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Patna High Court

Dr. Vishal SinhaversusThe State of Bihar

Decided
Disposal
DISPOSED

Holding

The High Court ordered that the petitioners be released on pre‑arrest bail, conditioned on their appearance before the District Court and referral of the dispute to mediation.

Summary

The petitioners, Dr. Vishal Sinha and Vikash Sinha, were charged under IPC Sections 420, 406 and 120 in a complaint alleging fraud in a land‑sale transaction where the complainant claimed the agreement was taken and not returned. The petitioners contended that the agreement was unsigned, the transaction was civil in nature, and the case was filed to harass them, seeking pre‑arrest bail. The State argued for the continuation of criminal proceedings but did not oppose an amicable settlement. The High Court, relying on Supreme Court precedents, held that where a civil dispute is cloaked as a criminal offence, the court may facilitate mediation and grant interim bail. Accordingly, the court directed the petitioners be released on pre‑arrest bail subject to their appearance before the District Court on 16‑04‑2026 and referral of the matter to the District Mediation Centre, with bail to be conditioned on the outcome of mediation.

Issues considered

  • Whether the complaint discloses a cognizable criminal offence or is essentially a civil dispute warranting bail and possible quash of proceedings
  • Whether the High Court can conditionally grant pre‑arrest bail pending mediation under its inherent powers
  • Whether Section 482 of the CrPC can be invoked to refer the matter to mediation to prevent abuse of process

Legislation cited

Subjects

  • pre‑arrest bail
  • criminal breach of trust
  • cheating
  • civil dispute
  • mediation
  • Section 482
  • abuse of process
  • high court jurisdiction

Judgment

                      IN THE HIGH COURT OF JUDICATURE AT PATNA
                               CRIMINAL MISCELLANEOUS No.674 of 2026
                 Arising Out of PS. Case No.-2863 Year-2019 Thana- PATNA COMPLAINT CASE District-
                                                          Patna
                 ======================================================
           1.     Dr. Vishal Sinha S/o Late Jitendra Prasad Sinha R/o - 17/4, Hut Lane, Haora
                  Corporation, P.O - Haora, District - Haora, West Bengal, Presently R/o
                  Nilima Apartment, 4th Floor, Flat no. 406, 77 Panchanan Tola Road, P.O.
                  and P.s.- Bally, Distt.- Howrah, West Bengal
           2.    Vikash Sinha S/o Late Jitendra Prasad Sinha Presently R/o Nilima
                 Apartment, 4th Floor, Flat no. 406, 77 Panchanan Tola Road, P.O. and P.s.-
                 Bally, Distt.- Howrah, West Bengal

                                                                               ... ... Petitioner/s
                                                     Versus
                 The State of Bihar

                                                        ... ... Opposite Party/s
                 ======================================================
                 Appearance :
                 For the Petitioner/s     :     Mr.Ishtiyaque Ahmad, Advocate
                 For the Opposite Party/s :     Mr.Rajendra Prasad Nat, APP
                 ======================================================
                 CORAM: HONOURABLE MR. JUSTICE PURNENDU SINGH
                                       ORAL ORDER

3   03-04-2026                      Heard Mr. Ishtiyaque Ahmad, learned counsel

                   appearing on behalf of the petitioners and Mr. Rajendra Prasad

                   Nat, learned APP for the State.

                                2. The petitioners seek pre-arrest bail in connection

                   with Complaint Case No. 2863(c)/2019 registered for the

                   offence(s) punishable under Sections 420, 406, 120 of the Indian

                   Penal Code.

                                3. As per the allegation made in the FIR, the

                   complainant entered into an agreement with the petitioners and

                   one co-vendor for purchase of 1½ kathas of land along with an

                   old house situated at Navratanpur, Patna, for a total
Patna High Court CR. MISC. No.674 of 2026(3) dt.03-04-2026
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          consideration of Rs. 75,00,000/-. Pursuant to the agreement, the

          complainant paid Rs. 5,00,000/- by cheque and subsequently

          paid Rs. 20,00,000/- through bank draft and cheques on the

          demand of the petitioners. It is alleged that on 30.03.2019,

          petitioner no. 2 took the original agreement from the

          complainant on the pretext of verification and handed it over to

          his maternal uncle, who thereafter failed to return the same

          despite repeated requests.

                       4. Learned counsel appearing on behalf of the

          petitioners submitted that the petitioners are innocent and they

          have falsely been implicated in the case. The criminal

          proceedings arising out of Complaint Case No. 2863(c)/2019.

          Learned counsel for the petitioners submitted that the present

          complaint case is false and malicious. The alleged agreement

          dated 08.01.2019 does not bear the signature of the complainant

          and is thus unenforceable. The complainant had paid only Rs.

          5,00,000/- as advance, which was returned upon his inability to

          proceed, and the unsigned agreement was taken back by mutual

          consent. The allegation of further payment through one Vivek

          Kumar is stated to be concocted, unsupported by any evidence.

