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Mumbai: Bombay HC quashes FIR against IndiaBulls registered at Wada

Indiabulls is a public limited company dealing in the business of housing finance and it is part of Indiabulls Group

Staff Reporter | Updated on: Wednesday, May 04, 2022, 06:40 PM IST

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Representational Pic |
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In a relief for IndiaBulls Housing Finance Limited, the Bombay high court on Wednesday quashed an FIR filed against it for cheating and criminal breach of trust by a shareholder in April 2021 at Wada in Palghar.

Indiabulls is a public limited company dealing in the business of housing finance and it is part of Indiabulls Group.

A division bench of justices PB Varale and SM Modak while quashing the First Information Report (FIR) said that the same was an abuse of process of law. It allowed two quashing petitions -- one filed by a builder Atul Chordia and other by Indiabulls and others.

The HC was hearing a petition challenging the order of April 7, 2021, of the Judicial Magistrate First Class (JMFC), Wada, directing police to register FIR based on the complaint. The petitions also sought quashing of the FIR registered on April 13, 2021 based on the JMFC’s order. On April 27, 2021, the HC has granted interim stay on the investigation.

The other petitioner was one of the founder members and current business head of the corporate credit team in IndiaBulls.

Counsel for IndiaBulls had argued that the complainant had admittedly executed a leave and licence agreement pertaining to room in Palghar on March 26, 2021 and filed a complaint before the police authorities on the very same day levelling his allegations against the company.

The contention was that it was “done deliberately to create false basis for invoking jurisdiction of the magistrate".

The plea further contended that while complainant purchased shares for the first time on March 17, 2021, within less than 10 days he approached the police with his alleged grievances. And within 4 days thereafter, the complainant approached the higher authority, superintendent of police, and then immediately on April 3, 2021 he filed the complaint before the magistrate.

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Published on: Wednesday, May 04, 2022, 06:40 PM IST