n<p>\tM\/s Cadbury Schweppes Beverages India Private Ltd.<br \/>\nentered into three identical Bottling Agreements with the<br \/>\ncomplainant, Sanjiva Bottling Company Private Limited on March<br \/>\n1, 1996 pursuant to a Master Trademark License entered into by<br \/>\nassociate companies of Cadbury Schweppes plc. United Kingdom<br \/>\nand Cadbury Schweppes Beverages India Private Limited.\t  In<br \/>\nterms of these three agreements, M\/s Sanjiva Bottling Company<br \/>\nwas authorised to manufacture and sell certain specified beverages<br \/>\nunder specified trademarks owned by Cadbury Schweppes plc.<br \/>\nU.K. or its associate companies.   The agreements contained<br \/>\nidentical clauses with regard to their respective terms and<br \/>\nconditions and provided that they shall continue for an initial term<br \/>\nof five years and for further successive period of five years, unless<br \/>\nterminated by either party by giving to the other not less than 12<br \/>\ncalendar months notice in writing to terminate the agreement.\tOn<br \/>\nJuly 29, 1999, Atlantic Industries (a wholly owned indirect<br \/>\nsubsidiary of The Coca-Cola Export Corporation, USA) purchased<br \/>\nabout 3500 trademarks in 155 countries from Cadbury Schweppes<br \/>\nplc., upon which the bottling agreements between Cadbury<br \/>\nSchweppes Beverages India Pvt. Ltd. and Sanjiva Bottling<br \/>\nCompany were duly assigned to Atlantic Industries and an<br \/>\ninformation regarding the same was given to Sanjiva Bottling<br \/>\nCompany in writing.   On February 14, 2000, Atlantic Industries<br \/>\ngave notice in writing to the complainant, Sanjiva Bottling<br \/>\nCompany that the bottling agreements shall not be renewed after<br \/>\ntheir expiry on February 28, 2001.\n<\/p>\n<p> Sanjiva Bottling Company through its Director, Rajiv Mehta<br \/>\nfiled a criminal complaint against 11 accused including the<br \/>\nappellants in the Court of Judicial Magistrate, First Class, Bhopal<br \/>\non July 24, 2000 for their prosecution under Section 420 read with<br \/>\nSection 511 IPC.  The accused no.1 arrayed in the complaint is<br \/>\nCadbury Schweppes Beverages  India  Pvt.  Ltd.\t(A-1) and<br \/>\naccused nos.2 to 5 are Chairman, Managing Director and Finance<br \/>\nDirector etc. of the said Company.    Besides them, Coca Cola<br \/>\nIndia (A-6), Alex Von Behr, President and Chief Executive Officer<br \/>\n(A-7).\tNitin Dalvi, Vice-President, Strategic Business, Planning<br \/>\nand Information Services (A-8) and Samip Shah, Vice-President,<br \/>\nBusiness Development of Coca Cola India, (A-8) Ajay Mitra,<br \/>\nRegional Operational Director, Hindustan Coca Cola Beverages<br \/>\nPvt. Ltd. (A-10) and Steve M. Whaley, Vice-President and General<br \/>\nTax Counsel, Atlantic Industries (A-11) have been arrayed as<br \/>\naccused nos. 6 to 11.\tThe case set up in the complaint is that the<br \/>\ncomplainant is engaged in the business of bottling soft drinks since<br \/>\n1983 at Bhopal. The complainant was approached by A-1 in 1995<br \/>\nto discontinue its competing brand &#8216;Sprint&#8217; and a Memorandum of<br \/>\nUnderstanding was signed on October 9, 1995.  Thereafter, an<br \/>\nagreement was entered into between the complainant and A-1 on<br \/>\nMarch 1, 1996 by which the complainant became one of the<br \/>\nbottlers of A-1, made investments in the bottling plant and also<br \/>\npromoted the sales of A-1 in its area.\t By a letter dated July 29,<br \/>\n1999, A-1 informed the complainant that the brands Schweppes,<br \/>\nCrush and Canada Dry and associated brands in India would be<br \/>\nacquired by a member of the Coca Cola group of companies.   