Rachna Puri And Anr. vs. The State Of Assam

Held

The Court held that the dispute between the parties, concerning the supply of PPE kits and the quality thereof, was fundamentally a civil dispute that had been given the "colour of a criminal case." The Court found no elements of a criminal case against the petitioners. Consequently, the Court concluded that the petitioners did not deserve to be detained in custody and their prayer for pre-arrest bail was allowed. The operative direction was to release the petitioners on bail of Rs. 10,000/- each with one surety of like amount to the satisfaction of the arresting authority in the event of their arrest in connection with Bharalumukh Police Station Case No. 283/2020. The issue of GST, specifically the mention of "plus GST" in the order, was not expressly discussed or decided upon by the Court.

Facts

The petitioners, Rachna Puri and Saurav Sharma, sought anticipatory bail in connection with Bharalumukh Police Station Case No. 283/2020, registered under Sections 406/420 of the Indian Penal Code. The case stemmed from an order placed by M/s. M.K. Steel Alloys with Vector Digital Services for PPE kits. M/s. M.K. Steel Alloys paid for the order, but upon receiving a partial delivery of 1,980 kits, found them to be of inferior quality and not approved by DRDO or Sitra. They alleged that Vector Digital Services failed to supply the remaining 5020 PPE kits and refused to return the advance payment of Rs. 34,26,150.00. The petitioners are managing partners of Vector Digital Services.

Key Issues

1. Whether the dispute between M/s. M.K. Steel Alloys and Vector Digital Services, involving the supply of PPE kits and a refund of payment, constitutes a criminal offense under Sections 406/420 of the IPC, thereby warranting anticipatory bail for the petitioners? Petitioner's Argument: The petitioners argued that the dispute was essentially a civil matter, with a civil dispute being given the "colour of a criminal case." They contended that there was an understanding that the PPE kits would be supplied in New Delhi, and M/s. M.K. Steel Alloys would arrange for their transport to Guwahati. The informant allegedly did not send a vehicle to New Delhi for the remaining kits. Revenue/State's Argument: The judgment does not record any specific arguments made by the State (respondent) regarding the criminal nature of the allegations or opposition to the anticipatory bail.