High Court of KeralaSingle JudgeQuashed

M/S.J.THOMAS & CO. PVT. LTD. v. M/S.VAGHAMON TEA ESTATES and The State of Kerala

Case / Petition Number:CRL.M.C. No. 3094 of 2005

Case Details & Bench

Court
High Court of Kerala
Hon'ble Judges
  • V.K. Mohanan
Judgment Date
2008-07-17
Court Decision / Holding
Annexure A complaint and C.C. No.2569/2005 instituted thereupon and all proceedings pending before the Judicial First Class Magistrate-I, Ernakulam are quashed. The Cr.M.C. is allowed.
Final Disposition
Quashed

Parties to the Case

Appellants / Petitioners

  • M/S.J.THOMAS AND COMPANY PVT. LTD.
  • A.CHOWDHURI, CHAIRMAN & MANAGING DIRECTOR, M/S.J.THOMAS & CO.PVT.LTD.
  • A.GOSH, CHAIRMAN & MANAGING DIRECTOR, M/S.J.THOMAS & CO.PVT.LTD.
  • A.BATRA, MANAGING DIRECTOR, M/S.J.THOMAS & CO. PVT. LTD.
  • V.SHANKER, DIRECTOR, M/S.J.THOMAS & CO. PVT. LTD.
  • V.S.CRISHNA, DIRECTOR, M/S.J.THOMAS & CO. PVT. LTD.
  • K.KATYAL, DIRECTOR, M/S.J.THOMAS & CO. PVT. LTD.
  • C.A.MOHAN, DIRECTOR, M/S.J.THOMAS & CO. PVT. LTD.
  • MR.KURIAN PAUL, SENIOR MANAGER, M/S.J.THOMAS & CO. PVT. LTD.

Respondents

  • M/S.VAGHAMON TEA ESTATES represented by its duly authorised partner, JOSEPH MATHEW (JR)
  • THE STATE OF KERALA, represented by the PUBLIC PROSECUTOR, HIGH COURT OF KERALA

Legal Representation & Advocates

Counsels for Petitioners

  • • SRI B.RAMAN PILLAI
  • • SRI GEORGE PHILIP
  • • SRI R.ANIL
  • • SRI RAJU RADHAKRISHNAN
  • • SRI ANIL K.MOHAMMED
  • • SRI DELVIN JACOB MATHEWS

Counsels for Respondents

  • • SRI GEORGE KURUVILLA
  • • SRI VINOD VALLIKAPPAN
  • • PUBLIC PROSECUTOR SRI K.C.SANTHOSH KUMAR

Case Synopsis & Summary

This is a criminal miscellaneous case under Section 482 Cr.P.C. in which the petitioners, M/S J. Thomas & Co. Pvt. Ltd., and associated officers, seek quashing of Annexure A and all further proceedings in C.C. No.2569 of 2005, pending before the Judicial First Class Magistrate-I, Ernakulam. The annexed complaint alleges offences under sections 409, 420, 463 and 467 read with section 34 of the IPC, arising from a long-standing business relationship and disputes between the petitioners and M/S. Vaghomon Tea Estates, represented by its partner, and the State. During the course of the hearing, the parties informed the High Court that a settlement had been reached on 6 November 2007, with a memorandum dated 6 July 2008, and that the complainant has no objection to quashing the complaint and proceedings. The Court notes that the dispute is largely personal in nature, with no public policy involved. Relying on the Supreme Court’s decision in Madan Mohan Abbot v. State of Punjab, the Court accepts that where disputes are purely personal and a compromise exists, continuing the prosecution would be a waste of judicial time. Consequently, the Court quashes Annexure A, the criminal complaint, and all proceedings, and allows the Cr.M.C. submission.

Provisions of Law Cited

Section 482 of Cr.P.C.Sections 409, 420, 463 and 467 read with Section 34 IPC

Legal Doctrines & Maxims

  • Compromise in criminal proceedings in cases of purely personal disputes should be encouraged; no public policy involved.
  • When a settlement is reached in a criminal matter between private parties, the court may quash the proceedings to avoid fruitless prosecution.
  • Courts should adopt a common-sense approach given the realities of an overburdened judiciary.
  • Madan Mohan Abbot v. State of Punjab — a foundational authority for quashing where disputes are purely personal.

Submissions & Arguments

Contentions of Appellants / Petitioners

The petitioners submitted that the Annexure A complaint and all proceedings should be quashed in light of a settlement reached between the parties. They highlighted that the agreement dated 6-11-2007, and the accompanying memo dated 6-7-2008, reflect an out-of-court settlement, with the complainant expressing no objection to quashing. They argued that the dispute appears to be personal in nature, not involving public policy, and that continuing prosecutions would be futile and a misuse of judicial time.

Contentions of Respondents

The respondents, per their counsel, acknowledged the settlement evidenced by the agreement and stated they have no objection to quashing Annexure A. The State side, via the Public Prosecutor, supported quashing given the out-of-court settlement and the lack of any public-interest element in the dispute.

Cited Precedents (1)

Case NameCitationTreatmentExplanation
Madan Mohan Abbot v. State of Punjab2008(2) KHC 589 (SC)PositiveSC held that in disputes of a purely personal nature with no public policy involved, compromises should lead to quashing criminal proceedings. The judgment supports quashing where a settlement exists and prosecution serves no public purpose.

Diagnostic Tool

Beta

Does this judgment govern your specific facts?

Don't risk relying on a distinguishable precedent. Enter your facts or proposition below. We will test it against M/S.J.THOMAS & CO. PVT. LTD. v. M/S.VAGHAMON TEA ESTATES and The State of Kerala and instantly map out authorities that support, challenge, or govern your position.

Extracted Judgment Text

Exact text extracted from official judgment records.

IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE V.K.MOHANAN THURSDAY, THE 17TH JULY 2008 / 26TH ASHADHA 1930 Crl.MC.No. 3094 of 2005() ------------------------CC.2569/2005 of JUDL.MAGISTRATE OF FIRST CLASS-I, ERNAKULAM .................... PETITIONER: - ------------ 1. M/S.J.THOMAS AND COMPANY PVT. LTD., NILHAT HOUSE, BRISTOW ROAD, KOCHI-682 003. 2. A.CHOWDHURI, CHAIRMAN & MANAGING DIRECTOR, M/S.J.THOMAS & CO.PVT.LTD., NILHAT HOUSE, II R N MUKHERJEE ROAD, POST BOX NO. 69, KOLKATA-700 001. 3. A.GOSH, CHAIRMAN & MANAGING DIRECTOR, M/S.J.THOMAS & CO.PVT.LTD., NILHAT HOUSE, II R N MUKHERJEE ROAD, POST BOX NO. 69, KOLKATA-700 001. 4. A.BATRA, MANAGING DIRECTOR, M/S.J.THOMAS & CO. PVT. LTD., NILHAT HOUSE, BRISTOW ROAD, KOCHI-682 003. 5. V.SHANKER, DIRECTOR, M/S.J.THOMAS & CO. PVT. LTD., NILHAT HOUSE, II R N MUKHERJEE ROAD, POST BOX NO. 69, KOLKATA-700 001. 6. V.S.CRISHNA, DIRECTOR, M/S.J.THOMAS & CO. PVT. LTD., II R N MUKHERJEE ROAD, POST BOX NO. 69, KOLKATA-700 001. 7. K.KATYAL, DIRECTOR, M/S.J.THOMAS & CO. PVT. LTD., NILHAT HOUSE, II R.N.MUKHERJEE ROAD, POST BOX NO. 69, KOLKATA-700 001. 8. C.A.MOHAN, DIRECTOR, M/S.J.THOMAS & CO. PVT. LTD., NILHAT HOUSE, II R N MUKERJEE ROAD, POST BOX NO. 69, KOLKATA-700 001. 9. MR.KURIAN PAUL, SENIOR MANAGER, CRMC 3094/05 M/S.J.THOMAS * CO. PVT. LTD., NILHAT HOUSE, BRISTOW ROAD, KOCHI-682 003. BY ADV. SRI.B.RAMAN PILLAI SRI.GEORGE PHILIP SRI.R.ANIL SRI.RAJU RADHAKRISHNAN SRI.ANIL K.MOHAMMED SRI.DELVIN JACOB MATHEWS RESPONDENTS: - ------------- 1. M/S.VAGHAMON TEA ESTATES REPRESENTED BY ITS DULY AUTHORISED PARTNER, JOSEPH MATHEW (JR), MANARKATTU BLDGS, PALA. 2. THE STATE OF KERALA, REPRESENTED BY THE PUBLIC PROSECUTOR, HIGH COURT OF KERALA. R1 BY ADV. SRI.GEORGE KURUVILLA & SRI.VINOD VALLIKAPPAN R2 BY PUBLIC PROSECUTOR SRI K.C.SANTHOSH KUMAR. THIS CRIMINAL MISC. CASE HAVING BEEN FINALLY HEARD ON 17/07/2008, THE COURT ON THE SAME DAY PASSED THE FOLLOWING: ORDER ON CRL.M.A.11629/2005 IN CRL.M.C. NO.3094 OF 2005 DISMISSED. 17-7-2008 SD/- V.K.MOHANAN, JUDGE. //TRUE COPY// ## **V.K.MOHANAN, J.** ---------------------------------------------CRL.M.C. No.3094 of 2005 ---------------------------------------------Dated, 17[th] July, 2008. ## ORDER The accused in C.C.No. 2569/05 of the court of the Judicial First Class Magistrate-I, Ernakulam are the petitioners before this Court under Section 482 of Cr.P.C. in which the prayer is to quash Annexure A complaint and all further proceedings in C.C.No.2569/2005 pending before the court below. 2. Annexure A is the complaint filed by the Ist respondent herein for the offences punishable under sections 409, 420, 463 and 467 read with Sec.34 of IPC. According to the complainant, it is a partnership firm and the Ist accused is a private limited company with registered office at Calcutta engaged in the business of tea auction. Accused Nos. 2 to 4 are the office bearers of the company and accused Nos. 5 to 8 are its Directors and Accused No.9 is the Senior Manager. There were frequent transaction between the complainant and the accused for the last 20 CRL.M.C.3094/05 ## **-:2:-** years. Based upon the transaction entered into between the parties to the complaint, some dispute arose which culminated in filing Annexure A complaint. I do not propose to go into the details of the disputes and the averments contained in the complaint as the matter has been settled between the parties. Since the matter has been settled, counsel for the petitioner submits that Annexure A complaint and all proceedings instituted thereupon may be quashed. 3. I have heard the learned counsel for the petitioner as well as the counsel for the Ist respondent and also the learned Public Prosecutor appearing for the 2[nd] respondent. While the Crl.M.C. is pending before this Court, the parties to Annexure A complaint entered into an agreement settling the dispute between them. A memo dated 6-7-2008 is filed along with the settlement dated 6-11-2007 signed by both parties and their respective counsel. 4. The learned Counsel for the Ist respondent CRL.M.C.3094/05 ## **-:3:-** submitted that as evidenced in the settlement agreement referred above, the matter has been settled out of court and he has no objection in quashing Annexure A complaint and all proceedings instituted thereon. 5. Going by the averments contained in Annexure A complaint, the dispute seems to be purely personal in nature and no public policy is involved. As the matter has already been settled between the parties, even if the proceedings pending before the court below is allowed to continue, there is no likelihood of a fruitful prosecution and the net result will be a waste of time of the court below. The Apex Court in **Madan Mohan Abbot v. State of Punjab** (2008(2) KHC 589 (SC), has held : “It is on the basis of this compromise that the application was filed in the High Court for quashing of proceedings which has been dismissed by the impugned order. We notice from a reading of the FIR and the other documents on record that the dispute was purely a personal one between two contesting parties and that it arose out of CRL.M.C.3094/05 ## **-:4:-** extensive business dealings between them and that there was absolutely no public policy involved in the nature of the allegations made against the accused. We are, therefore, of the opinion that no useful purpose would be served in continuing with the proceedings in the light of the compromise.........”. ## It was also held: “We need to emphasize that it is perhaps advisable that in disputes where the question involved is of a purely personal nature, the Court should ordinarily accept the terms of the compromise even in criminal proceedings as keeping the matter alive with no possibility of a result in favour of the prosecution is a luxury which the Courts, grossly overburdened as they are, cannot afford and that the time so saved can be utilized in deciding more effective and meaningful litigation. This is a common sense approach to the matter based on ground of realities and bereft of the technicalities of the law”. 6. In the light of the above settled position of law, and as the matter has already been settled and when there is no possibility for a fruitful prosecution, especially, when CRL.M.C.3094/05 ## **-:5:-** the complainant has no objection in quashing Annexure A complaint., I am of the view that all proceedings pending before the court below can be quashed. In the result, Anneuxre A complaint and C.C. No.2569/2005 instituted thereon and all proceedings pending before the Judicial First Class Magistrate-I, Ernakulam are quashed. The Crl.M.C. is allowed. **V.K.MOHANAN, JUDGE** kvm/- CRL.M.C.3094/05 ## **-:6:-** V.K.MOHANAN, J. No.... Judgment/Order Dated: