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2012 (10) TMI 1168

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..... ized by the financier, no criminal action can be taken against him as he is repossessing the goods owned by him. Therefore, The HC has rightly quashed the proceedings and no interference is required. - SLP(CRL.) 8907 OF 2009 - - - Dated:- 30-10-2012 - ORDER 1. This petition has been filed against the impugned judgment and order dated 22-6-2009 passed by the High Court of Gauhati at Guwahati in Criminal Revision No. 156 of 2009 rejecting the case of the petitioner against the respondents that they had forcibly taken the custody of the vehicle purchased by the petitioner on hire-purchase from them. The Court has quashed the criminal proceedings against the respondents. 2. The learned counsel for the petitioner has submitted that th .....

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..... er under Section 482 CrPC and did not quash the criminal proceedings on the ground that the financier had committed an offence. However, reversing the said judgment, this Court held that proceedings initiated were clearly an abuse of process of the court. The dispute involved was purely of civil nature, even if the allegations made by the complainant were substantially correct. Under the hire-purchase agreement, the financier had made the payment of huge money and he was in fact the owner of the vehicle. The terms and conditions incorporated in the agreement gave rise in case of dispute only to civil rights and in such a case, the civil court must decide as to what was the meaning of those terms and conditions. 5. In K.A Mathai v. Kora B .....

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..... t in a case of mere contract of hiring, it is a contract of bailment which does not create a title in the bailee. However, there may be variations in the terms and conditions of the agreement as created between the parties and the rights of the parties have to be determined on the basis of the said agreement. The Court further held that in such a contract, element of bailment and element of sale are involved in the sense that it contemplates an eventual sale. 8. The element of sale fructifies when the option is exercised by the intending purchaser after fulfilling the terms of the agreement. When all the terms of the agreement are satisfied and the option is exercised a sale takes place of the goods which till then had been hired. (Cha .....

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