Default in payment of bank loan

2013 CLD 197 PESHAWAR-HIGH-COURT Judicial Precedent

S. 20Criminal Procedure Code (V of 1898), Ss. 265-K & 403Constitution of Pakistan, Art. 13Default in payment of bank loanDouble jeopardy, principle ofApplicabilityAcquittal before trial

Accused persons availed various loans from complainant bank and on default of payment of loan, bank filed complaint under S.20 of Financial Institutions (Recovery of Finances) Ordinance, 2001

On application filed by accused persons, Trial Court acquitted them in exercise of powers under S.265-K, Cr.P.C.

Validity

All liabilities against alleged misappropriation were admitted by co-accused, who was real beneficiary of the deal

Bank had already filed similar nature of complaint on 17-1-2001 and after its dismissal on 4-9-2002, bank kept mum from the date of dismissal till filing of present complaint

Bank failed to render any reason for filing second complaint after lapse of seven years

No appeal or application against order of dismissal was preferred

Complaint in question also amounted to double jeopardy, which was against S.403, Cr.P.C. and also against Art.13 of the Constitution

High Court did not find any probability of conviction of accused persons for alleged offence, even if prosecution would have allowed to produce evidence against them

Charge levied against accused persons being without substance and groundless, therefore, Trial Court had rightly acquitted accused persons under S.265-K, Cr.P.C., which needed no interference

Appeal was dismissed in circumstances.