JUDGMENT Rule. Rule made returnable forthwith. By consent of parties, heard for final disposal. 2. The present proceeding is filed to challenge the order made by JMFC, Ahmednagar to police to make investigation of the case u/s 156 (3) of Cr.P.C. On the basis of this order, C.R.No.M-10/2007 is registered in Topkhana police station, Ahmednagar for offences punishable u/s 392, 395 & 34 of IPC. 3. The petitioner is branch manager of Shriram Transport Finance Company Ltd. Ahmednagar. The brother of respondent no. 1 had taken finance from Shriram Transport Finance Company Ltd. Branch Ahmednagar for purchasing 2 trucks. The two trucks were purchased and hypothecation agreement was signed by said brother of respondent no.1. In the agreement, the finance company had the power to repossess the vehicle in case default was committed by borrower in making payment of installments of loan. There was also arbitration clause in the agreement. As the default was committed, steps were taken by the finance company and both the vehicles were repossessed. 4. The borrower had first approached Consumer Forum, Ahmednagar and he obtained some interim order to prevent the finance company from selling the vehicle. This proceeding was filed on 31/10/2007. This proceeding came to be disposed of and the application came to be rejected. An attempt was made to get the custody of vehicle by said borrower by making application u/s 94 of Cr.P.C. but there also he failed. Then, present respondent no.1 filed complaint and on that complaint, aforesaid order was made by JMFC. This step was taken by respondent no.1 in December 2007. 5. The order was challenged by filing revision but the revision is dismissed. It was submitted for the petitioner that only to pressurize the finance company and the petitioner and to counter blast the action which the finance company has taken, the complaint was filed and the crime is registered. It was submitted that the petitioner was discharging his duty as Manager and respondent no. 1 had no concern with the said transaction and so, the order needs to be set aside and the crime needs to be quashed and set aside. It was submitted that it will be misuse of process of law and use of such procedure will cause unnecessary harassment to the petitioner. 6. This Court has carefully gone through copies of all the papers.
It was submitted that it will be misuse of process of law and use of such procedure will cause unnecessary harassment to the petitioner. 6. This Court has carefully gone through copies of all the papers. In October, 2007, when complaint was made to Consumer Forum, there was no reference of respondent no. 1 in the said complaint. A vague contention was made that when the vehicle was repossessed by finance company, in the vehicle, there were some household articles of labours who were working for sugar factory. The record shows that the finance company has filed proceeding u/s 138 of Negotiable Instruments Act also. Initially proceedings were filed by the borrower and when he lost the battle before consumer forum and before JMFC, respondent no. 1 took steps like filing private complaint. First time in the private complaint, respondent no. 1 contended that there were some articles like 25 bags of Bajra food grain, 10 bags of wheat and some other articles and they were also forcibly taken away. The action taken by finance company is held to be correct and legal by Consumer Forum. All these circumstances are sufficient to infer that only to counter blast the action taken by the finance company, private complaint is filed by respondent no.1. 7. The learned counsel for petitioner relied on 2 reported cases: [1] 2001 Cri.L.J. 4255 S.C. [Charanjit Singh Chadha and others Vs. Sudhir Mehra] and [12] AIR 2010 SC 201 [M.N.Ojha and others V/s Alok Kumar Srivastav and another). In the first case, the Apex Court held that when finance company has taken some action under the right given to it under agreement of loan, the proceeding like criminal case for offence like theft of vehicle will not be allowed against finance company and this will amount to misuse of process of law. In the second case, the Apex Court has held that when the officers of bank [finance company] took action for discharge of the duties, criminal intention cannot be inferred against them and criminal proceeding filed against them can be quashed if proper case is made out. 8. There cannot be any doubt about the power of this Court for quashing of proceeding or quashing of FIR.
8. There cannot be any doubt about the power of this Court for quashing of proceeding or quashing of FIR. The facts mentioned above show that respondent no.1 brother of borrower had no concern with the transaction and initially only the borrower had taken steps against finance company when the 2 vehicles were repossessed by finance company. The facts are sufficient to infer that the action taken by respondent no.1 was afterthought and it was only to give counter blast to the action taken by the finance company. It will be misuse of process of law if action is allowed to be continued. In view of these circumstances, order made by JMFC for investigation u/s 156(3) of Cr.P.C. cannot sustain in law. In the result, following order: 9. Writ Petition is allowed to the extent of petitioner and order made by JMFC for making investigation of the case as against petitioner u/s 156(3) of Cr.P.C. is hereby set aside and consequently the crime registered against petitioner on the basis of the same order stands quashed and set aside. Rule is made absolute in aforesaid terms. Ordered accordingly