# In the matter of Arun Kumar Bagla vs. SCJ Plastics Ltd.

> HC judgment dated 2026-01-07. Citation: TCN-2026-HC-00001. The case involves a criminal complaint filed by M/S SCJ Plastics LTD against Arun Kumar Bagla, the…

- **Court:** HC
- **Order date:** 7 Jan 2026
- **Citation:** TCN-2026-HC-00001
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/high-courts-new-delhi/arun-kumar-bagla-vs-scj-plastics-ltd-adddaaf0

## Summary

### Background

The case involves a criminal complaint filed by M/S SCJ Plastics LTD against Arun Kumar Bagla, the Managing Director of M/s Creative Wares Ltd., alleging cheating under Section 420 of the Indian Penal Code (IPC). The complaint stems from unpaid dues for master batches supplied by the complainant to the accused company between 1999 and 2001.

## Facts

M/S SCJ Plastics LTD filed a criminal complaint against Arun Kumar Bagla, Managing Director of M/s Creative Wares Ltd., alleging cheating under Section 420 IPC.

The complaint arose from unpaid dues of Rs. 26,13,706/- for master batches supplied by M/S SCJ Plastics LTD to M/s Creative Wares Ltd. between 1999 and 2001.

M/s Creative Wares Ltd. had filed an application under Section 22 of the Sick Industrial Companies Act (SICA), 1985, and was declared a 'Sick Industrial Company' by the BIFR.

M/S SCJ Plastics LTD filed a civil suit for recovery of the dues before filing the criminal complaint.

The Metropolitan Magistrate (MM) framed charges against Arun Kumar Bagla under Section 420 IPC.

…

## Issues and analysis

### Issue 1: Whether the ingredients of cheating under …

**Ratio:** For an act to constitute cheating under Section 420 IPC, it is essential to prove that

…

**Reasoning:** The court relied on the cross-examination of the complainant's witness, who admitted that

…

**Interpretation:** The court interpreted that the absence of dishonest intention at the time of

…

**Application:** The court applied this interpretation to the facts of the case and concluded

…

## Parties

- **Judges:** Neena Bansal…
- **Appellants:** Arun Kumar…
- **Respondents:** M/S SCJ Plastics…
- **Advocates:** Rohit Priya…; Aayu…; +1 more

## Timeline

- **1999-02-22 — Orders P…**: Between 22.02.1999 and 13.08.2001, the Petitioner placed Orders for Master batches worth…
- **2001-01-31 — BIFR Refe…**: A reference (Case No. 47/2001) had been registered with the Board for Industrial and…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 141 — Restrictions on bankrupt](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-141)

---

This is a preview. The full structured summary, issues, precedents and source judgment are available on CaseEase - Legal Intelligence Simplified: https://caseease.in/cases/ibc/high-courts-new-delhi/arun-kumar-bagla-vs-scj-plastics-ltd-adddaaf0