VILAS DEORE Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) The petitioner in this petition calls in question registration of crime in Crime No.100 of 2022 for offences punishable under Ss. 406, 409, 418 and 420 of the Indian Penal Code.

(2.) Brief facts leading to the filing of the present petition, as borne out from the pleadings are, as follows:- Petitioner is the Managing Director of one M/s Shriganesh Textiles and Infrastructure (India) Private Limited. The complainant is the Vice-President of M/s Himatsingka Company. Both M/s Shriganesh Textiles and Infrastructure (India) Private Limited and M/s Himatsingka Company are incorporated under the provisions of Companies Act, 1956. The petitioner/Company is in the business of conversion of cotton into cotton yarn and supplying it to the customers who deliver cotton bales to them. In the year 2021 the petitioner and the 2nd respondent/complainant entered into certain understanding with regard to supply of cotton and the petitioner agreed to convert such supplied cotton into yarn. It was agreed that the complainant would supply certain chunk of cotton bales for the petitioner to convert them into yarn and supply them back. This was the broad understanding between the petitioner and the complainant.

(3.) In the month of October, 2021 certain dispute arose between the petitioner and the complainant with regard to the yarn being produced and them not being lifted from the premises of the petitioner. Several meetings were held between the parties but disputes remained with regard to payment, retention and delivery of yarn and became an issue between the two. Correspondences by way of electronic mail were also exchanged between the parties from 16/1/2022 to 14/2/2022. When no consensus was arrived at with regard to their disputes, a legal notice was caused by the complainant upon the petitioner invoking the provisions of the Insolvency and Bankruptcy Code, 2016 ('the Code' for short) indicating that proceedings under the Code would be initiated and a corporate resolution process would be put into force, if the amount that is indicated in the notice would not be paid.