A-1<br \/>\nhad 19 bottlers in the year 1997 but Coca Cola India (A-6) had<br \/>\nreduced them to 7 and is installing its own bottling plants in<br \/>\ndifferent places.   The case of the complainant further is that by the<br \/>\nletter dated February 14, 2000, A-6 informed the complainant that<br \/>\nthey would not renew the agreements on their expiry on February<br \/>\n28, 2001.    In paras 47 and 48 of the complaint, it is alleged that<br \/>\nA-6 is adopting all sorts of unfair trade practices and that it has<br \/>\nmade wrongful gain of over Rs.100 crores.   In para 50, it is<br \/>\nalleged that A-1 and A-6 have not replied properly to the letters of<br \/>\nthe complainant and the accused have, therefore, cheated the<br \/>\ncomplainant by making false representation.<br \/>\n\tThe learned Magistrate before whom the complaint was filed<br \/>\npassed an order under Section 156 (3) Cr.P.C.  on July 27, 2000<br \/>\ndirecting the police to\t investigate the offence as the same was<br \/>\ncognizable offence.  The police thereafter submitted a report on<br \/>\nOctober 31, 2000 which reads as under :\n<\/p>\n<p>\t&#8220;After the entire inquiry it appears that the<br \/>\nCadbury Schweppes Company and Coca Cola<br \/>\nCompany have violated the terms and conditions of<br \/>\nBusiness Agreement, as a result, the complainant has<br \/>\nsuffered financial loss.   The complainant was kept in<br \/>\ndarkness and supplied confusing information,<br \/>\nconsequently, Complainant suffered economic loss.<br \/>\nPrima facie a case of business competition and violation<br \/>\nof Agreements is made out and the complainant is<br \/>\nadvised to approach the Civil Court.&#8221;\n<\/p>\n<p>\tAfter consideration of the report the learned Magistrate was<br \/>\nof the opinion that the police had not\tsubmitted the same  in<br \/>\naccordance with Section 173(2) Cr.P.C. and also in the proforma<br \/>\nprescribed in the Rules framed by the State Government as the<br \/>\nsame had been submitted on plain paper.\t  The SHO, PS<br \/>\nGovindpura was accordingly directed on November 16, 2000 to<br \/>\nsubmit a report in the prescribed proforma.\n<\/p>\n<p>\tOn January 11, 2001, the Police submitted a report that on<br \/>\nthe basis of the complaint, Case Crime No.5 of 2001, Case Crime<br \/>\nNo.13 of 2001  and Case Crime No.18 of 2001 has been registered<br \/>\nunder Section 420, 120-B, 34 IPC. On the same date, the learned<br \/>\nMagistrate passed an order that the Police had registered the<br \/>\noffence and investigation is being carried on and, therefore, the<br \/>\ncomplainant should make available Hindi translation of the<br \/>\ndocuments and fixed January 30, 2001 as the next date.<br \/>\nThereafter, the appellants filed three Criminal Miscellaneous<br \/>\nPetitions under Section 482 Cr.P.C. before the High Court for<br \/>\nquashing of the FIR and the proceedings of the case before the<br \/>\nlearned Magistrate.   After hearing the parties, the High Court held<br \/>\nthat the investigation had not yet commenced in connection with<br \/>\nthe FIRs which had been registered at the Police Station and,<br \/>\ntherefore, the Petitions were pre-mature and accordingly all the<br \/>\nthree Petitions were rejected.\n<\/p>\n<p>\tShri F.S. Nariman, learned senior counsel for the appellants<br \/>\nhas submitted that M\/s Cadbury Schweppes Beverages  India  Pvt.<br \/>\nLtd.  (A-1) had entered into bottling agreements with the<br \/>\ncomplainant Sanjiva Bottling Company on March 1, 1996 and the<br \/>\nsaid agreements were to continue for a term of five years.  It also<br \/>\ncontained a clause that either party could terminate the agreement<br \/>\nat the end of initial term by giving to the other side not less than 12<br \/>\ncalendar months notice in writing.  