The Supreme Court quashed the criminal proceedings, holding that the continuation thereof amounted to an abuse of the process of law. The allegations, arising from a civil dispute over a loan and its guarantee, did not constitute a criminal offense, especially after the withdrawal of an earlier complaint on the same cause of action.
Facts Of The Case:
This case originated from an FIR registered against the appellant, Bhawana Jain, under Sections 406, 420, 504, and 506 of the IPC. The dispute concerned a plot purchased jointly by her deceased husband and the complainant, Respondent No. 2. After a mutual partition, the husband mortgaged his share to secure a bank loan, with the appellant acting as a guarantor. Following her husband’s death in 2016, the complainant filed a private complaint in 2018, which was investigated by the police. The investigation revealed the loan was taken against the husband’s share. Subsequently, the parties reached a settlement in 2020, leading the complainant to withdraw the first complaint in September 2021. Immediately thereafter, the complainant filed a fresh complaint, concealing the history of the prior suit and its withdrawal, which led to the registration of the impugned FIR. The core allegation was the appellant’s non-adherence to the settlement terms. The appellant sought quashing of the chargesheet and proceedings, arguing it was a civil dispute given a criminal colour to harass her, a claim ultimately accepted by the Supreme Court.
Procedural History:
The procedural history of this case commenced with the filing of a private complaint by respondent No. 2 before the Chief Judicial Magistrate, which led to a police investigation under Section 202 Cr.P.C. After a settlement was reached, this complaint was withdrawn and dismissed under Section 203 Cr.P.C. Respondent No. 2 then filed a fresh complaint under Section 156(3) Cr.P.C., concealing the prior proceedings, which resulted in the registration of the impugned FIR. After investigation, a chargesheet was filed and the Magistrate took cognizance, summoning the appellant. The appellant’s petition under Section 482 Cr.P.C. before the Allahabad High Court, seeking quashing of the chargesheet and subsequent proceedings, was dismissed. This dismissal was challenged before the Supreme Court, which exercised its appellate jurisdiction and allowed the appeal, quashing the FIR and all ensuing proceedings.
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Court Observation:
The Supreme Court made several critical observations while quashing the criminal proceedings. It noted that the core dispute was civil in nature, pertaining to a loan and its guarantee, and did not constitute the criminal offenses of cheating or breach of trust. The Court emphasized that the appellant was merely a guarantor for a loan taken by her deceased husband against his own share of the property, which had since been fully repaid. It strongly condemned the conduct of the complainant in filing a second complaint while deliberately concealing the factum of the earlier withdrawn complaint concerning the identical dispute, labeling such action as a gross abuse of the legal process. The Court concluded that no prima facie case was made out against the appellant and that the continuation of the prosecution was manifestly attended with mala fide intent and amounted to an abuse of the process of law.
Final Decision & Judgement:
The Supreme Court allowed the appeal and set aside the impugned order of the High Court. Consequently, it quashed the FIR No. 506 of 2021 registered at Police Station Nai Mandi, District Muzaffarnagar, and all subsequent proceedings emanating from it, including the summoning order dated 09.02.2022. The Court held that continuing the criminal proceedings against the appellant would be nothing but an abuse of the process of law.
Case Details:
Case Title: BHAWNA JAIN vs. STATE OF UTTAR PRADESH AND ANOTHER Citation: 2025 INSC 1217 Criminal Appeal No.: Criminal Appeal No. 4415 of 2025 Date of Judgement: September 16, 2025 Judges/Justice Name: Justice Rajesh Bindal and Justice Prashant Kumar Mishra
Download The Judgement Here