The High Court · 2025

Petition under Section 482 of Cr.P .C praying that in the circumstances stated rn the Memorandum of Grounds of Criminal Petition, the High Court may be pleased to quash the charge sheet in C.C.No.6 of 2OO2 on the file of the First Additional Metropolitan Sessions Judge at Hyderabad, for the offences punishable u/s 409, 419,420, 120(B) of IPC & BO Sec.S of APDFE Act, 1999 against the petitioner /Accused No. 81. l.A. NO: 2 OF 2024 Petition under Section 482 of Cr.P.C praying that in the circumstances stated in the Memorandum of Grounds of Criminal Petition, the High Court may be pleased to stay all further proceedings including appearance of the Pelitioner/ Accused No.81 in C.C.No.6 ol 2002 on the file of the First Additional Metropolitan Sessions Judge at Hyderabad, pending disposal of the above quash petition. This Petition coming on for hearing, upon perusing the Memorandum of Grounds of Criminal Petition and upon hearing the arguments of Sri N Ravi Prasad, Advocate for the Petitioner and Sri M.Ramachandra Reddy, Additional Public Prosecutor on behalf of the Respondents. The Court made the following: ORDER THE HON'BLE SMT. JUSTICE JUWADI SRIDEVI CRIMINAL PETITIO N No.2934 ot 2024 ORDER: This Criminat Petition is filed under Section 4g2 {)r.p.C. by the petitioner-accused No 81 seeking to quash the proceedirrlys against him in c.c.No.6 of 2002 on the file of the I Additional Metropclitan sessions Judge at Hyderabad, registered for the offences pur shable under Sections 409,419,420 and 120-8 lpc and Section 5 rf the Andhra Pradesh Protection of Depositors of Financial Establishnre nts Act, 1g9g (for short, 'the Act').

2. Heard Mr. N.Ravi Prasad, rearned counser for the cetitioner and Mr. M.Ramachandra Reddy, rearned Additionar pubri : prosecutor appearing for the respondents-State. perused the record

3. The facts of the case, in brief, are that a porice compraint was lodged by the Principal Secretary to the Government a cng with the Registrar of co-operative Societies, Hyderabad, on 25.02 2002 against the Management of lhe charminar co-operative Urban tlank Limited, Hyderabad, its officers and certain persons, who have avair,:d roans from the charminar co-operative Urban Bank Limited, Hyderarrird. Based on the said complaint, a case was registered in crime No.3 r>1 2c02 for the aforesaid offences 2 - 4. On '14.06.200'l , accused No.80 has submitted an application to the Charminar Co-operative Urban Bank Limited, Hyderabad, seeking sanction of a loan of Rs.36,00,000/- for the purpose of developing his business. The said loan was sanctioned under D.L.No.7l2O01, and the full amount of Rs.36,00,000/- was disbursed to accused No.80 on the very same day, against the equitable mortgage of Flat Nos.1A and 1B situated in Akarshana Banjara Buildings, Banjara Hills, admeasuring '1076 square feet. Subsequent to the disbursement of the loan, the aforementioned flats were transferred in favour of the petitioner-accused No.81 and accused No.B2, who stood as guarantors to the said loan, by executing an equitable mortgage in respect of the said property.

5. Learned counsel for the petitioner has contended that the loan alleged to have been sanctioned to accused No.80 was not within the knowledge of the petitioner. As accused No.80 failed to repay the loan amount, the Bank has initiated Execution Proceedings against him in E.P.No.63 of 2004 for realization of the amount due by sale of mortgaged properties. The said amounts were repaid by accused No.80. lt is contended that the petitioner has no involvement whatsoever in the alleged transaction and that his Aadhar card was misused without his knowledge or consent to implicate him falsely. The petitioner was merely working as a Driver of the Chairman, who committed suicide, and has 3 been unnecessarily roped into the case without any role in the alleged offences. The proceedings against accused No.80, whc s the principal accused, were quashed by this Court in Crl.P.No.619l of 2023 on

07.08.2023. Similarly, the proceedings against accused l',los 89 and 90 were also quashed by this Court in Crl.P.No.4253 of 2015, by order dated 29.03.2023. The complaint or charge sheet does rrot disclose that the petitioner has committed the offences alleged, and herce, prayed to quash the proceedings against the petitioner

6. On the other hand, the learned Additional Pub ic Prosecutor contended that there are specific allegations against the 6 etitioner. The truth or otherwise of the allegations levelled against h nr can only be known after conducting full-fledged trial before the trial Corrrt. Hence, he prayed to dismiss the petition \

7. The allegation against the petitioner is that he stoocl rs a guarantor for the loan transaction in question, and that the mortg;rr;ed flats were I I subsequently transferred in his favour. lt is not in d spute that the proceedings against accused No.80, who is the principeLl accused, and accused Nos.B9 and 90 were quashed by this Court in Crl.r.Nos.6190 of 2023 and 4253 of 2015 on 07.08.2023 and 29.03.2023 rrrspectively, and the loan amounts were already repaid by accused No.8i) as submitted by the learned counsel for the petitioner. Further, except the allegation \- 4 that the petitioner stood as a guarantor and that the mortgaged flats w.ere transferred in his name, no specific overt act or Independent allegation of wrongdoing has been attributed to him. ln view of the quashment of proceedings against the other accused in the crime, repayment of the loan amount, and in the absence of any substantive material against the petitioner, this Court is of the view that continuation of proceedings against the petitioner would amount to an abuse of process of law.

8. Accordingly, this Criminal Petition is allowed and the proceedings against the petitioner-accused No.B'1 in C.C.No.6 of 2002 on the file of the I Additional Metropolitan Sessions Judge, Hyderabad, are hereby quashed. Pending miscellaneous applications, if any, shall stand closed. SD/- U.SUDHA ASSISTANT REGISTRAR //TRUE COPY// SECTION OFFICER To, Wll

1. The First Additional Metropolitan Sessions Judge, Hyderabad 2. The Special Court cum Metropolitan Sessions Judge, Hyderabad 3. The Station House Officer, CID Police Station, Hyderabad 4. Two CCs to Public Prosecutor, High Cou( for the State of Telangana at Hyderabad [OUT]

5. One CC to Sri N Ravi Prasad, Advocate [OPUC] 6. Two CD Copies 7. The Deputy Superintendent of Police, City Zone, ClD,Hyderabad. ABK/psl HIGH COURT DATED: 2510812025 ORDER CRLP.No.2934 ot 2O24 /, -' !-) i, -) It] tLj ?025 ALLOWING THE CRIMINAL PETITION 11 \t ) \r,