Vls Finance Ltd. vs State & Ors.
2014 Latest Caselaw 4025 Del

*       IN THE HIGH COURT OF DELHI AT NEW DELHI

%                                    Date of decision: 29th August, 2014

+       CRL. M.C. No.3393/2014

VLS FINANCE LTD.                                     ..... Petitioner
                          Through:     Mr. Aman Lekhi, Sr. Advocate
                                       with Mr. Harish Pandey and Mr.
                                       Manish Kumar Advocates.

                          versus

STATE & ORS.                                        .....Respondents
                          Through:     Mr. Vijay Aggarwal with Ms.
                                       Gousia Shah, Ms. Chaitali Jain
                                       and Ms. Katyayini Singh,
                                       Advocates.

CORAM:
HON'BLE MR. JUSTICE VED PRAKASH VAISH

VED PRAKASH VAISH, J. (ORAL)

1. By this petition under Section 482 of the Code of Criminal Procedure (hereinafter referred to as 'Cr.P.C.') read with Article 227 of the Constitution of India, the petitioner seeks directions to expeditiously dispose of the long pending application under Sections 102/451/457 of Cr.P.C.

2. The brief facts as set out in the charge-sheet are that on 11.03.1995 the accused persons induced the complainant, M/s. VLS Finance Ltd. to enter into a Memorandum of Understanding and were obliged to subscribe 70 lakhs equity shares of M/s. Sunair Hotels Ltd. The petitioner was informed by the accused persons that 2,09,91,600 shares of M/s. Sunair Hotels Ltd. have been sold in favour of

promoters/ directors i.e. accused persons and their family members/ associates and while 70 lakhs shares had been issued in favour of the petitioner. The complainant company had made some payments towards security deposits. The accused persons used Rs.70,00,000/- towards share application money along with another sum of Rs.30,00,000/- deposited by the complainant company in aggregate amounting to Rs. 1,00,00,000/- (Rupees one crores), twenty one times to show infusion of Rs.21,00,00,000/- (Rupees Twenty one crores only) equity capital in M/s. Sunair Hotels Ltd. and to issue shares to the accused persons and their family members/ associates. The accused persons being the Directors were custodian of the property of M/s. Sunair Hotels Ltd. and the funds of complainant company have dishonestly and fraudulently been misappropriated.

3. In July, 2009 the complainant moved an application under Sections 451/457 of Cr.P.C. before the trial Court on the ground that the shares, being case property and derivative contraband, should remain seized and nobody should be allowed to use the same except in accordance with the directions of this Court. The accused persons also moved an application questioning maintainability of the said application.

4. Vide order dated 25.09.2010, learned trial Court observed that the registered shareholders have right to be heard in the said applications under Sections 451/457 of Cr.P.C.

5. Thereafter, the accused persons filed writ petition bearing W.P.(Crl.) No.1497/2010 and W.P.(Crl.) No.1499/2010 which were disposed of by this Court vide order dated 28.09.2010. During

pendency of the said petition, it was submitted on behalf of the petitioner that the applications are being delayed and they should be decided expeditiously. Vide order dated 28.09.2010, it was directed that the pending applications will be disposed of by learned trial Court in accordance with law.

6. Learned senior counsel for the petitioner submits that the respondent Nos. 2 to 5 are delaying the proceedings. Moreover, he has pointed out that earlier also the petitioner had filed a petition under Section 482 Cr.P.C. being Criminal M.C. No.3629/2013 for expeditious disposal of the application before this Court. Vide order dated 10.09.2013, with the consent of both the parties, the said petition was allowed and it was directed that the trial Court shall make endeavour to dispose of application before 21.09.2013. Thereafter, an application bearing Criminal M.A. No.14004/2013 was filed by respondents, which was dismissed by this Court vide order dated 19.09.2013.

7. The main grievance of the petitioner is that the application dated 01.07.2009 under Sections 451/457/102 of Cr.P.C. filed on behalf of petitioner is pending and respondent Nos.2 to 5 are delaying the matter.

8. Learned counsel for respondent Nos.2 to 5 submits that the respondents are not delaying the matter. He also submits that due to pendency, the application could not be decided.

9. It is a settled principle of law that to effectuate speedy trial, powers conferred under Sections 309/250 of Cr.P.C. should be exercised by the Criminal Court.

10. In the instant case, the application under Sections 451/457/102 of Cr.P.C. dated 01.07.2009 filed on behalf of the petitioner is pending since long, despite order dated 10.09.2013 in Criminal M.C. No.3629/2013 passed by this Court.

11. Considering the facts and circumstances of the case, the trial Court is directed to hear both the parties on the application under Sections 451/457/102 of Cr.P.C. and decide the same expeditiously and preferably within a period of six months from the next date of hearing.

12. With the aforesaid observations, the petition stands disposed of.

Crl.M.A. No. 11745/2014 The application is dismissed as infructuous.

(VED PRAKASH VAISH) JUDGE AUGUST 29th, 2014 hs