Patna High Court
Ramadhar RamversusThe State of Bihar
- Decided
- Disposal
- DISPOSED
- Bench
- PURNENDU SINGH
Holding
The High Court held that the parties must be given an opportunity to settle the dispute through mediation before deciding on pre‑arrest bail, and interim protection is granted pending such settlement.
Summary
The petitioner, Ramadhar Ram, applied for pre‑arrest bail in a complaint alleging cheating, criminal breach of trust and forgery under IPC sections 420, 406, 467, 468, 471 and NI Act section 138. The petitioner claimed innocence and sought settlement through mediation, while the State and complainant agreed to a mediation attempt. The High Court, citing Supreme Court precedents, held that where a dispute is essentially civil in nature, the court should facilitate amicable settlement before proceeding with criminal action. Accordingly, the court directed the parties to appear before the District Court and be referred to the District Mediation Centre, granting interim protection to the petitioner pending mediation. The application was disposed with directions that bail be granted on terms set by the District Court if settlement occurs, and the interim protection would lapse if the petitioner fails to appear.
Issues considered
- Whether pre‑arrest bail should be granted in a case involving alleged cheating and criminal breach of trust where the parties desire mediation.
- Whether the High Court can invoke its inherent powers under Section 482 CrPC to stay criminal proceedings to prevent abuse of process in a civil‑nature dispute.
- Whether the alleged offences under IPC sections 420, 406, 467, 468, 471 and NI Act section 138 warrant immediate arrest or can be deferred pending settlement.
Legislation cited
- Code of Criminal Procedure, 1973 — s. 482
- Indian Penal Code — s. 406, 420, 467, 468, 471
- Negotiable Instruments Act — s. 138
Subjects
- pre‑arrest bail
- mediation
- criminal breach of trust
- cheating
- Section 482 CrPC
- civil dispute
- Indian Penal Code
- Negotiable Instruments Act
- court discretion
Judgment
IN THE HIGH COURT OF JUDICATURE AT PATNA
CRIMINAL MISCELLANEOUS No.90604 of 2025
Arising Out of PS. Case No.-272 Year-2024 Thana- COMPLAINT CASE - DANAPUR
District- Patna
======================================================
Ramadhar Ram S/o Late Hari Ram R/o Village - Arwal Sipah, P.S - Arwal,
District - Arwal
... ... Petitioner/s
Versus
1. The State of Bihar
2. Deepak Kumar S/o Sri Ram Balak Sao R/o Village - Abharanchak, P.S -
Naubatpur, District - Patna
... ... Opposite Party/s
======================================================
Appearance :
For the Petitioner/s : Mr.Rakesh Kumar Sharma, Advocate.
For the Opposite Party/s : Mr.Awadhesh Kumar Singh, APP.
Mr. Rajesh Kumar, Advocate.
Mr. Prince Kumar, Advocate.
Mr. Arvind Kumar, Advocate.
======================================================
CORAM: HONOURABLE MR. JUSTICE PURNENDU SINGH
ORAL ORDER
2 04-02-2026 Heard learned counsel appearing on behalf of the
petitioner, learned APP for the State and learned counsel for the
complainant.
2. The petitioner seeks pre-arrest bail in connection
with Complaint Case No. 272(C) of 2024 registered for the
offence punishable under Sections 420, 406, 467, 468 and 471
of the Indian Penal Code and Section 138 of N.I. Act.
3. As per the allegation made in the F.I.R.,
complainant is said to have paid Rs.53,51,000/- to the
petitioners for execution of a sale deed, but neither the sale deed
was executed nor the amount was returned to the complainant.
Patna High Court CR. MISC. No.90604 of 2025(2) dt.04-02-2026
2/6
4. Learned counsel appearing on behalf of the
petitioner submits that the petitioner is innocent and he has
falsely been implicated in the case. He further submits that 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. Learned APP appearing on behalf of the State and
learned counsel for the complainant submitted that a chance be
given to the parties for amicable settlement outside the court.
6. Learned counsel appearing on behalf of the parties,
on instructions, submitted that the parties have agreed to appear
before the learned District Court at 10:30 A.M. on 12.02.2026.
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 FIR, I am of the opinion that an opportunity is
required to be given to the parties to settle their score amicably
outside the Court.