Subsequent to the execution of<br \/>\nthe agreement, Atlantic Industries (a wholly owned indirect<br \/>\nsubsidiary of The Coca-Cola Export Corporation, USA) purchased<br \/>\nthe trademarks from Cadbury Schweppes plc. on July 29, 1999,<br \/>\nupon which the bottling agreements between the complainant,<br \/>\nSanjiva Bottling Company were duly assigned to Atlantic<br \/>\nIndustries and information regarding the same was also given to<br \/>\nthe complainant.  Atlantic Industries thereafter gave notice to the<br \/>\ncomplainant on February 14, 2000 not to renew the bottling<br \/>\nagreements which were to expire on February 28, 2001 and the<br \/>\nagreements with the complainant came to end on the said date.<br \/>\nThe learned counsel has further submitted that there  is absolutely<br \/>\nno allegation in the complaint that the appellants (A-7 to A-11) had<br \/>\nat any time made any kind of mis-representation to the<br \/>\ncomplainant or had asked it to do or omit to do anything and as<br \/>\nsuch no offence under Section 420 IPC is made out against them.<br \/>\nIt has thus been urged that the allegations made in the complaint,<br \/>\neven if accepted at their face value, do not disclose commission of<br \/>\nany offence by the appellants and, therefore, the proceedings of the<br \/>\ncomplaint case and also the FIRs lodged against the appellants are<br \/>\nliable to be quashed.\n<\/p>\n<p>\tThe learned Advocate General for the State of Madhya<br \/>\nPradesh has submitted that as per the order of the learned<br \/>\nMagistrate dated July 27, 2000, the Police had submitted a report<br \/>\nthat prima facie it was a case of violation of agreement for which<br \/>\nthe complainant could seek relief from the Civil Court.\t  However,<br \/>\nin view of subsequent order passed by the learned Magistrate on<br \/>\nNovember 16, 2000 a case had been registered at the Police Station<br \/>\nand the matter was being investigated.\n<\/p>\n<p>\tShri Sushil Kumar, learned senior counsel for the<br \/>\ncomplainant has submitted that the allegations made in the<br \/>\ncomplaint disclose commission of an offence under Section 420<br \/>\nIPC by the accused persons and a case has been registered at the<br \/>\nPolice Station and investigation is being carried out.\t Learned<br \/>\ncounsel has further submitted that the High Court rightly took the<br \/>\nview that the Petitions filed by the appellants for quashing of the<br \/>\nproceedings were pre-mature and the said order does not suffer<br \/>\nfrom any error of law.\n<\/p>\n<p>\tWe have given our careful consideration to the submissions<br \/>\nmade by learned counsel for the parties.   It may be stated at the<br \/>\nvery outset that the main allegation made in the complaint is<br \/>\nagainst\t M\/s  Cadbury  Schweppes  Beverages  India  Pvt.  Ltd.<br \/>\n(A-1).\t It is stated in para 5 of the complaint that the Technical<br \/>\nDirectors of A-1 approached the complainant and a Memorandum<br \/>\nof Understanding was signed on October 9, 1995 and the<br \/>\ncomplainant was asked to discontinue competing brand &#8216;Sprint&#8217;<br \/>\nwithin six months of the introduction of &#8216;Canada Dry&#8217; and it was<br \/>\nalso asked to carry out certain jobs at its bottling plant.   The<br \/>\ncomplainant thereafter modernised its bottling plant as per the<br \/>\nrequirement and satisfaction of A-1.   Thereafter, the bottling<br \/>\nagreements were executed between the complainant and A-1 on<br \/>\nMarch 1, 1996.