Calcutta High Court Quashes Robbery Case Against HDFC Bank For Taking Repossession Of Loan Defaulter's Vehicle

While quashing the criminal proceedings, the single judge bench of Justice Siddhartha Roy Chowdhury held:

“The lender or financer took repossession of the vehicle, pursuant to the agreement executed by and between the parties, it cannot be said that the lender committed offence within the meaning of I.P.C. with the requisite mens rea and dishonest intention. At best it could be a civil dispute which has been imbibed with the colour of criminality.”

The complainant in 2009 had informed the Officer-in-charge of Domjur Police Station in writing that his wife had purchased one Maruti Wagon R vehicle, eight months prior to the incident.

On November 9, 2009, the vehicle was whisked away by the two persons who allegedly introduced themselves as the representatives of Maruti Company. A case under Section 392 of IPC was registered at Domjur police station.

HDFC Bank had approached the High Court for setting aside the criminal proceedings in 2009 itself.

Senior Advocate Sandipan Ganguly, appearing for HDFC, submitted that the informant did not disclose the fact that his wife purchased the car taking loan from HDFC bank and in terms of the agreement, the borrower failed to pay the instalments.

He further submitted that notice was given to the borrower on 2nd November, 2009, indicating her failure to act in terms of the agreement and on 9th November, 2009, repossession intimation was given after taking possession of the vehicle to Shibpur Police Station.

He further argued that under the hire-purchase agreement. the financer is the real owner of the vehicle and that there cannot be any allegation against it for having the possession of the vehicle.

While allowing the revision petition, the court said:

“This is the fit case to invoke the provision of Section 482 of the Code of Criminal Procedure to quash the proceeding of G.R. Case No. 3599 of 2009 pending before the learned Chief Judicial Magistrate, Howrah to avert abuse of process of law, which I accordingly do. The criminal revision is thus allowed.”

Case Title: HDFC Bank Limited v. The State of West Bengal and Anr

Case Citation: 2023 LiveLaw (Cal) 42

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