          The petitioners have lawfully sold the property to a third party

          and the present case has been filed to harass and extort money.
Patna High Court CR. MISC. No.674 of 2026(3) dt.03-04-2026
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          The petitioners assert their willingness to settle the matter on the

          basis of the company’s official ledger after due adjustment of

          returned goods, contending that the dispute arises out of a

          contractual business transaction and is purely civil in nature, for

          which a criminal proceeding under Section 406 is not

          maintainable. The matter primarily relates to monetary

          transaction between the parties and for amicable settlement of

          dispute between the parties outside the Court, the matter be

          referred for mediation.

                       5. Per contra, learned APP appearing on behalf of the

          State submitted that a chance be                   given to the parties for

          amicable settlement outside the court.

                       6. Learned counsel appearing on behalf of the

          petitioners, on instructions, submitted that the petitioners have

          agreed to appear before the learned District Court at 10:30 A.M.

          on 16.04.2026.

                       7. Heard the parties

                       8. Having considered the rival submissions made on

          behalf of the parties, as well as, having perused the allegation

          made in the F.I.R., I am of the opinion that an opportunity is

          required to be given to the parties to settle their score amicably

          outside the Court.
Patna High Court CR. MISC. No.674 of 2026(3) dt.03-04-2026
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                       9. In this regard, I find it apt to take note of the

          observation made by the Apex Court in case of Paramjeet

          Batra v. State of Uttarakhand reported in (2013) 11 SCC 673,

          in which, the Apex Court in paragraph no. 12 has held as

          follows:

                                              "12. While exercising its jurisdiction
                                  under Section 482 of the Code the High Court has to
                                  be cautious. This power is to be used sparingly and
                                  only for the purpose of preventing abuse of the
                                  process of any court or otherwise to secure ends of
                                  justice. Whether a complaint discloses a criminal
                                  offence or not depends upon the nature of facts
                                  alleged therein. Whether essential ingredients of
                                  criminal offence are present or not has to be judged
                                  by the High Court. A complaint disclosing civil
                                  transactions may also have a criminal texture. But
                                  the High Court must see whether a dispute which is
                                  essentially of a civil nature is given a cloak of
                                  criminal offence. In such a situation, if a civil
                                  remedy is available and is, in fact, adopted as has
                                  happened in this case, the High Court should not
                                  hesitate to quash the criminal proceedings to
                                  prevent abuse of process of the court."
                                                                   (emphasis supplied)

                         10. The Apex Court has reiterated the aforesaid

          proposition in recent judgment of S. N. Vijayalakshmi & Ors.

          vrs. The State of Karnataka and Anr. reported in (2025) SCC

          Online SC 1575.

                         12. The petitioners have willingly desired to appear

          before the learned District Court on or before 16.04.2026, so

          that the matter can be referred to the District Mediation Centre.

                       13. Learned District Court is directed to issue notice

          to O.P. No.2 and take necessary steps to refer the matter before
Patna High Court CR. MISC. No.674 of 2026(3) dt.03-04-2026
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          the learned Mediator of the District Mediation Center by fixing

          a date for appearance of the parties to give effect to “Mediation

          for the Nation 2.0”.

                       14. Learned Mediator of the District Mediation Center

          concerned, upon appearance of the parties, shall make his/her

          best efforts to settle the dispute amicably and thereafter submit

          his/her report before the concerned learned District Court, well

          within a period of three months, till then, no coercive action

          shall be taken against the petitioners in connection with the

          aforesaid case.

                       15. In case, the parties resolve their dispute amicably

          or arrive at a mutual settlement, in light of the law laid down by

          the Apex Court as referred hereinabove, the petitioners are

          required to be released on pre-arrest bail on such terms and

          conditions as the learned District Court deems it fit and proper.

                       16. In case of failure on the part of the petitioners to

          appear on 16.04.2026 before the learned District Court or any

          date fixed by the learned Mediator, the interim protection

          granted to the petitioners shall automatically lose its force.

                       17. In case, it is deliberate on the part of the

          complainant to reconcile, then in that case, the             interim

          protection granted to the petitioners shall continue and the trial
           Patna High Court CR. MISC. No.674 of 2026(3) dt.03-04-2026
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                     shall proceed in accordance with law.

                                  18. In case, the parties fail to reconcile, then in that

                     case, parties may avail appropriate remedy. Then also,

                     petitioners are directed to be released on pre-arrest bail on such

                     terms and conditions as the learned District Court deems it fit

                     and proper.

                                  19. If both the parties arrive at amicable settlement,

                     then they must withdraw the criminal cases, if any, which they

                     have lodged against each other.

                                  20.    With aforesaid direction and observation, the

                     present application stands disposed of.



                                                (Purnendu Singh, J)
Ashishsingh/-

U      T


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