Trial courts shouldn’t summon anyone as accused without proper reason: Delhi HC

The Delhi High Court quashed summons against a man in a ₹98 lakh cheating case, stating they were issued without proper examination of facts.

Trial courts must not causally issue summons to an individual as an accused without good reason, the Delhi high court said while quashing the summons issued to a man in connection with a ₹98 lakh cheating case.

The man in this case had approached the high court against a trial court’s September 28, 2013, order summoning him as an accused. (HT Archive)

A bench of justice Amit Mahajan observed that issuance of summons is a serious issue and the summoning order must reflect application of mind.

“Issuance of summons is a serious issue and it is imperative that the summoning order shows due application of mind and examination of the facts of the case as well as the evidence on record,” said justice Mahajan in his June 23 ruling. “Merely taking note of the facts and recording prima facie satisfaction, without giving any reasons for the same, is insufficient.”

The man in this case had approached the high court against a trial court’s September 28, 2013, order summoning him as an accused. The case had stemmed from a complaint filed by a company, M/S Indiabulls Securities Limited, which trades stocks, under Section 420 (cheating) of the Indian Penal Code.

The man’s plea before the high court said that the allegations levelled against him were absurd and improbable in nature and the order was passed mechanically without appreciating the ingredients of the offence. It said that the company had caused losses to him by selling his shares worth ₹7 crore without his express instructions.

The company had argued that the plea was frivolous and not maintainable since it was filed seven years after passing of the order.

Justice Mahajan remarked that the summons were issued without due application of mind, appreciating or scrutinising the material and the company sought to give a criminal cloak to civil proceedings for recovery of dues.

“The impugned order is unreasonable and summons have been arbitrarily issued against the petitioner. Although the learned magistrate has recorded its satisfaction about the existence of prima facie case in the impugned order, however on a bare perusal of the complaint as well as pre- summoning evidence, the said observation seems to be without any application of mind,” the judgement said.

It added that the allegations did not disclose an element of criminality and continuation of the criminal proceedings against the man would amount to abuse of law.

The judge also sounded a note of caution against the misuse of criminal proceedings. “Criminal proceedings ought not to be misused to wreak vengeance or harass the other side,” the court maintained.