The Economic Offences Wings of the Gurugram and Delhi Police investigate cheating, breach of trust and fraud, usually where large sums or many people are involved. A person named in such a case usually first hears of it through a notice.
What the notice is
Where arrest is not required, Section 35(3) of the BNSS (earlier Section 41A of the CrPC) requires the police to issue a notice of appearance. The person must appear and comply with the terms of the notice. As long as they do, they are not to be arrested for that offence unless the officer records reasons for it. If the person fails to comply, the officer may arrest them, subject to orders of a competent court.
The Supreme Court has repeatedly stressed that arrest is not automatic in offences punishable with up to seven years, in Arnesh Kumar v State of Bihar (2014) and later in Satender Kumar Antil v CBI (2022).
Responding to the notice
- Do not ignore it. Non-compliance is the most common reason a notice turns into an arrest.
- Read what is asked: appearance, documents, or both.
- Prepare a chronology and the documents that explain your side: agreements, invoices, bank records and correspondence.
- Where the date is not workable, ask in writing for another date, with reasons.
When the dispute is really civil
Many EOW cases begin as business disagreements: an unpaid supplier, a failed project, a falling-out between partners. Courts have long held that a breach of contract is not, by itself, cheating. Where the dispute is essentially civil, or the parties have settled, the High Court can quash the case under Section 528 of the BNSS; the Supreme Court set out the approach to quashing on settlement in Gian Singh v State of Punjab (2012).
If arrest is a real risk
Anticipatory bail can be sought in the Sessions Court or the High Court. Our Economic Offences Wing practice acts for those accused and for complainants whose money has been taken.
This article gives general information on the law as it stood when it was written. It is not legal advice; every matter turns on its own facts.