IN THE HIGH COURT OF HIMACHAL PRADESH, SHIMLA
Cr. MMO No. 153 of 2025
Reserved on: 17.12.2025
Date of Decision: 1.1.2026
Ashutosh Gupta ...Petitioner
Versus
State of H.P. & others ...Respondents
Coram
Hon’ble Mr Justice Rakesh Kainthla, Judge.
Whether approved for reporting?
1
No.
For the Petitioner :Mr. Ashok Kumar Tyagi,
Advocate.
For respondents No. 1 to 3:Mr. Prashant Sen, Deputy
Advocate General.
For respondents No. 4 & 5 :Mr. Bimal Gupta, Senior
Advocate, with Ms. Simran,
Advocate.
Rakesh Kainthla, Judge
The petitioner has filed the present petition for
quashing of FIR No. 102/2024, dated 30.6.2024, registered at
Police Station Puruwala, District Sirmour, HP, for the
commission of offences punishable under Sections 451, 447 and
506 of the Indian Penal Code, 1860 (IPC).
1
Whether reporters of Local Papers may be allowed to see the judgment? Yes.
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2. Briefly stated, the facts giving rise to the present
petition are that respondent No.5/informant Keshav Sharma
made a complaint to the police that he was posted as a Manager
in Himalayan International Food Company, Shubhkhera, Paonta
Sahib. Manmohan Malik, the owner of the factory, owns the
house and land in Khasra No.206/155/63, Mauja Ambwala
Singpura. A civil suit was pending before the High Court. The
High Court directed Manmohan Malik to vacate five rooms and
the kitchen in CWP No. 7719/2021 and CMP No. 8402 of 2024.
Manmohan Malik handed over the possession of 05 rooms and
the kitchen to Ashutosh Gupta (the present petitioner),
designated partner of Manverse Pharma. The Court directed
Manmohan Malik to vacate the building on or before 23.6.2024.
He complied with the orders of the Court and removed his
articles. He deputed Deep Chand and Sant Kumar to look after
the property. Ashutosh Gupta and Man Singh threatened the
workers on 30.6.2024 at 5.30 PM and threw them out of the
premises in possession of Manmohan Malik. The locks were put
on the main gate and the boundary wall to oust Manmohan
Malik. The police registered the FIR and investigated the matter.
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3. Being aggrieved by the registration of the FIR and the
investigation, the petitioner has filed the present petition
asserting that Manmohan Malik was Director of APJ
Laboratories, Paonta Sahib, District Sirmour, H.P., which had
availed a loan from Punjab National Bank (PNB). The loan was
subsequently transferred to HP State Cooperative Bank. The
company failed to repay the loan, and proceedings under the
SARFAESI Act were initiated. The bank took over the possession
of the company’s property comprised in Khata/Khatauni No.
68/89, Khasra No.205/155/63, 166/84, 164/84, 149/86, 167/151,
Kita-6, measuring 27-17 bigha, situated in Mauza Ambwala
Singhapura, Tehsil Paonta Sahib, District Sirmour, H.P.
