MAMAN KUMAR AGRAWAL vs M/S GUPTA HOMES P.LTD.

The Supreme Court upheld the High Court's order quashing the cognizance taken under Sections 406 and 420 IPC, emphasizing that the respondents must refund the amount of Rs.9,87,000/- paid by the appellant for a flat, along with 12% interest from 21.12.2006. The Court directed the respondents to make the payment within two months, failing which the appellant could seek modification of the order. The ruling reinforces the principle that a party must return amounts received under a contract when the contract is not fulfilled.