\t  Coca Cola India (A-6) came into picture for the<br \/>\nfirst time when Atlantic Industries (a wholly owned indirect<br \/>\nsubsidiary of The Coca-Cola Export Corporation, USA) purchased<br \/>\n3500 trademarks in 155 countries from Cadbury Schweppes plc. on<br \/>\nJuly 29, 1999, upon which the bottling agreements between A-1<br \/>\nand the complainant was assigned to Atlantic Industries.   A-1 also<br \/>\ninformed the complainant in writing on July 29, 1999 that the<br \/>\nbrands Schweppes, Crush and Canada Dry and associated brands<br \/>\nin India will be acquired by a Member of the Coca Cola Group of<br \/>\nCompanies and the bottling agreements will be assigned to<br \/>\nAtlantic Industries.\tClause 19 of the Agreement which was<br \/>\nexecuted between the complainant and A-1 on March 1, 1996<br \/>\nreads as under:-\n<\/p>\n<p>&#8220;This Agreement shall come into operation on the<br \/>\nEffective Date and subject to the terms herein contained<br \/>\nshall continue for a term of 5 (five) years therefrom (the<br \/>\n&#8220;Initial Term&#8221;)\t and thereafter provided that the<br \/>\nCompany has complied with the conditions set out<br \/>\nbelow shall continue in force for further successive<br \/>\nperiods of 5 (five) years unless and until terminated by<br \/>\neither party giving to the other not less than twelve<br \/>\ncalendar months notice in writing to terminate the same<br \/>\nexpiring at the end of the Initial Term or any such<br \/>\nsubsequent period, the said conditions being :\n<\/p>\n<p>(i)\tthat the Company has complied with its<br \/>\nobligations during (as the case may be) the Initial<br \/>\nTerm or the relevant subsequent period (including<br \/>\nwithout limitation its obligations pursuant to Sub-<br \/>\nclause 7.1) and<\/p>\n<p>(ii)\tprior agreement of the parties in writing on the<br \/>\nBase Plan to come into effect at the start of such<br \/>\nsubsequent period and as to the levels of Annual<br \/>\nMinimum Aggregate Sales which shall apply<br \/>\nduring such subsequent period.&#8221;\n<\/p>\n<p>\tThereafter on February 14, 2000 a notice was given jointly by<br \/>\nAtlantic Industries, Canada Dry Corporation Limited and Cadbury<br \/>\nSchweppes Beverages Ltd. to the complainant, Sanjiva Bottling<br \/>\nCompany and it reads as under :\n<\/p>\n<p>&#8220;We refer to Agreements (to include any addenda<br \/>\nentered into subsequently) entered into between<br \/>\nyourselves (&#8220;the Company&#8221;) in relation to the<br \/>\nproduction, sale and distribution of &#8220;Crush&#8221;, &#8220;Canada<br \/>\nDry&#8221;, &#8220;Schweppes&#8221;, and &#8220;Sport Cola&#8221; Products with an<br \/>\nEffective Date of 01 March 1996 (&#8220;called the<br \/>\nAgreement&#8221;).   All defined terms used in the Agreement<br \/>\nshall have the same meaning prescribed in this letter,<br \/>\nsave as expressly stated otherwise.\n<\/p>\n<p>Please take this letter as the required 12 months notice,<br \/>\npursuant to clause 19 of our intention not to renew this<br \/>\nAgreement on expiry on 28 February 2001 (&#8220;the Expiry<br \/>\nDate&#8221;).\t  We would however, require that you continue<br \/>\nto fully carry out all obligations under the terms of your<br \/>\nAgreement until the Expiry Date.&#8221;\n<\/p>\n<p>\tThe agreements executed between the complainant and A-1<br \/>\non March 1, 1996 were for a period of five years.   Though the<br \/>\nsame could continue for a further successive period of five years,<br \/>\nbut either party to the agreement had a right to terminate the same<br \/>\nexpiring at the end of the initial term by giving not less than 12<br \/>\ncalendar months notice in writing.   The initial period of five years<br \/>\nwould have come to an end on February 28, 2001 but on February<br \/>\n14, 2000, notice was given to the complainant that the said<br \/>\nagreements would not be renewed after expiry of the initial period<br \/>\ni.e. after February 28, 2001.