Manmohan Malik filed a writ petition before this Court, which
was registered as CWP No. 7719 of 2021, titled M/s APJ
Laboratories Vs. HP State Cooperative Bank. The Court ordered
the auction of the property, but no bidder participated. The
Court permitted the Cooperative Bank to sell the property by
private negotiation. The petitioner filed an application before
this Court, which was registered as CMP No. 3179 of 2024. The
petitioner’s company purchased the property from HP State
Cooperative Bank in a private negotiation for ₹12.52 crores. The
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Court issued a direction to Manmohan Malik to hand over the
possession of the property to the petitioner. Manmohan Malik
hindered the delivery of the possession and ultimately delivered
the possession pursuant to the order passed by the Court. The
Court granted time to Manmohan Malik to remove his
belongings from the portion of the house which was purchased
by the petitioner. Manmohan Malik removed the fixtures from
the building, and the matter was reported to the police. When
Manmohan Malik came to know about this fact, he lodged a
false complaint against the petitioner. He has also filed a civil
suit, but could not get any interim order from the Court. He
approached the Court by filing CMP No. 11391 of 2024, but this
application was dismissed by the Court. He filed another Civil
Writ Petition, which was registered as CWP No. 13328 of 2024
and was dismissed as not being maintainable. The petitioner
never claimed any right over Khasra No. 206/155/63 leased to
Manmohan Malik by the informant. The FIR was registered to
pressurise the petitioner to surrender his claim. The matter is
civil in nature and is being given a criminal colour. The
ingredients of the commission of offences punishable under
Sections 451, 457 and 506 of the IPC are not satisfied. The Civil
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Court is seized of the matter and is to decide the rights of the
parties. The continuation of the proceedings amounts to an
abuse of the process of the Court. Therefore, it was prayed that
the present petition be allowed and the FIR and consequential
proceedings arising out of the FIR be quashed.
4. The petition is opposed by respondents No.1 to 3 by
filing a reply making preliminary submissions regarding the
lack of maintainability and cause of action. It was asserted that
the police got the disputed land demarcated through the
revenue agency. Tehsildar issued a report stating that Keshav
Dutt is the owner-in-possession of Khasra No. 206/155/63,
measuring 1-03-00 bigha, which was leased out to Manmohan
Malik. A big and small gate abutted the path constructed upon
Khasra No.206/155/63. A residential house was constructed on
the spot, a portion of which falls in the land owned by Keshav
Dutt. The main door constructed on Khasra No. 206/155/63 was
found locked from the inside. Five rooms were constructed upon
Khasra No.205/155/63, which is in possession of the petitioner.
The dispute between the parties is civil, but the complaint
discloses the commission of a cognizable offence. Therefore, it
was prayed that the present petition be dismissed.
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5. A separate reply was filed by respondents No. 4 and 5
taking preliminary objections regarding lack of maintainability
and the petitioner having no right, title or interest over Khasra
No. 206/155/63 owned by respondent No.5 and leased to
respondent No.4. It was asserted that the petitioner took
forcible possession of the building constructed on Khasra No.
206/155/63 in possession of respondent No.5 Manmohan Malik.
The petitioner locked the main door of the gate of the boundary
wall with the clear intention of getting a share of the residence.
The dispute is criminal, and mere pendency of the civil suit will
not make it civil. The petitioner twisted the facts to suit his
version. Respondent No. 4 has a right over the building
constructed over Khasra No.206/155/63. Abhay Malik, who was
a partner of the petitioner, sent a message to Mr B.K. Sharma,
which was forwarded to the respondents. This message shows
the manner in which the possession was taken. The petitioner
trespassed into the building in possession of respondent Nos.4
and 5. Hence, it was prayed that the present petition be
dismissed.
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6. A rejoinder denying the contents of the reply filed by
respondent Nos. 4 and 5 and affirming those of the petition was
filed.
7. I have heard Mr Ashok Kumar Tyagi, learned counsel
for the petitioner/accused, Mr Prashant Sen, learned Deputy
Advocate General for respondents no.1 to 3/State and Mr Bimal
Gupta, learned Senior Counsel, assisted by Ms Simran, learned
counsel for respondents No.4 and 5.
8. Mr Ashok Kumar Tyagi, learned counsel for the
petitioner, submitted that the allegations in the FIR do not
constitute the commission of any cognizable offence. A civil
dispute is being converted into a criminal case, which is
impermissible. Therefore, he prayed that the present petition be
allowed and the FIR are consequential proceedings arising out
of it be quashed. He relied upon the judgment of Hon’ble
Supreme Court in Ankush Singh Vs. State of Uttar Pradesh, 2025
SCC OnLine SC 2060 and Ganesh Dutt and another Vs. State of HP
and others 2025 HHC 10439 in support of his submission.
