Karnataka High Court
Anand R. Chindak, vs The State Of Karnataka, on 5 August, 2013
Author: N.Ananda
Bench: N. Ananda
1
IN THE HIGH COURT OF KARNATAKA
CIRCUIT BENCH AT DHARWAD
DATED THIS THE 05TH DAY OF AUGUST, 2013
BEFORE
THE HON'BLE MR. JUSTICE N. ANANDA
CRL.P.No.11269/2011
BETWEEN:
1. Anand R.Chindak
Age: Major, occ:Business
R/o. Hindwadi, Belgaum.
2. Amit Kangralakar
Age: Major, occ: Business
R/o. Channamma nagar, Belgaum. ...Petitioners
(By Sri Sharad V.Magadum, Adv., for Sri Hemant
Chandangoudar, Adv.)
AND:
1. The State of Karnataka
Rep. by its Special Public Prosecutor
High Court Circuit Bench Dharwad.
2. Mr.Dinar Deepak Samant
Age: Major
R/o. A-304, 2nd Cross, Bhagyanagar
Belgaum-590 006. ...Respondents
(By Sri K.S.Patil, HCGP for R1; Sri R.M.Kulkarni, Adv. for
R2)
2
This criminal petition is filed under section 482
Cr.P.C., praying to quash the complaint registered in Crime
No.117/2011 in respect of petitioners herein by Tilakwadi
Police Station, Belgaum & etc.
This criminal petition coming on for hearing this day,
the court made the following:
ORDER
This petition is filed to quash first information registered against petitioners (accused 1 and 2) in Crime No.117/2011 registered for the offences punishable under Sections 420, 504 and 506 of Indian Penal Code read with Section 34 of Indian Penal Code and also for offences punishable under Section 4 of the Karnataka Prohibition of Charging Exorbitant Interest Act, 2004.
2. Sri Hemant R. Chandangoudar, learned Counsel for petitioner would submit that the complaint should have been filed in terms of Section 5 of the Karnataka Prohibition of Charging Exorbitant Interest Act, 2004.
3. The learned Counsel for respondents would submit that the Act is silent, whether the offence is 3 cognizable or non-cognizable. However, the offence is punishable with imprisonment for three years in terms of Schedule-II of Cr.P.C.
4. The offence under the Act is cognizable. Therefore, there is no need to file application before the Court below.
Section 5 of the Karnataka Prohibition of Charging Exorbitant Interest Act, 2004, reads thus:
"5. Deposit of money and presentation of petition to Court and the procedure thereof-
(1) A debtor may deposit the money due in respect of a loan received by him from any person together with interest at the rate fixed by the State Government under Section 28 of the Karnataka Money Lenders Act, 1961 into the Court having jurisdiction, along with a petition to record that the amount deposited is in full or part, satisfaction of the loan including the interest thereof, as the case may be.
(2) The Court shall, on receipt of a petition under sub-
section (1), refer a copy of the petition to the person mentioned in the petition, directing him to give his replies within a period of fifteen days as may be granted by the Court. The court may, after due 4 inquiry and after considering the versions of both the parties, pass orders recording the satisfaction of the loan and interest thereof in full or in part, as the case may be."
5. On careful consideration of provision to Section 5, Section-5 is provided for the benefit of borrowers who would like to repay entire sum to the lenders by paying rate of interest as notified by the State Government under Section 28 of the Karnataka Money Lenders Act, 1961. However, Section 5 is not provided to initiate proceedings for contravention of Section 3 of the Act which prohibits a person charging of exorbitant interest on any loan advanced by him.
Therefore, there is no merit in the petition. The petition is dismissed.
SD/-
JUDGE Sub/