\tEven when the agreements were<br \/>\nexecuted in March, 1996, the complainant was fully aware that the<br \/>\nsame may not be renewed further after expiry of the initial term of<br \/>\nfive years.\n<\/p>\n<p>\tAccording to the allegations made in the complaint, it was<br \/>\nthe Technical Directors of A-1 who had approached the<br \/>\ncomplainant and a Memorandum of Understanding was signed on<br \/>\nOctober 9, 1995.    The modernisation of the bottling plant was<br \/>\ndone by the complainant as per the requirement and satisfaction of<br \/>\nA-1 and thereafter the agreements were executed between them<br \/>\n(Complainant and A-1) on March 1, 1996 in pursuance whereof<br \/>\nthe complainant claims to have spent considerable amount of<br \/>\nmoney in improvement of the bottling plant.    There is no<br \/>\nallegation in the complaint that A-6 to A-11 or anyone on their<br \/>\nbehalf ever met the complainant or asked it to invest any money or<br \/>\nto do anything for improvement of  the bottling plant.\t  In fact<br \/>\nthere is absolutely no reference to A-6 to A-11 in the complaint<br \/>\nexcept that A-6 is installing its own bottling plants and that A-6<br \/>\ngave notice to the complainant not to renew the agreements after<br \/>\nexpiry of the initial term.  In paras 33 and 34 of the complaint, the<br \/>\nentire allegations are made against A-1 and it is said that A-1 was<br \/>\nactuated by dishonest intention to cheat the complainant and that<br \/>\nA-1 has committed the offence of cheating.   In para 47 of the<br \/>\ncomplaint it has been alleged that A-6 is adopting all sorts of unfair<br \/>\ntrade practices.\n<\/p>\n<p>\tSection 420 IPC says that &#8220;Whoever cheats and thereby<br \/>\ndishonestly induces the person deceived to deliver any property to<br \/>\nany person  shall be punished with imprisonment &#8221;<br \/>\nCheating has been defined in Section 415 IPC and it says that<br \/>\n&#8220;Whoever, by deceiving any person, fraudulently or dishonestly<br \/>\ninduces the person so deceived to deliver any property to any<br \/>\nperson, or to consent that any person shall retain any property, or<br \/>\nintentionally induces the person so deceived to do or omit to do<br \/>\nanything which he would not do or omit if he were not so<br \/>\ndeceived, and which act or omission causes or is likely to cause<br \/>\ndamage or harm to that person in body, mind, reputation or<br \/>\nproperty, is said to &#8220;cheat&#8221;.&#8221;\n<\/p>\n<p>\tA guilty intention is an essential ingredient of the offence of<br \/>\ncheating.   In other words &#8216;mens rea&#8217; on the part of the accused<br \/>\nmust be established before he can be convicted of an offence of<br \/>\ncheating.  <a href=\"\/doc\/1273982\/\">(See Jeswantrai Manilal Akhaney v. The State of<br \/>\nBombay\tAIR<\/a> 1956 SC 575).   <a href=\"\/doc\/1597482\/\">In Mahadeo Prasad v. State of<br \/>\nWest Bengal AIR<\/a> 1954 SC 724, it was held as follows :<br \/>\n\t&#8220;Where the charge against the accused is under<br \/>\nS.420 in that he induced the complainant to part with<br \/>\nhis goods, on the understanding that the accused would<br \/>\npay for the same on delivery but did not pay, if the<br \/>\naccused had at the time he promised to pay cash against<br \/>\ndelivery an intention to do so, the fact that he did not<br \/>\npay would not convert the transaction into one of<br \/>\ncheating.  But if on the other hand he had no intention<br \/>\nwhatsoever to pay but merely said that he would do so<br \/>\nin order to induce the complainant to part with the<br \/>\ngoods then a case of cheating would be established.