#dishonest intention

Chhattisgarh High Court rules that a fraud victim who invested Rs. 85.38 lakh in the same scheme cannot be held guilty of cheating under BNS Section 318(4) if prior complaints and documented losses negate dishonest intent. The ruling clarifies that victim status and lack of mens rea justify anticipatory bail in financial fraud cases.

Allahabad High Court rules that mere lending of money, even for a plot purchase, does not constitute 'entrustment' under Section 406 IPC unless fiduciary obligations or contractual terms are established. The judgment clarifies the distinction between civil lending and criminal breach of trust, protecting lenders from frivolous criminal proceedings.

Madras High Court quashes an FIR, ruling that criminal prosecution for cheating or criminal breach of trust cannot stand where no fraudulent design existed from the outset of the transaction. The judgment reinforces that dishonest intention must be present at the inception to sustain charges under Sections 406 and 420 IPC.