Tirlok Chand Bansal v. Bharat Bhushan Bansal

RAJIV SAHAI ENDLAW, J. MARCH 23, 2017 M (corrected & released on 18th May, 2017)

* IN THE HIGH COURT OF DELHI AT NEW DELHI % Date of Decision: 23rd March, 2017 + CS(OS) 470/2016 & IA No.13763/2016 (of defendant u/O VII R- 11(a) CPC) TIRLOK CHAND BANSAL ..... Plaintiff Through: Mr. Rahul Gupta and Mr. Mohd. Talha, Adv. Versus BHARAT BHUSHAN BANSAL ..... Defendant Through: Mr. Manish K. Jha and Ms. Nidhi Jha, Advs. CORAM: HON'BLE MR. JUSTICE RAJIV SAHAI ENDLAW 1. The plaintiff has instituted the suit for recovery of damages and compensation in the sum of Rs.2,50,00,000/- for malicious prosecution from the defendant. 2. The suit, not accompanied with any application for interim relief, came up first before the learned Joint Registrar on 19th September, 2016 when summons thereof were issued. 3. The defendant, on service of summons filed IA.No. 13763/2016 u/O VII Rule 11(a) of CPC for rejection for the plaint. 4. The plaintiff inspite of opportunities has not filed reply to the application. 5. The plaintiff, in the plaint has pleaded – (i) that he is engaged in the business of steel manufacturing under the name and style of M/s Nishtha Steel Pvt. Ltd and is a Director of the said company running its operation from Ranchi, Jharkhand; (ii) that the defendant is the son of the younger brother of the plaintiff; (iii) that the defendant, in or about July 2010, filed two false criminal complaints against the plaintiff under the provisions of Section 138 of the Negotiable Instruments Act, 1881, (NI Act) with ill intention to harass the plaintiff and with ill motive to extract money from the plaintiff by prosecuting the said false complaints; (iv) the complaints were filed on the basis of false allegation that the plaintiff had issued two cheques in the sum of Rs.6 crores each in favour of the defendant on account of alleged family settlement and that when the said cheques were presented for encashment, the same were dishonoured on the ground of insufficiency of funds; (v) summons in both the complaints were issued to the plaintiff and the plaintiff had to appear as an accused before the Court and was granted bail on fulfillment of the necessary formalities; (vi) the plaintiff was thereafter served with notice under Section 251 of the Code of Criminal Procedure, 1973 and pleaded not guilty; (vii) that the plaintiff was prosecuted by the defendant in the said complaints upto 28th November, 2015 when both the criminal complaints were dismissed vide two separate judgments dated 28th November, 2015 and the plaintiff was acquitted of the alleged offence under Section 138 of Negotiable Instrument Act; (viii) the plaintiff has suffered enormously for about five years for which the said complaints remained pending; inspite of being innocent, the plaintiff had to suffer and the sufferings and harassment caused to the plaintiff was solely because of malicious prosecution initiated by the defendant and which ultimately resulted in acquittal of the plaintiff; (ix) the plaintiff had also to bear the legal cost and expenses in defending the complaints; (x) there was never any criminal complaint/ case against the plaintiff till now; (xi) the entire family of the plaintiff has become aware of the said criminal cases against the plaintiff and the plaintiff has suffered humiliation and loss of goodwill and reputation in the eyes of the entire family; (xii) the plaintiff is entitled and the defendant is liable to pay damages and compensation to the plaintiff for malicious prosecution; (xiii) that the defendant has now filed appeals against the judgment dated 28th November, 2015 being Criminal LP.No.150/2016 and Criminal LP.No.152/2016 and the same are pending decision; (xiv) however the filing of the said appeals have no bearing on the present suit. 6. The suit alongwith the application aforesaid filed by the defendant came up before this Court on 6th March, 2017 when on an inquiry as to how this suit for compensation for malicious prosecution is maintainable when the order of acquittal of the plaintiff has not attained finality and is s