Rajesh Gosain and Ors. v. State (NCT of Delhi)
In the High Court of Delhi
Crl. M.C. 4527/2015
Before Justice P.S. Teji
Decided on January 29, 2016

Relevancy of the case: Quashing of FIR in a case involving data theft and stealing of confidential information

Statutes and Provisions Involved

• The Information Technology Act, 2000 (Sections 66, 66C)
• The Indian Penal Code, 1860 (Sections 120B, 408, 420, 511)
• The Code of Criminal Procedure, 1973 (Section 482)

Relevant Facts of the Case

• A complaint was made by the respondent company against the petitioners, who were ex-employees of the company. They were accused of breach of trust by committing data theft from the system and taking wrongful possession of confidential files using the same for their wrongful gain.
• The petitioners then resigned from the services of the complainant company and absconded without reporting in the stipulated notice period.
• One of them deleted all the confidential data from the office laptop and was instigated by the other three petitioners to join them in running their own business. They also took secret passwords for email and related networks to keep a watch over the confidential data.
• Petitioner number 3 also provided them with access to a drive for effecting the misappropriation of confidential data.
• Respondent number 2 filed a civil suit against the petitioners restraining the petitioners from using the data after which the parties entered into an amicable settlement.

Prominent Arguments by the Advocates

• The respondent’s counsel has submitted that it has been agreed by both parties that the petitioners or their agent won’t contact the customers of respondent number 2. Also, they won’t use, nor possess or transfer the confidential data or trade secrets.

Opinion of the Bench

• As the matter has been settled and compromised amicably, the court believes that it is a fit case to invoke jurisdiction under Section 482 of the Code of Criminal Procedure, 1973.

Final Decision

• Petition allowed.
• FIR quashed.

This case summary has been prepared by Ria Verma, an undergraduate student at Symbiosis Law School, Noida, during her internship with The Cyber Blog India in January/February 2021.