Banking Law – Declaration of Fraud – Petitioner challenged the classification as 'fraud' by the respondent bank – Argument that such classification must be based on a majority rule among consortium banks with at least 60% share in the total lending as per RBI guidelines – Earlier Show Cause Notice quashed for non-supply of documents and lack of hearing – Petitioner's classification as 'fraud' set aside for lack of jurisdiction and procedural irregularities – Directions to file a report with RBI and CBI/Police without prejudice to the rights of the parties [Paras 1-12].

RBI Master Directions – Jurisdictional Requirements – Emphasized that individual banks can independently audit accounts but cannot unilaterally declare an account as 'fraud' without consortium majority consent – Respondent bank’s failure to follow this directive renders the classification invalid [Paras 8-11].

Due Process – Requirement of Hearing – Highlighted the necessity of providing an opportunity of hearing to the petitioner before adverse classification – Failure to adhere to due process resulted in quashing of the impugned order [Paras 8-10].

Decision – Writ Petition Allowed – Held – Impugned order quashing the classification of the petitioner as 'fraud' set aside – Interim relief granted to the petitioner pending final adjudication – Directions for compliance with RBI guidelines and procedural fairness in future actions [Para 11].

Seniority List – Exclusion from List – Claim for Compensation – Respondent excluded from seniority list of Foresters appointed post-1980, allegedly due to not being in service during the list’s preparation. Respondent attained superannuation during litigation. Learned Single Judge directed appellants to pay monetary compensation for wrongful exclusion – Held, direction for monetary compensation set aside; respondent directed to seek redress under applicable Government schemes [Paras 1-8].

Service Law – Regularisation and Superannuation – Appellants argued non-inclusion of respondent’s name due to his absence from service when list was prepared. Court held that exclusion was wrongful but regularisation not possible post superannuation. Monetary compensation ordered by learned Single Judge inappropriate – Direction issued for respondent to seek appropriate relief under Government schemes for senior citizens [Paras 6-7].

Decision – Writ Appeal Partly Allowed – Order for monetary compensation set aside. Respondent directed to apply for benefits under suitable Government schemes. Appellate order does not interfere with the learned Single Judge’s finding on wrongful exclusion from seniority list [Para 8].
 

Electricity Regulation – Limitation – Refund of Excess Charges – Petitioner (MSEDCL) challenged CGRF orders directing refund of excess AEC and FAC charged – Contention that claims were barred by limitation – High Court held that the cause of action arose upon MERC’s clarification order and complaint filed within two years was timely – Regulation 6.6 of MERC Regulations was held to be directory, not mandatory – Appeal dismissed [Paras 61-70].

Regulation Compliance – Refund of Excess AEC and FAC – MERC orders permitted AEC and FAC recovery within specific periods – MSEDCL recovered charges outside permitted periods – High Court upheld CGRF’s order for refund with interest for excess recovery – Emphasized adherence to regulatory orders and consumer protection [Paras 43-50].

Interest on Refund – Applicability of Section 62(6) of Electricity Act – CGRF directed refund with interest for non-compliance of MERC orders – High Court affirmed, noting failure to comply with MERC directions justified interest under Section 62(6) [Paras 52-55].

CGRF Jurisdiction and Procedure – Reasoned Orders – MSEDCL contended CGRF did not provide reasoned findings – High Court found CGRF orders sufficiently detailed, supported by regulations and evidence – Rejected claims of unjust enrichment by respondents [Paras 56-60].

Decision:

Writ Petitions Dismissed – CGRF orders directing MSEDCL to refund excess AEC and FAC charges with interest upheld – Court stayed judgment for eight weeks to allow appeal** [Paras 75-77].

Civil Procedure – Recovery on Promissory Notes – Defendant appealed against trial court’s decree in favor of the plaintiff for recovery of sums due on two promissory notes – Defendant claimed notes were forged and plaintiff lacked capacity to lend – Trial court’s judgment upheld, appeal dismissed – Defendant’s plea that her name was misstated as Saroja instead of Sarojamma found baseless – Evidence confirmed that defendant signed as Saroja in various official documents [Paras 1-20].

Burden of Proof – Negotiable Instruments – Trial court properly applied presumption under Section 118(a) of the Negotiable Instruments Act – Plaintiff demonstrated execution of promissory notes and capacity to lend – Defendant failed to rebut presumption or provide substantive evidence against consideration – Apex Court precedents emphasized presumption of consideration unless adequately disproved by defendant [Paras 12-18].

Defendant’s Identity and Signature – Plea of Forgery – Defendant’s contention regarding incorrect name and forgery dismissed – Documentary evidence confirmed defendant’s use of the name Saroja – Scribe of promissory notes corroborated plaintiff’s case, while defendant failed to present credible counter-evidence [Paras 16-17].

Decision:

Appeal dismissed – Decree and judgment of the trial court affirmed – No costs awarded – Miscellaneous petitions closed [Paras 19-20].

Criminal Law – Quashing of FIR – Compromise between parties – Petitioners sought quashing of FIR No. 65 of 2019 under Sections 307, 325, 324, 341, 504, 506, 147, 148, and 149 IPC registered at Police Station, Bhuntar, District Kullu, H.P. – FIR lodged by complainant following an altercation and assault leading to grievous injuries – Compromise reached between the parties – High Court emphasized that while the power to quash criminal proceedings under Section 482 Cr.P.C. exists, it should be exercised sparingly, especially in cases involving serious offences – Court noted that both parties belong to the same community and settled their disputes amicably through intervention of community members – FIR and consequent proceedings quashed in the interest of restoring harmony between the parties [Paras 1-13].

