Telangana High Court|Monday, 23 February 2026
Himachal HC Dismisses Balbir Singh's Petition Against Bank Employees for Loan Mismanagement
Bench
Hon'ble Justice Rakesh Kainthla
Rakesh Kainthla
Himachal HC Dismisses Balbir Singh's Petition Against Bank Employees for Loan Mismanagement (2026) held that The court reiterated that civil disputes regarding financial transactions do not constitute criminal offences unless specific criminal intent is demonstrated.
The case involves a revision petition filed by Balbir Singh against an order by the Additional Chief Judicial Magistrate, which dismissed his complaint against employees of Baghat Urban Cooperative Bank for failing to register an FIR under Section 175(3) of the Bhartiya Nagrik Suraksha Sanhita, 2023. Singh alleged that the bank wrongfully adjusted his loan payments and initiated proceedings under the SARFAESI Act without proper justification. The High Court upheld the lower court's decision, stating that the complaint did not disclose a cognizable offence, as the issues raised were civil in nature rather than criminal. Consequently, the petition was dismissed, affirming the trial court's ruling that no prima facie case was established against the accused.
The court reiterated that civil disputes regarding financial transactions do not constitute criminal offences unless specific criminal intent is demonstrated.
It was established that offences of cheating and criminal breach of trust cannot coexist in the same set of facts, as they require different elements of intent and relationship.
The court emphasized the need for clarity in allegations of threats and misrepresentation to substantiate claims under criminal law.
Order passed by Additional Chief Judicial Magistrate dismissing the complaint
Judgment reserved by the High Court
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