&#8221;\n<\/p>\n<p>\t<a href=\"\/doc\/1095656\/\">In  Hari Prasad Chamaria v. Bishun Kumar Surekha &amp; Ors.<br \/>\nAIR<\/a> 1974 SC 301 it was held that unless the complaint showed<br \/>\nthat the accused had dishonest or fraudulent intention at the time<br \/>\nthe complainant parted with the money it would not amount to an<br \/>\noffence under Section 420 IPC and it may only amount to breach<br \/>\nof contract.   <a href=\"\/doc\/488394\/\">In G.V. Rao v. L.H.V. Prasad &amp; Ors.<\/a> 2000 (3) SCC<br \/>\n693, it was reiterated that guilty intention is an essential ingredient<br \/>\nof the offence of cheating and, therefore, to secure conviction<br \/>\n&#8216;mens rea&#8217; on the part of the accused must be established.   It has<br \/>\nbeen further held that in order to constitute the offence of cheating<br \/>\nthe intention to deceive should be in existence at the time when the<br \/>\ninducement was offered.\n<\/p>\n<p>\tSo far as the present appellants are concerned, they came into<br \/>\npicture much later in July 1999, when various trademarks and<br \/>\nbrands of A-1 were purchased by A-6.   The appellants were not at<br \/>\nall in picture at the time when the complainant claims to have spent<br \/>\nmoney in improvement of its bottling plant on the basis of the<br \/>\nagreement executed with Cadbury Schweppes Beverages  India<br \/>\nPvt.  Ltd.  (A-1).    Since the appellants were not in picture at all at<br \/>\nthe time when the complainant alleges to have spent money in<br \/>\nimproving the bottling plant, neither any guilty intention can be<br \/>\nattributed to them nor there can possibly be any intention on their<br \/>\npart to deceive the complainant.  No offence of cheating can,<br \/>\ntherefore, be said to have been committed by the appellants on<br \/>\naccount of the fact that a notice was given to the complainant that<br \/>\nthe bottling agreements will not be renewed any further after<br \/>\nexpiry of the initial term.   Thus, even if the allegations made in the<br \/>\ncomplaint are accepted to be absolutely true and correct, the<br \/>\nappellants cannot be said to have committed any offence of<br \/>\ncheating as provided in Section 420 IPC.\n<\/p>\n<p>\tThe High Court has held that the Petitions filed by the<br \/>\nappellants for quashing the complaint and the FIRs registered<br \/>\nagainst them are pre-mature.   The question which arises is that<br \/>\nwhere the complaint or the FIR does not disclose commission of a<br \/>\ncognizable offence, whether the same can be quashed at the initial<br \/>\nstage ?\t  This question was examined by this Court in <a href=\"\/doc\/1926500\/\">State of West<br \/>\nBengal &amp; Ors. v. Swapan Kumar Guha &amp; Ors. AIR<\/a> 1982 SC 949<br \/>\nand it was held that the First Information Report which does not<br \/>\nallege or disclose that the essential requirements of the penal<br \/>\nprovision are prima facie satisfied, cannot form the foundation or<br \/>\nconstitute the starting point of a lawful investigation. It is surely<br \/>\nnot within the province of the police to investigate into a Report<br \/>\n(FIR) which does not disclose the commission of a cognizable<br \/>\noffence and the Code does not impose upon them the duty of<br \/>\ninquiry in such cases.\tIt was further held that an investigation can<br \/>\nbe quashed if  no cognizable offence is disclosed by the FIR.  The<br \/>\nsame question has been considered in <a href=\"\/doc\/1033637\/\">State of Haryana &amp; Ors. v.