ORDER : 1. This Criminal Petition has been filed by A-1 in C.C. No. 49 of 2005 to quash the proceeding therein as far as he is concerned. 2. The facts of the case in brief are:— One Bhupathi Rao is the original owner of Ac. 0-43 cents of land in D. No. 539/1A1 of Perecherla-Guntur. He offered these lands as collateral security for the loan availed by M/s Veera Venkata Satyanarayana Cement Products, Perecherla, Guntur. The borrower committed default in payment of the loan due to the A.P. State Financial Corporation. Consequently, the Corporation exercised the powers under Section 29 of the State Financial Corporations Act, 1951, and published sale notification in Eenadu on 9-1-2002 inviting tenders for purchase of the said land. The petitioner became the highest tenderer and eventually the sale came to be confirmed in his favour. He was put in possession of the property under a panchanama dated 8-3-2002 and thereafter a registered sale deed came to be executed in his favour on 15-3-2002. While so, the 2nd respondent claiming to be the purchaser of the land under registered sale deed dated 26-9-1985 presented a report before the S.H.O. Medikondur P.S. alleging inter alia that the petitioner and another accused person (A-2) trespassed into the land and started cutting eucalyptus plants situated therein. The S.H.O. received report and registered a case in Crime No. 32 of 2002 and proceeded with the investigation. After completing investigation a charge sheet came to be presented before the VII Addl. Munsiff Magistrate, Guntur. The learned Magistrate took the charge sheet on file as C.C. No. 49 of 2005. Hence, this Criminal Petition by A-1 to quash the proceeding therein. 3. Learned counsel appearing for the petitioner-A-1 submits that the petitioner-A-1 purchased property in the auction held by A.P. State Financial Corporation and the possession came to be delivered to him on 8-3-2002 followed by registered sale deed dated 15-3-2002. 4. Therefore, his possession cannot be said to be unauthorized. He would further submit that even if there is any dispute between the petitioner and 2nd respondent, it is purely a civil in nature and therefore, initiation of criminal proceeding against the petitioner-A-1 is solely unwarranted. 5. 4. Therefore, his possession cannot be said to be unauthorized. He would further submit that even if there is any dispute between the petitioner and 2nd respondent, it is purely a civil in nature and therefore, initiation of criminal proceeding against the petitioner-A-1 is solely unwarranted. 5. Learned counsel appearing for the 2nd respondent submits that the 2nd respondent purchased the property from the original owner under a registered sale deed dated 26-9-1985 which is much prior to the alleged sale in favour of the petitioner, since specific accusation has been made against the petitioner and another of their trespassing over the land and cutting the eucalyptus trees, the proceeding in C.C. No. 49 of 2005 can not be interdicted in exercise of powers under Section 482 Cr.P.C. A further submission has been made by the learned counsel that various disputed facts are required to be adjudicated under full trial and thus the proceeding in C.C. No. 49 of 2005 cannot be quashed at this stage. 6. A fact remains that M. Bhupathi Rao is the owner of the land. He offered the land as collateral security for the loan sanctioned to M/s. Veera Venkata Satyanarayana Cement Products, Perecherla, Guntur by the A.P. State Financial Corporation, Guntur. A.P. State Financial Corporation in exercise of powers under Section 29 of the State Financial Corporations Act, 1951 has proceeded with the auction of the land mortgaged as security for the loan availed by M/s. Veera Venkata Satyanarayana Cement Products, Perecherla, Guntur. Section 29 of the State Financial Corporations Act, 1951 needs to be noted and it is thus: “29. Rights of Financial Corporation in case of default: (1) Where any industrial concern, which is under a liability to the financial Corporation under an agreement, makes any default in repayment of any loan or advance or any installment thereof (or in meeting its obligations in relation to any guarantee given by the Corporation) or otherwise fails to comply with the terms of its agreement with the financial Corporation, the Financial Corporation shall have the (right to take over the management or possession or both of the industrial concerns), as well as the (right to transfer by way of lease or sale) and realize the property pledged, mortgaged, hypothecated or assigned to the Financial Corporation. (2) Any transfer of property made by the Financial Corporation, in exercise of its powers under sub-section (1), shall vest in the transferee all rights in or to the property transferred (as if the transfer) had been made by the owner of the property. (3) The Financial corporation shall have the same rights and powers with respect to goods manufactured or produced wholly or partly from goods forming part of the security held by it as it had with respect to the original goods. (4) where any action has been taken against an industrial concern under the provisions of sub-section (1) all costs, (charge and expenses which in the opinion of the Financial Corporation have been properly incurred) by it (as incidental thereto) shall be recoverable from the industrial concern and the money which is received by it shall, in the absence of any contract to the contrary, be held by it in trust to be applied firstly, in payment of such costs, charges and expenses and, secondly, in discharge of the debt due to the Financial Corporation, and the residue of the money so received shall be paid to the person entitled thereto. (5) Where the Financial Corporation has taken any action against an industrial concern under the provisions of sub-section (1), the Financial Corporation shall be deemed to be the owner of such concern, for the purposes of suits by or against the concern, and shall sue and be sued in the name of (the concern)”. 7. It is manifest from the above referred provision that once the borrower commits default, the A.P. State Financial Corporation deemed to be the owner of the land and shall have right to take over the property pledged, mortgaged, hypothecate or assigned and release (realise)—the outstanding dues. The sale of the land has been duly published, in Eenadu. A copy of which has been placed on record. The petitioner-A-1 purchased the property in the auction conducted by the A.P. State Financial Corporation. Delivery of possession has been effected under a panchanama dated 8-3-2002. Copy of which has been placed on record. Such is the situation, the dispute if any between the parties is purely civil in nature. Initiation of criminal proceeding against a person who has purchased the property in the auction held by the A.P. State Financial Corporation would amount to abuse of process of Court. 8. Copy of which has been placed on record. Such is the situation, the dispute if any between the parties is purely civil in nature. Initiation of criminal proceeding against a person who has purchased the property in the auction held by the A.P. State Financial Corporation would amount to abuse of process of Court. 8. Therefore, the Criminal Petition is allowed and the proceeding in C.C. No. 49 of 2005 on the file of VII Addl. Munsiff Magistrate, Guntur against the petitioner is hereby quashed.