Allahabad HC dismisses plea to quash FIR over Volkswagen's alleged installation of 'cheat device' in vehicles sold by them

The Allahabad High Court recently dismissed a plea to quash an FIR lodged against Skoda Auto Volkswagen India Pvt. Ltd., filed by an Audi owner in the wake of the NGT's 2019 finding that the company had installed "cheat devices" in the vehicles sold by them .A Bench of Justices B Amit Sthalekar and Shekhar Kumar Yadav remarked,."...we are of the opinion that the question as to whether a 'cheat device' was installed in the vehicles purchased by the respondent no.3 and whether they satisfy the BS-IV norms or not, is a matter of investigation and the investigation cannot be interfered with by this Court on an erroneous interpretation of the interim order of the Supreme Court. The prayer for quashing the FIR is refused."Allahabad High Court.An FIR was registered against Volkswagen under Sections 34, 471, 468, 467, 420, 419 and 406 of the Indian Penal Code..It was alleged in the FIR that the complainant had purchased seven Audi cars from the petitioner through their authorized dealer. .On purchase, the complainant is stated to have been assured that the company had not installed any cheat devices in vehicles meant to be sold in India, since India has a growing market for Audi vehicles and as emission norms in India were not as strict as they were in other countries..However, the complainant later came to be aware of a March 2019 order passed by the National Green Tribunal (NGT) finding Volkswagen guilty of having installed a cheat device' to show lower pollution emissions during laboratory testing..Senior Advocate Naveen Sinha, appearing for the Skoda Auto Volkswagen India Pvt. Ltd., recounted before the Court that the NGT had passed an order in March 2019 imposing damages and an enhanced amount of compensation amounting to Rs. 500 crores against Audi in its order.Aggrieved by the NGT's order, Volkswagen had filed an appeal before the Supreme Court. The top Court passed an order on May 6, 2019, directing that no coercive steps were to be taken against the company..In view of the interim protection granted by the Supreme Court, Volkswagen told the High Court that the challenged FIR was nothing but malicious prosecution and that it could not have been lodged at all. Therefore, the same was liable to be quashed, it was contended..AGA AN Mulla submitted that NGT had left it open for the Central Pollution Control Board (CPCB) to initiate prosecution as per the prescribed statutory regime. Therefore, the order of the Supreme Court directing that no coercive action be taken was confined to any action which may be contemplated by the CPCB, which was a party before the Tribunal..He added that such a direction would not operate as a blanket embargo in respect of FIRs lodged by private individual/individuals on allegations that they were cheated by the faulty emission standards declared by the company, which may be found to not satisfy the BS-IV norms..Noting that the writ petition lacked merit and opining that the matter requires investigation, the High Court went on to dismiss it. .However, it was directed that the petitioners shall not be arrested till the submission of the final police report under Section 173 (2) CrPC, and provided that the petitioners co-operates with the investigation..Read the Order here: