Absence of Videography Alone Not Sufficient For Bail When Custody is Less Than a Year: Delhi High Court Refuses Bail in Commercial Quantity Heroin Use of Permitted Synthetic Colour in Dal Masur Still Constitutes Adulteration: Punjab & Haryana High Court Uphold Conviction Penalty Must Not Result in Civil Death of Professionals: Delhi High Court Reduces Two-Year Suspension of Insolvency Professional, Citing Disproportionate Punishment Right of Cross-Examination is Statutory, Cannot Be Denied When Documents Are Exhibited Later: Chhattisgarh High Court Allows Re-Cross-Examination Compounding after Adjudication is Impermissible under FEMA: Calcutta High Court Declines Post-Adjudication Compounding Plea Tears of a Child Speak Louder Than Words: Bombay HC Confirms Life Term for Man Who Raped 4-Year-Old Alleged Dowry Death After Forced Remarriage: Allahabad High Court Finds No Evidence of Strangulation or Demand “Even If Executant Has No Title, Registrar Must Register the Document If Formalities Are Met” — Supreme Court  Declares Tamil Nadu's Rule 55A(i) Ultra Vires the Registration Act, 1908 Res Judicata Is Not Optional – It’s Public Policy: Supreme Court Slams SEBI for Passing Second Final Order in Fraud Case Against Vital Communications Ltd A Person Has Died… Insurance Company Cannot Escape Liability Without Proving Policy Violation: Supreme Court Slams High Court for Exonerating Insurer in Fatal Accident Case Calling Someone by Caste Name Is Not Enough – It Must Be Publicly Done to Attract SC/ST Act: Supreme Court Acquits All in Jharkhand Land Dispute Case Broken Promises Don’t Make Rape – Mature Adults in Long-Term Relationships Must Accept Responsibility: Supreme Court Quashes Rape Case Against NRI Man Every Broken Relationship Can’t Be Branded Rape: Supreme Court Quashes Criminal Case Against Retired Judge Accused of Sexual Exploitation on Promise of Marriage No Evidence, No Motive, Not Even Proof of Murder: Supreme Court Slams Conviction, Acquits Man Accused of Killing Wife After Two Years of Marriage You Can’t Assume Silence Is Consent: Supreme Court Sends Back ₹46 Lakh Insurance Dispute to NCDRC for Fresh Determination “Voyage Must Start and End Before Monsoon Sets In — But What If That’s Practically Impossible?” SC Rules Against Insurance Company in Shipping Dispute No Criminal Case Can Be Built on a Land Deal That’s Three Decades Old Without Specific Allegations: Supreme Court Upholds Quashing of FIR Against Ex-JK Housing Chief Just Giving a Call for Protest Doesn’t Make One Criminally Liable - Rail Roko Protest Quashed Against KCR Ex-CM: Telangana High Court Ends 13-Year-Old Proceedings for 2011 Telangana Agitation This Is Not a Case of Greed Simplicitor but a Celebration of Fraud: Karnataka High Court Grants Specific Performance, Slams Vendor for Violating Court Orders Limitation Period Under Section 18-A of Rent Act Mandatory, Delay Not Condonable – Punjab & Haryana High Court Upholds NRI Landlord's Eviction Against Tenant Custom Department Cannot Revive Time-Barred Show Cause Notices After Seven Years Without Jurisdiction: Gujarat High Court Quashes Customs Notices to JBS Exports Public Property Cannot Be Managed Privately for Decades — Fair Price Shops in Hospitals Must Be Allotted by Auction: Jammu & Kashmir High Court Registered Sale Deed Alone Does Not Dismantle Prior Security Interest: Gauhati High Court Rejects Buyer’s Writ Against SARFAESI Action, Cites Expanded Statutory Definition Old OBC Certificates Won’t Work — Supreme Court Says Cut-Off Date Is Final in Rajasthan Civil Judge Exams

MERE NON-EXECUTION OF A SALE DEED AFTER RECEIVING MONEY DOES NOT AUTOMATICALLY GIVE RISE TO CRIMINAL LIABILITY – PH HC

07 May 2024 8:19 AM

By: Admin


In a recent judgment, the Punjab and Haryana High Court dismissed a petition alleging fraud and forgery in a property dealing business. The petitioner, Harbir Singh, had filed the petition seeking to set aside the orders passed by the lower courts and summon the respondents, Babu Ram and another, to face trial in a criminal complaint. Justice Gurbir Singh, while delivering the judgment, stated, “Mere non-execution of a sale deed after receiving money does not automatically give rise to criminal liability. The intention to cheat must be established at the time of entering into the contract.”

The petitioner claimed that the respondents had deceived him by providing a power of attorney instead of a registered sale deed for a plot of land. He further alleged that the respondents had committed fraud and forgery by refusing to execute the sale deed after receiving payment. However, the trial court and the sessions court had both dismissed the complaint, stating that the non-execution of a sale deed does not give rise to criminal liability.

Justice Gurbir Singh, while delivering the judgment, stated, “Mere non-execution of a sale deed after receiving money does not automatically give rise to criminal liability. The intention to cheat must be established at the time of entering into the contract.” The court emphasized the distinction between breach of contract and criminal liability, highlighting that breach of contract alone does not warrant criminal proceedings.

Referring to relevant case law, the court held that the facts of the case did not establish the requisite intention to cheat. Citing precedents, the court concluded that breach of contract, without proof of fraudulent intent, does not attract criminal liability.

The dismissal of the petition by the High Court reaffirms the principle that fraudulent intent must be present at the time of making a promise or representation for an offense of cheating. The court’s decision serves as a reminder that a mere breach of contract does not give rise to criminal proceedings.

The judgment has drawn attention to the need for clear evidence of fraudulent or dishonest intention to sustain criminal charges in cases involving property transactions. It provides guidance on the legal distinction between civil claims and criminal complaints in such matters.

Date of Decision: 05.07.2023

Harbir Singhb vs Babu Ram and another

Similar News