Calcutta High Court in Dasrathbhai Narsangbhai Chaudhary vs. The State of West Bengal & Another, C.R.R. 1395 of 2022, held that the non-payment of outstanding salary or performance bonus does not constitute criminal offences under Sections 420 (cheating and dishonestly inducing delivery of property), 406 (criminal breach of trust), or 34 (common intention) of the Indian Penal Code, 1860 (“IPC“). The Court ruled that these claims must be addressed through civil remedies and that criminal charges cannot be imposed in such cases unless a prima facie case of dishonesty or breach of trust is established. Additionally, the complaint must disclose any specific role or act leading to the commission of the alleged offences for criminal liability to be imposed. The Court dismissed the criminal charges against the employer under Sections 406 and 34 of the IPC, reiterating the need for substantial evidence to support such allegations.
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