9. Mr Prashant Sen, learned Deputy Advocate General,
for respondents No.1 to 3/State submitted that the allegations in
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the FIR, prima facie, show the commission of a cognizable
offence. Mere pendency of the civil dispute is not sufficient to
quash the FIR. Hence, he prayed that the present petition be
dismissed.
10. Mr Bimal Gupta, learned Senior Counsel for
respondents No.4 and 5, adopted the submission of Mr Prashant
Sen, learned Deputy Advocate General and submitted that the
door was locked from inside, which shows the trespass. The
petitioner has nothing to do with the building in possession of
respondents No.4 and 5, and he had locked the gate to deprive
respondents No.4 and 5 of the use of the property. The learned
Trial Court is seized of the matter, and this Court should not
exercise its inherent jurisdiction in the present matter. Hence,
he prayed that the present petition be dismissed.
11. I have given considerable thought to the submissions
made at the bar and have gone through the records carefully.
12. The law relating to quashing of criminal cases was
explained by the Hon’ble Supreme Court in B.N. John v. State of
U.P., 2025 SCC OnLine SC 7 as under: -
“7. As far as the quashing of criminal cases is concerned,
it is now more or less well settled as regards the
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principles to be applied by the court. In this regard, one
may refer to the decision of this Court in State of Haryana
v. Ch. Bhajan Lal, 1992 Supp (1) SCC 335, wherein this
Court has summarised some of the principles under
which FIR/complaints/criminal cases could be quashed
in the following words:
“102. In the backdrop of the interpretation of the
various relevant provisions of the Code under Chapter
XIV and of the principles of law enunciated by this
Court in a series of decisions relating to the exercise of
the extraordinary power under Article 226 or the
inherent powers under Section 482 of the Code which
we have extracted and reproduced above, we give the
following categories of cases by way of illustration
wherein such power could be exercised either to
prevent abuse of the process of any court or otherwise
to secure the ends of justice, though it may not be
possible to lay down any precise, clearly defined and
sufficiently channelised and inflexible guidelines or
rigid formulae and to give an exhaustive list of myriad
kinds of cases wherein such power should be
exercised.
(1) Where the allegations made in the first
information report or the complaint, even if they
are taken at their face value and accepted in their
entirety, do not prima facie constitute any offence
or make out a case against the accused.
(2) Where the allegations in the first
information report and other materials, if any,
accompanying the FIR do not disclose a
cognizable offence, justifying an investigation
by police officers under Section 156(1) of the
Code except under an order of a Magistrate
within the purview of Section 155(2) of the Code.
(3) Where the uncontroverted allegations made
in the FIR or complaint and the evidence
collected in support of the same do not disclose
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the commission of any offence and make out a
case against the accused.
(4) Where the allegations in the FIR do not
constitute a cognizable offence but constitute only
a non-cognizable offence, no investigation is
permitted by a police officer without an order of a
Magistrate as contemplated under Section 155(2)
of the Code.
(5) Where the allegations made in the FIR or
complaint are so absurd and inherently
improbable on the basis of which no prudent
person can ever reach a just conclusion that
there is sufficient ground for proceeding against
the accused.
(6) Where there is an express legal bar engrafted in
any of the provisions of the Code or the concerned
Act (under which a criminal proceeding is
instituted) to the institution and continuance of the
proceedings, and/or where there is a specific
provision in the Code or the concerned Act,
providing efficacious redress for the grievance of
the aggrieved party.
(7) Where a criminal proceeding is manifestly
attended with mala fide and/or where the
proceeding is maliciously instituted with an
ulterior motive for wreaking vengeance on the
accused and with a view to spite him due to a
private and personal grudge.” (emphasis added)
8. Of the aforesaid criteria, clause no. (1), (4) and (6)
would be of relevance to us in this case.
In clause (1), it has been mentioned that where the
allegations made in the first information report or the
complaint, even if they are taken at their face value and
accepted in their entirety, do not prima facie constitute
any offence or make out a case against the accused, then
the FIR or the complaint can be quashed.
