https://www.taxtmi.com/caselaws?id=793335 Commercial payment disputes later converted into a loan arrangement by novation under Section 62 of the Contract Act were held not to disclose prima facie offences under Sections 406, 418, 420, 467, 468, 471 and 120B IPC. The HC found no dishonest intention at the inception of the transaction, no prima facie entrustment and misappropriation for criminal breach of trust, and no forgery material that had induced the original payment. The Court treated the grievance as, at most, a claim for recovery of money or breach of contract, and held that the delayed FIR and absence of essential criminal ingredients showed abuse of the criminal process. The proceeding was therefore quashed. en-us Wed, 10 Jun 2026 00:00:00 +0530 Sat, 13 Jun 2026 08:36:56 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=793335 Commercial payment disputes later converted into a loan arrangement by novation under Section 62 of the Contract Act were held not to disclose prima facie offences under Sections 406, 418, 420, 467, 468, 471 and 120B IPC. The HC found no dishonest intention at the inception of the transaction, no prima facie entrustment and misappropriation for criminal breach of trust, and no forgery material that had induced the original payment. The Court treated the grievance as, at most, a claim for recovery of money or breach of contract, and held that the delayed FIR and absence of essential criminal ingredients showed abuse of the criminal process. The proceeding was therefore quashed. Case-Laws IBC Wed, 10 Jun 2026 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=793335