Exercise of Inherent Powers – Section 482 Cr.P.C. – Court discussed the parameters for exercising inherent powers to quash FIRs, as laid down by the Supreme Court in Narinder Singh v. State of Punjab (2014) 6 SCC 466 and Gian Singh v. State of Punjab (2012) 10 SCC 303 – Highlighted that such power should not be exercised in cases involving heinous and serious offences unless there are exceptional circumstances – In the present case, injuries, though grievous, were not life-threatening and the compromise was genuine [Paras 7-12].

Decision – Petition allowed – FIR No. 65 of 2019 and subsequent proceedings quashed – Petitioners acquitted of charges – Court acknowledged the societal benefit of the compromise and the need to maintain peace and harmony within the community [Para 13].

Quashing of Proceedings – Scheduled Castes and Scheduled Tribes (Prevention of Atrocities) Act, 1989 – Section 3(1)(u) – Petitioners sought quashing of Special Case No. 101 of 2022 arising out of a property dispute, alleging false implication under the SC/ST Act – Court examined the nature of allegations, ongoing civil disputes, and material on record – Found the complaint motivated by personal grudge and property dispute – Held, continuation of proceedings would be an abuse of the process of law [Paras 1-15].

Abuse of Process – Section 482 Cr.P.C. – Exercise of Inherent Powers – Court reiterated principles for exercising powers under Section 482 to prevent abuse of process – Highlighted need for close examination of FIR and attendant circumstances – Emphasized that proceedings arising from personal vendetta should be quashed to secure ends of justice [Paras 7-11].

Pending Civil Disputes – Impact on Criminal Proceedings – Court noted several litigations between parties over title and possession of land – Observed that criminal complaint was lodged with malafide intention related to property disputes – Held, mere altercations related to property issues do not constitute an offence under SC/ST Act unless motivated by caste discrimination [Paras 8-12].

Decision: Revision allowed – Special Case No. 101 of 2022 quashed – Proceedings arising out of Patuli Police Station Case No. 235 dated 9^th November, 2022, before Additional District Judge, First Court, Alipore, quashed – No order as to costs [Paras 13-16].

Criminal Procedure – Section 133 Cr.P.C. – Dismissal of Petition for Non-Prosecution – Revision Petition against dismissal of a petition to prevent obstruction of a road – Petitioner claimed the date of hearing was mistakenly noted as 22.09.2023 instead of 22.08.2023 – Court held that the plea of a mistaken date is inherently improbable and unsupported by evidence – Emphasized the statutory obligation under Section 138 Cr.P.C. to record evidence when cause is shown by the respondent – Held, the petitioner failed to produce evidence or appear, thus, the Magistrate was justified in dismissing the petition [Paras 1-14].

Decision: Petition Dismissed – Held – Dismissal of the petition by the Sub Divisional Magistrate was upheld – No infirmity found in the order – Petitioner’s failure to appear or produce evidence on the date fixed warranted the dismissal for non-prosecution [Paras 14-16].

Family Law – Divorce – Grounds of Cruelty and Desertion – Appeal by husband challenging dismissal of his petition for divorce – Appellant alleged cruelty and desertion by wife due to her epilepsy, smoking, drinking, and alleged behavior – Family Court found no evidence supporting appellant’s claims – Appellant had not provided medical evidence of epilepsy or other allegations – Evidence showed appellant’s non-cooperation and refusal to take wife back home – No proof of desertion by wife as appellant failed to attempt reconciliation – Divorce petition dismissed [Paras 2-35].

Criminal Law – Domestic Violence – Maintenance Orders – Evidence of domestic violence and subsequent maintenance orders by the court – Family Court referenced previous judicial findings and maintenance orders favoring respondent – Appellant’s claims countered by judicial findings supporting respondent’s allegations of cruelty and desertion by appellant – Previous maintenance orders upheld [Paras 20-22].

Decision – Appeal Dismissed – Held: Family Court’s findings upheld – No substantiation of appellant’s claims of cruelty and desertion – Previous judicial findings and evidence support respondent’s case – Divorce petition rightly dismissed – Appeal without merit, dismissed with no costs [Paras 33-35].
 

Criminal Law – Conviction for Murder and Destruction of Evidence – Appellants convicted for beating Rajinder Singh @ Bhura to death and disposing of his body – Trial court’s judgment based on testimonies of eyewitnesses, recovery of weapons, and forensic evidence – High Court reverses conviction due to significant inconsistencies and procedural lapses in the prosecution’s case.

Witness Testimony – Reliability and Inconsistencies – Testimonies of key witnesses (PW-1, PW-2, PW-5) found to have material contradictions and improbabilities – Witnesses failed to report the incident immediately despite having the opportunity – Doubts raised about their presence and the credibility of their statements [Paras 11-16, 26-34].

Delay in Lodging FIR – Impact on Prosecution Case – FIR lodged after an unexplained delay of six days – High Court holds that such delay corrodes the credibility of the prosecution’s case and casts doubt on the spontaneity and reliability of the allegations [Paras 19-27].

Recovery of Weapons – Doubtful Evidence – Recovery of danda and fan-belt from the crime scene was questionable due to tampered dates on the recovery memo and improbability of weapons being left in an accessible location – Testimony of recovery witness found unreliable [Paras 36-37].

Forensic Evidence – Blood Sample Analysis – Prosecution failed to link the blood samples found at the scene conclusively to the deceased – Blood was reportedly washed away immediately after the incident, contradicting forensic findings [Paras 38-39].

Burden of Proof – Prosecution’s Failure – High Court emphasizes that strong suspicion cannot replace legal proof – Prosecution failed to prove the guilt of the accused beyond reasonable doubt, resulting in the acquittal of all appellants [Paras 41-42].

Decision: Appeals allowed – Conviction and sentence set aside – Appellants acquitted and ordered to be released forthwith, subject to providing personal bonds as per Section 437-A of Cr.P.C. [Paras 43-44].