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As per clause (4), where the allegations in the FIR do not
constitute a cognizable offence but constitute only a
non-cognizable offence, no investigation is permitted by
a police officer without an order dated by the Magistrate
as contemplated under Section 155 (2) of the CrPC, and in
such a situation, the FIR can be quashed.
Similarly, as provided under clause (6), if there is an
express legal bar engrafted in any of the provisions of the
CrPC or the concerned Act under which the criminal
proceedings are instituted, such proceedings can be
quashed.”
13. This position was reiterated in Ajay Malik v. State of
Uttarakhand, 2025 SCC OnLine SC 185, wherein it was observed:
“8. It is well established that a High Court, in exercising
its extraordinary powers under Section 482 of the CrPC,
may issue orders to prevent the abuse of court processes
or to secure the ends of justice. These inherent powers
are neither controlled nor limited by any other statutory
provision. However, given the broad and profound nature
of this authority, the High Court must exercise it
sparingly. The conditions for invoking such powers are
embedded within Section 482 of the CrPC itself, allowing
the High Court to act only in cases of clear abuse of
process or where intervention is essential to uphold the
ends of justice.
9. It is in this backdrop that this Court, over the course of
several decades, has laid down the principles and
guidelines that High Courts must follow before quashing
criminal proceedings at the threshold, thereby pre-
empting the Prosecution from building its case before the
Trial Court. The grounds for quashing, inter alia,
contemplate the following situations : (i) the criminal
complaint has been filed with mala fides; (ii) the FIR
represents an abuse of the legal process; (iii) no prima
facie offence is made out; (iv) the dispute is civil in
nature; (v.) the complaint contains vague and omnibus
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allegations; and (vi) the parties are willing to settle and
compound the dispute amicably ( State of Haryana v.
Bhajan Lal, 1992 Supp (1) SCC 335).
14. This position was reiterated in Rajendra Bihari Lal v.
State of U.P., 2025 SCC OnLine SC 2265, wherein it was observed:
“70. The aforesaid decisions of this Court make it clear
that where the High Court is satisfied that the process of
any court is being abused or likely to be abused or that the
ends of justice would not be secured, it is not only
empowered but also obligated under the law to exercise
its inherent powers. The provision does not confer any
new power on the High Court but rather saves the power
which the High Court already possesses, from before the
enactment of the legislation, by reason of its very
existence. In exercise of its power, it would be legitimate
for the High Court to quash any criminal proceedings if
the High Court finds that the initiation or continuation of
it may lead to abuse of process of court, and quashing of
the proceedings would serve the ends of justice.”
15. The present petition is to be decided as per the
parameters laid down by the Hon’ble Supreme Court.
16. The police registered the FIR for the commission of
the offence punishable under Sections 451, 447 and 506 of the
IPC. Section 506 of the IPC punishes a person for criminal
intimidation, which is defined in Section 503 of the IPC as
under: -
503. Criminal intimidation
Whoever threatens another with any injury to his person,
reputation or property, or to the person or reputation of
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anyone in whom that person is interested, with intent to
cause alarm to that person, or to cause that person to do
any act which he is not legally bound to do, or to omit to
do any act which that person is legally entitled to do, as
the means of avoiding the execution of such threat,
commits criminal intimidation.
Explanation- A threat to injure the reputation of any
deceased person in whom the person threatened is
interested is within this section.
17. Section 503 requires that the threat of injury should
have been made with an intent to cause alarm to a person, to do
an act, which a person is not legally bound to do or omit to do
any act which he is legally entitled to do. It was laid down by this
Court in Inder Pratap Singh Versus State of Himachal Pradesh 2003
(1) Crimes 345 (HC) that the complainant should have been
alarmed by the threat advanced by the accused to attract section
506 of IPC. It was observed:
“21. Similarly, before an offence of criminal intimidation
can be made out, it must be established prima facie that
the accused persons (like petitioners in the present case)
intended to cause an alarm to the complainant party, i. e.,
Jasbeer Singh. Mere threats, as alleged by him, extended
by the petitioners, with a view to deter the complainant
from interfering with what the petitioner believed to be
his exclusive property, would not constitute an offence of
criminal intimidation.”
18. Similar is the judgment of Hon’ble Supreme Court in
Vikram Johar v. State of U.P., (2019) 14 SCC 207: (2019) 4 SCC (Cri)
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795: 2019 SCC OnLine SC 609 wherein it was held at page 209: -
“25. Now, reverting back to Section 506, which is an
offence of criminal intimidation, the principles laid down
by Fiona Shrikhande v. State of Maharashtra, (2013) 14 SCC
44 : (2014) 1 SCC (Cri) 715 have also to be applied when the
question of finding out as to whether the ingredients of
the offence are made or not. Here, the only allegation is
that the appellant abused the complainant. For proving
an offence under Section 506 IPC, what are the
ingredients that have to be proved by the prosecution?
Ratanlal & Dhirajlal on Law of Crimes, 27th Edn., with
regard to proof of offence, states the following:
“… The prosecution must prove:
(i) That the accused threatened some person.
(ii) That such threat consisted of some injury to his
person, reputation or property; or to the person,
reputation or property of someone in whom he was
interested;
(iii) That he did so with intent to cause alarm to that
person; or to cause that person to do any act which he
was not legally bound to do, or omit to do any act
which he was legally entitled to do as a means of
avoiding the execution of such threat.” (emphasis
supplied)
A plain reading of the allegations in the complaint does
not satisfy all the ingredients as noticed above.
19. In the present case, the FIR does not mention that
any alarm was caused in the mind of any person or that any
person was compelled to do something which he would not have
done but for the intimidation. Therefore, the essential
requirements of Section 506 of IPC are not satisfied in the
present case.
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20. Section 441 of the IPC defines criminal trespass as an
entry upon the property in possession of another with intent to
commit an offence or to intimidate, insult or annoy any person
in possession of such property. It was laid down by the Hon’ble
Supreme Court in Mathri v. State of Punjab, 1963 SCC OnLine SC
180: AIR 1964 SC 986 that the prosecution has to prove that the
aim of the accused was to insult, intimidate or annoy and
merely because the entry caused the insult, intimidation, or
annoyance is not sufficient. It was observed:
18. We think, with respect, that this statement of law, as
also the similar statements in Laxaman Raghunath case
[26 Bombay 558] and in Sellamuthu Servaigaran case [ILR
35 Mad 186], is not quite accurate. The correct position in
law may, in our opinion, be stated thus: In order to
establish that the entry on the property was with the
intent to annoy, intimidate or insult, it is necessary for
the Court to be satisfied that causing such annoyance,
intimidation or insult was the aim of the entry; that it is
not sufficient for that purpose to show merely that the
natural consequence of the entry was likely to be
annoyance, intimidation or insult, and that this likely
consequence was known to the persons entering; that in
deciding whether the aim of the entry was the causing of
such annoyance, intimidation or insult, the Court has to
consider all the relevant circumstances including the
presence of knowledge that its natural consequences
would be such annoyance, intimidation or insult and
including also the probability of something else than the
causing of such intimidation, insult or annoyance, being
the dominant intention which prompted the entry.
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21. This position was reiterated in Rajinder v. State of
Haryana, (1995) 5 SCC 187: 1995 SCC (Cri) 852, wherein it was
observed at page 198:
“21. It is evident from the above provision that
unauthorised entry into or upon property in the
possession of another or unlawfully remaining there
after lawful entry can answer the definition of criminal
trespass if, and only if, such entry or unlawful remaining
is with the intent to commit an offence or to intimidate,
insult or annoy the person in possession of the property.
