In Brief
A.M. Mohan was accused of cheating a complainant of Rs. 1.6 crore through a complex scheme involving fraudulent loans, real estate transactions, and a gold chit business. Mohan's role was limited to receiving Rs. 20 lakh from the complainant and selling land to the principal accused. The Supreme Court held that Mohan had no role in the dishonest inducement—a mandatory ingredient of cheating under Sections 415 and 420 IPC. Finding the FIR disclosed no criminal case against him, the Court allowed his appeal, quashing both the FIR and consequential charge-sheet, holding that continuation of proceedings constituted an abuse of process and miscarriage of justice.
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