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
Patna High Court CR. MISC. No.90604 of 2025(2) dt.04-02-2026
3/6
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.
11. The Apex Court while considering the content of
ingredients of Sections 406 and 420 of the Indian Penal Code in
the case of Delhi Race Club (1940) Ltd. & Ors. vs. State of
Uttar Pradesh & Anr. in Criminal Appeal No. 3114 of 2024,
after discussing the earlier law laid down in several cases, has
observed in paragraphs nos. 35, 36 and 37, inter alia as follows:
Difference between criminal breach of trust
and cheating
35. This Court in its decision in S.W.
Palanitkar v. State of Bihar S.W. Palanitkar v. State of
Bihar, (2002) 1 SCC 241 expounded the difference in the
ingredients required for constituting of an offence of
criminal breach of trust (Section 406 IPC) vis-à-vis the
offence of cheating (Section 420). The relevant observations
read as under :
“9. The ingredients in order to constitute a
criminal breach of trust are : (i) entrusting a person with
Patna High Court CR. MISC. No.90604 of 2025(2) dt.04-02-2026
4/6
property or with any dominion over property; (ii) that
person entrusted : (a) dishonestly misappropriating or
converting that property to his own use; or (b) dishonestly
using or disposing of that property or wilfully suffering any
other person so to do in violation (i) of any direction of law
prescribing the mode in which such trust is to be
discharged, (ii) of any legal contract made, touching the
discharge of such trust.
10. The ingredients of an offence of cheating
are : (i) there should be fraudulent or dishonest inducement
of a person by deceiving him, (ii)(a) the person so deceived
should be induced to deliver any property to any person, or
to consent that any person shall retain any property; or (b)
the person so deceived should be intentionally induced to
do or omit to do anything which he would not do or omit if
he were not so deceived; and (iii) in cases covered by (ii)
(b), the act of omission should be one which causes or is
likely to cause damage or harm to the person induced in
body, mind, reputation or property.”
36. What can be discerned from the above is
that the offences of criminal breach of trust (Section 406
IPC) and cheating (Section 420 IPC) have specific
ingredients:
In order to constitute a criminal breach of
trust (Section 406 IPC)
(1) There must be entrustment with person for
property or dominion over the property, and
(2) The person entrusted:
(a) Dishonestly misappropriated or converted
property to his own use, or
(b) Dishonestly used or disposed of the
property or wilfully suffers any other person so to do in
violation of:
(i) Any direction of law prescribing the
method in which the trust is discharged; or
(ii) Legal contract touching the discharge of
trust (see : S.W. Palanitkar [S.W. Palanitkar v. State of
Bihar, (2002) 1 SCC 241.
Similarly, in respect of an offence under
Section 420IPC, the essential ingredients are:
(1) Deception of any person, either by making
a false or misleading representation or by other action or
by omission;
(2) Fraudulently or dishonestly inducing any
person to deliver any property, or
(3) The consent that any person shall retain
any property and finally intentionally inducing that person
to do or omit to do anything which he would not do or omit
Patna High Court CR. MISC. No.90604 of 2025(2) dt.04-02-2026
5/6
(see : Harmanpreet Singh Ahluwalia v. State of Punjab
[Harmanpreet Singh Ahluwalia v. State of Punjab, (2009) 7
SCC 712.
37. Further, in both the aforesaid sections,
mens rea i.e. intention to defraud or the dishonest intention
must be present, and in the case of cheating it must be there
from the very beginning or inception."
12. The parties have willingly desired to appear
before the learned District Court on or before 12.02.2026, so
that the matter can be referred to the District Mediation Centre.
13. Learned District Court is directed to take
necessary steps to refer the matter before 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 petitioner 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 petitioner is
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 petitioner to
Patna High Court CR. MISC. No.90604 of 2025(2) dt.04-02-2026
6/6
appear on 12.02.2026 before the learned District Court or any
date fixed by the learned Mediator, the interim protection
granted to the petitioner shall automatically lose its force.
17. In case, it is deliberate on the part of the
informant to reconcile, then in that case, the interim protection
granted to the petitioner shall continue and the trial 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, petitioner
is 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)
mantreshwar/-
U T
Checking your session…