In other words, unless any of the intentions referred to in
Section 441 is proved, no offence of criminal trespass can
be said to have been committed. Needless to say, such an
intention has to be gathered from the facts and
circumstances of a given case…”
22. In the present case, the FIR does not mention that
the informant had trespassed into the property of respondents
No. 4 and 5 with an intent to commit an offence or to intimidate,
insult or annoy any person in possession of the property. The
FIR is regarding the dispossession of respondents No. 4 and 5
from the property, and does not satisfy the definition of
trespass.
23. It was submitted that the lock was put from inside,
which shows that the petitioner had trespassed into the
property owned and possessed by respondents No.4 and 5. This
submission will not help the respondents. Even if there was an
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entry, the intent mentioned in Section 441 is not specified in the
FIR and putting locks from inside will not make it a criminal
trespass.
24. The record shows that APJ laboratory was a defaulter.
The action was taken against it under the SARFAESI Act.
Respondent No.4, Manmohan Malik, was directed to hand over
the possession in Civil Writ Petition No. 7719 of 2021 vide order
dated 31.5.2024. However, the possession was not delivered, and
the Court passed an order on 11.6.2024 directing Manmohan
Malik and Sangeeta Malik to personally appear before the Court
in case of failure to deliver the possession of the 5
th
room. The
possession of the 5
th
room was delivered after this order, and
this fact was noticed by the Court in its order dated 13.6.2024.
Subsequently, Manmohan Malik filed CMP No. 11391 of 2024
stating that the house was built on Khasra No.205/155/63
inadvertently, as it was located adjacent to Khasra
No.206/155/63. The electricity connection was in the name of
Manmohan Malik. The purchaser (present petitioner) had
threatened Manmohan Malik that the latter would not be
permitted to use the part of the land/house, the entrance and
the area in his possession. This fact was brought to the notice of
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the police, but no action was taken. A civil suit was filed before
the Court of the learned Senior Civil Judge, Paonta Sahib. The
purchaser (present petitioner) and his officials locked the doors
and the main entrance gate of the building, which was not part
of the land mortgaged to H.P. State Cooperative Bank. An FIR
was registered regarding this incident. Hence, a prayer was
made to clarify the order dated 31.5.2024 and 13.6.2024 to the
extent that the purchaser was only entitled to the possession of
the mortgaged property and not the property leased to
Manmohan Malik.
25. This record shows that Manmohan Malik had
complained about the petitioner’s act before this Court, but the
Court declined to look into the matter. This is also the subject
matter of the civil suit. Thus, the petitioner’s acts were the
subject matter of the application filed before this Court, the civil
suit and the FIR. The police also concluded that, as per the
demarcation, some portion was found in possession of
Manmohan Malik, existing on Khasra No.206/155/63, with
which the petitioner has no concern. Therefore, it is apparent
that FIR. is in essence for the enforcement of the rights claimed
in the civil suit and the application filed before this Court.
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26. It was laid down by the Hon’ble Supreme Court in
Anukul Singh v. State of U.P., 2025 SCC OnLine SC 2060, that
criminal proceedings cannot be used for enforcing civil rights. It
was observed: -
17. This Court has, in a long line of decisions, deprecated
the tendency to convert civil disputes into criminal
proceedings. In Indian Oil Corporation v. NEPC India Ltd.
(2006) 6 SCC 736, it was held that criminal law cannot be
used as a tool to settle scores in commercial or
contractual matters, and that such misuse amounts to
abuse of process. The following paragraphs from the
decision are apposite:
“9. The principles relevant to our purpose are:
(i) A complaint can be quashed where the
allegations made in the complaint, even if
they are taken at their face value and
accepted in their entirety, do not prima facie
constitute any offence or make out the case
alleged against the accused. For this purpose,
the complaint has to be examined as a whole,
but without examining the merits of the
allegations. Neither a detailed inquiry nor a
meticulous analysis of the material nor an
assessment of the reliability or genuineness
of the allegations in the complaint is
warranted while examining a prayer for
quashing of a complaint.