<br \/>\nCh. Bhajan Lal &amp; Ors. AIR<\/a> 1992 SC 604 and after considering all<br \/>\nthe earlier decisions, the category of cases, in which the Court can<br \/>\nexercise its extra-ordinary power under Article 226 of the<br \/>\nConstitution or the inherent power under Section 482  Cr.P.C.<br \/>\neither to prevent abuse of the process of any Court or to secure the<br \/>\nends of justice, were sumarised in para 108 of the Report and sub-<br \/>\nparas 1 to 3 thereof are being reproduced hereinbelow :<br \/>\n&#8220;1.\tWhere the allegations made in the First Information<br \/>\nReport or the complaint, even if they are taken at their<br \/>\nface value and accepted in their entirety do not prima<br \/>\nfacie constitute any offence or make out a case against<br \/>\nthe accused.\n<\/p>\n<p>2.\tWhere the allegations in the First Information Report<br \/>\nand other materials, if any, accompanying the F.I.R. do<br \/>\nnot disclose a cognizable offence, justifying an<br \/>\ninvestigation by police officers under Section 156(1) of<br \/>\nthe Code except under an order of a Magistrate within<br \/>\nthe purview of Section 155(2) of the Code.\n<\/p>\n<p>3.\tWhere the uncontroverted allegations made in the FIR<br \/>\nor complaint and the evidence collected in support of the<br \/>\nsame do not disclose the commission of any offence and<br \/>\nmake out a case against the accused.&#8221;\n<\/p>\n<p>\t   As mentioned earlier, the allegations made in the complaint,<br \/>\neven if they are taken at their face value and accepted in their<br \/>\nentirety, do not constitute any offence as against the appellants.<br \/>\nTherefore, the complaint filed by the respondent and the FIRs<br \/>\nregistered in pursuance thereof are liable to be quashed.  <a href=\"\/doc\/418835\/\">Trisuns<br \/>\nChemical Industry v. Rajesh Agarwal &amp; Ors.<\/a> 1999(8) SCC 686<br \/>\ncited by learned counsel for the complainant is clearly<br \/>\ndistinguishable as in the said case the allegation in the complaint<br \/>\nwas that the complainant had paid in advance a price higher than<br \/>\nthe market price for purchasing &#8220;toasted soyabean extracts&#8221; but the<br \/>\naccused sent the commodity which was of most inferior and<br \/>\nsubstandard quality due to which the complainant suffered a loss of<br \/>\nRs.17 lakhs.  In view of the allegations made in the complaint, the<br \/>\nmatter required investigation and the proceedings could not have<br \/>\nbeen quashed on the ground that the dispute was of a civil nature.<br \/>\n\tIn the result, the appeals are allowed. The impugned<br \/>\njudgment and order dated January 16, 2002 of the High Court is set<br \/>\naside and the complaint filed by the Respondent no.2 and the FIRs<br \/>\nregistered in pursuance thereof as Case Crime Nos.5 of 2001, 13 of<br \/>\n2001 and 18 of 2001, as against the appellants, are quashed.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court of India Ajay Mitra vs State Of M.P. &amp; Ors on 28 January, 2003 Author: Mathur Bench: S. Rajendra Babu, Brijesh Kumar, G.P. Mathur. CASE NO.: Appeal (crl.) 129 of 2003 PETITIONER: Ajay Mitra RESPONDENT: State of M.P. &amp; Ors. DATE OF JUDGMENT: 28\/01\/2003 BENCH: S. Rajendra Babu, Brijesh Kumar &amp; G.P. Mathur. [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[30],"tags":[],"class_list":["post-95905","post","type-post","status-publish","format-standard","hentry","category-supreme-court-of-india"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Ajay Mitra vs State Of M.P. &amp; Ors on 28 January, 2003 - Free Judgements of Supreme Court &amp; High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/ajay-mitra-vs-state-of-m-p-ors-on-28-january-2003-2\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Ajay Mitra vs State Of M.P. &amp; 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