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2020 (11) TMI 994

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..... R cannot be countenanced. Effect of pendency of the Civil Appeals arising out of the order of the NGT and the interim order passed by this Court in the Civil Appeals for quashing of FIR - HELD THAT:-The applicants before the NGT did not seek any relief for themselves, as purchasers of vehicles. The reliefs sought by the applicants before the NGT were broad and general. This is why the NGT, by its final order dated 07.03.2019 directed only the CPCB to consider the initiation of prosecution in the light of the applicable statutory regime, while ordering the manufacturers to deposit ₹ 500 crores as compensation for the damage caused to the environment - the order of the NGT, passed on the applications filed by certain individuals not claiming as purchasers of vehicles, cannot be taken as an impediment for an individual who purchased cars from the manufacturers, to lodge a complaint, if he has actually suffered on account of any representation made by the manufacturers. The proceedings before the NGT were not intended to address issues relating to individuals, such as (i) whether any emissions manipulation software, called in common parlance as 'defeat devices' we .....

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..... ould not come to the conclusion that the vehicles manufactured and sold by them in India, are in violation of the requirements of the Central Motor Vehicles Rules. It was alleged in the said notice that the study carried out by them on limited vehicle models fitted with Diesel EA 189 Engines led them to believe that the vehicles manufactured by Volkswagen, when tested on road, indicate 3-9 times more NOx pollution compared with the tests carried out in the laboratory on Modified Indian Driving Cycle (MIDC). It was also alleged in the said notice that they had reason to believe that Diesel EA 189 Engines fitted in BS-IV vehicles are equipped with what are called 'defeat devices'. 5. At about the same time, two original applications came to be filed before the National Green Tribunal (NGT for short), Principal Bench. Both the applications were primarily against Skoda Auto India Private Limited, Volkswagen India Private Limited and Volkswagen Group Sales India Private Limited. Apart from these three companies, the Union of India (UOI), the Central Pollution Control Board (CPCB) and a few others were also made parties to the original applications. 6. The particulars of th .....

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..... e got it clarified from the Company that they had not installed any cheat devices in the vehicles sold in India; that however, the authorities in India found out a higher emission of NOx; that even the NGT imposed a fine; that the complainant thereafter realised that he had been duped by the Company; that knowing fully well that their vehicles have been installed with cheat devices, the manufacturer had prepared wrong records and documents; that the manufacturers and the officers of the manufacturers are therefore guilty of various offences under the Indian Penal Code and that therefore action should be initiated against them. 13. Contending that as per the particulars mentioned in the VAHAN Portal of the Government, the 3rd Respondent herein had purchased only 3 and not 7 vehicles; that the complaint lodged by the 3rd Respondent after more than 2 years of the purchase of the vehicles, was malicious and full of false particulars; and that the FIR is based entirely upon the order of the NGT, which is the subject matter of two civil appeals before this Court, the Petitioner filed a Criminal Miscellaneous Writ Petition No. 9233 of 2020 before the High Court of Judicature at Allaha .....

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..... As stated earlier, two original applications came to be filed before the NGT in the year 2015, alleging that the manufacturers of the vehicles in question were employing deceit devices. The filing of the original applications coincided with the issue of notice by the Automotive Research Association of India to the manufacturers. We have already indicated broadly, in paragraphs 5-10 above as to what transpired before the NGT. 22. The applicants before the NGT did not seek any relief for themselves, as purchasers of vehicles. The reliefs sought by the applicants before the NGT were broad and general. This is why the NGT, by its final order dated 07.03.2019 directed only the CPCB to consider the initiation of prosecution in the light of the applicable statutory regime, while ordering the manufacturers to deposit ₹ 500 crores as compensation for the damage caused to the environment. 23. Therefore, the order of the NGT, passed on the applications filed by certain individuals not claiming as purchasers of vehicles, cannot be taken as an impediment for an individual who purchased cars from the manufacturers, to lodge a complaint, if he has actually suffered on account of any r .....

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..... he Central Government issued a set of Rules known as The Central Motor Vehicles Rules, 1989. 32. Rules 112 to 114 of those Rules deal in general with smoke, vapour, spark, ashes, grit and oil . Rules 115 and 116 deal specifically with emissions of smoke, vapour etc., from motor vehicles and test for smoke emission level and Carbon Monoxide (CO) level for motor vehicles . These Rules correspond to Clause (g) of Sub-section (1) of Section 110. 33. Rule 126 mandates every manufacturer or importer of motor vehicles other than trailers and semi-trailers to submit the prototype of the vehicle manufactured or imported by him for testing by the agencies indicated therein. Rule 126A enables the testing agencies referred to in Rule 126 to conduct tests on the vehicles drawn from the production line of the manufacturer to verify whether these vehicles conform to the provisions of the Rules. 34. In order to give effect to the mandate of the statutory prescription, the Ministry of Road Transport and Highways, issued a document bearing No. MoRTH/CMV/TAP-116-116, Issue No. 4, which prescribes the test method, testing equipment and other related procedure for the purpose of testing ve .....

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..... At this stage no one can presume whether the defence of the manufacturer to the police complaint will be purely on a question of fact or purely on a question of law or on mixed questions of fact and law. If the Petitioner takes a defence that no such devices were installed in the cars purchased by the 3rd Respondent or that there was no (mis)representation in this regard, it will be a pure question of fact, which cannot be gone into in a quash petition. If the Petitioner takes a defence that the installation of such devices, though true, does not violate any law, then it will be a pure question of law. We may be entitled to go into this question in a quash petition, provided the Petitioner comes up with a categorical admission that they had installed such devices and yet there was no violation of the law. We do not expect the Petitioner to disclose their defence at this stage nor would we speculate what type of defence the Petitioner would have to the prosecution. 38. It may not be out of context to mention here that the European Union woke up way back in 2007 to the reality of car makers installing a software that manipulate exhaust emissions, depending upon whether the car ran .....

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..... as been fair to the Petitioner, by granting protection against arrest till the filing of the report Under Section 173(2) of the Code. We do not think that the Petitioner can ask for anything more. 41. It is needless to point out that ever since the decision of the Privy Council in King Emperor v. Khwaja Nazir Ahmed AIR 1945 PC 18, the law is well settled that Courts would not thwart any investigation. It is only in cases where no cognizable offence or offence of any kind is disclosed in the first information report that the Court will not permit an investigation to go on. As cautioned by this Court in State of Haryana v. Bhajan Lal (1992) Supp. (1) SCC 335, the power of quashing should be exercised very sparingly and with circumspection and that too in the rarest of rare cases. While examining a complaint, the quashing of which is sought, the Court cannot embark upon an enquiry as to the reliability or genuineness or otherwise of the allegations made in the FIR or in the complaint. In S.M. Datta v. State of Gujarat (2001) 7 SCC 659, this Court again cautioned that criminal proceedings ought not to be scuttled at the initial stage. Quashing of a complaint should rather be an exce .....

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