(ii) A complaint may also be quashed where it
is a clear abuse of the process of the court, as
when the criminal proceeding is found to
have been initiated with malafides/malice for
wreaking vengeance or to cause harm, or
where the allegations are absurd and
inherently improbable.
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(iii) The power to quash shall not, however,
be used to stifle or scuttle a legitimate
prosecution. The power should be used
sparingly and with abundant caution.
(iv) The complaint is not required to verbatim
reproduce the legal ingredients of the offence
alleged. If the necessary factual foundation is
laid in the complaint, merely on the ground
that a few ingredients have not been stated in
detail, the proceedings should not be
quashed. Quashing of the complaint is
warranted only where the complaint is so
bereft of even the basic facts that are
absolutely necessary for making out the
offence.
(v) A given set of facts may make out: (a)
purely a civil wrong; or (b) purely a criminal
offence; or (c) a civil wrong as also a criminal
offence. A commercial transaction or a
contractual dispute, apart from furnishing a
cause of action for seeking a remedy in civil
law, may also involve a criminal offence. As
the nature and scope of a civil proceeding are
different from a criminal proceeding, the
mere fact that the complaint relates to a
commercial transaction or breach of
contract, for which a civil remedy is available
or has been availed, is not by itself a ground
to quash the criminal proceedings. The test is
whether the allegations in the complaint
disclose a criminal offence or not.
10. While on this issue, it is necessary to take notice
of a growing tendency in business circles to convert
purely civil disputes into criminal cases. This is
obviously on account of a prevalent impression that
civil law remedies are time-consuming and do not
adequately protect the interests of
lenders/creditors. Such a tendency is seen in
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several family disputes, also leading to an
irretrievable breakdown of marriages/families.
There is also an impression that if a person could
somehow be entangled in a criminal prosecution,
there is a likelihood of imminent settlement. Any
effort to settle civil disputes and claims, which do
not involve any criminal offence, by applying
pressure through criminal prosecution should be
deprecated and discouraged.”
18. Similarly, in Inder Mohan Goswami v. State of
Uttaranchal (2007) 12 SCC 1: AIR 2008 SC 251 , it was
emphasised that criminal prosecution must not be
permitted as an instrument of harassment or private
vendetta. In Ganga Dhar Kalita v. State of Assam (2015) 9
SCC 647, this Court again reiterated that criminal
complaints in respect of property disputes of a civil
nature, filed solely to harass the accused or to exert
pressure in civil litigation, constitute an abuse of process.
19. Most recently, in Shailesh Kumar Singh @ Shailesh R.
Singh v. State of Uttar Pradesh 2025 INSC 869, this Court
disapproved the practice of using criminal proceedings as
a substitute for civil remedies, observing that money
recovery cannot be enforced through criminal
prosecution where the dispute is essentially civil. The
Court cautioned High Courts not to direct settlements in
such matters but to apply the settled principles in Bhajan
Lal. The following paragraphs are relevant in this
context:
“9. What we have been able to understand is that
there is an oral agreement between the parties. The
Respondent No. 4 might have parted with some
money in accordance with the oral agreement, and
it may be that the appellant, herein, owes a
particular amount to be paid to the Respondent No.
4. However, the question is whether, prima facie,
any offence of cheating could be said to have been
committed by the appellant.
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10. How many times are the High Courts to be
reminded that to constitute an offence of cheating,
there has to be something more than prima facie on
record to indicate that the intention of the accused
was to cheat the complainant right from the
inception. The plain reading of the FIR does not
disclose any element of criminality.
11. The entire case is squarely covered by a recent
pronouncement of this Court in the case of “Delhi
Race Club (1940) Limited v. State of Uttar Pradesh”,
(2024) 10 SCC 690. In the said decision, the entire
law as to what constitutes cheating and criminal
breach of trust, respectively, has been exhaustively
explained. It appears that this very decision was
relied upon by the learned counsel appearing for
the petitioner before the High Court. However,
instead of looking into the matter on its own
merits, the High Court thought fit to direct the
petitioner to go for mediation and that too by
making payment of Rs. 25,00,000/- to the 4
th
respondent as a condition precedent. We fail to
understand why the High Court should undertake
such an exercise. The High Court may either allow
the petition, saying that no offence is disclosed or
may reject the petition, saying that no case for
quashing is made out. Why should the High Court
attempt to help the complainant to recover the
amount due and payable by the accused? It is for
the Civil Court or Commercial Court, as the case
may be, to look into a suit that may be filed for
recovery of money or in any other proceedings, be
it under the Arbitration Act, 1996 or under the
provisions of the IB Code, 2016.
12. Why the High Court was not able to understand
that the entire dispute between the parties is of a
civil nature.
13. We also enquired with the learned counsel
appearing for the Respondent No. 4 whether his
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client has filed any civil suit or has initiated any
other proceedings for recovery of the money. It
appears that no civil suit has been filed for the
recovery of money to date. Money cannot be
recovered, more particularly, in a civil dispute
between the parties by filing a First Information
Report and seeking the help of the Police. This
amounts to abuse of the process of law.
14. We could have said many things, but we refrain
from observing anything further. If the Respondent
No. 4 has to recover a particular amount, he may
file a civil suit or seek any other appropriate
remedy available to him in law. He cannot be
permitted to take recourse to criminal proceedings.
15. We are quite disturbed by the manner in which
the High Court has passed the impugned order. The
High Court first directed the appellant to pay Rs.
25,00,000/- to the Respondent No. 4 and thereafter
directed him to appear before the Mediation and
Conciliation Centre for the purpose of settlement.
That's not what is expected of a High Court to do in
a Writ Petition filed under Article 226 of the
Constitution or a miscellaneous application filed
under Section 482 of the Criminal Procedure Code,
1973, for quashing of FIR or any other criminal
proceedings. What is expected of the High Court is
to look into the averments and the allegations
levelled in the FIR, along with the other material on
record, if any. The High Court seems to have
forgotten the well-settled principles as enunciated
in the decision of this Court in the “State of Haryana
v. Bhajan Lal”, 1992 Supp (1) SCC 335.
27. In the present case, an attempt is being made to
convert the civil dispute into a criminal dispute by claiming that
the door was locked from inside, which prima facie does not
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constitute the offence of trespass. Therefore, the continuation
of the criminal proceedings is impermissible
28. Hon’ble Supreme Court held in Kapil Agarwal vs.
Sanjay Sharma, (2021) 5 SCC 524: 2021 SCC OnLine SC 154 that
criminal proceedings cannot be permitted to become a weapon
of harassment. It was observed:
“18.1. As observed and held by this Court in a catena of
decisions, inherent jurisdiction under Section 482 CrPC
and/or under Article 226 of the Constitution is designed to
achieve a salutary purpose that criminal proceedings ought
not to be permitted to degenerate into weapons of
harassment. When the Court is satisfied that criminal
proceedings amount to an abuse of process of law or that it
amounts to bringing pressure upon the accused, in the
exercise of inherent powers, such proceedings can be
quashed.”
29. No other point was urged.
30. In view of the above, the present petition is allowed,
and the FIR No. 102/2024, dated 30.6.2024, registered at Police
Station Puruwala, District Sirmour, HP, for the commission of
offences punishable under Sections 451, 447 and 506 of the
Indian Penal Code and the consequential proceedings arising
out of it are ordered to be quashed.
31. Petition stands disposed of in the above terms, so
also pending applications, if any.
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32. Parties are permitted to produce a copy of this
judgment, downloaded from the webpage of the High Court of
Himachal Pradesh, before the authorities concerned, and the
said authorities shall not insist on the production of a certified
copy, but if required, may verify passing of the order from the
Website of the High Court.
(Rakesh Kainthla)
Judge
1
st
January, 2026
(Chander)
Legal Notes
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