THE HON'BLE SRI JUSTICE S. RAVI KUMAR CRIMINAL PETITION No.14538 of 2013 Date:23.09.2014 Between:
M.V. Subba Reddy and others.
. Petitioners.
AND The State of A.P., rep by its Public Prosecutor, through D.S.P., City, Zone, CID, Hyderabad.
. Respondents.
The Court made the following :
THE HON'BLE SRI JUSTICE S. RAVI KUMAR CRIMINAL PETITION No.14538 of 2013 ORDER:
This petition is filed to quash proceedings in C.C.No.06/2002 on the file of I Additional Metropolitan Sessions Judge, Hyderabad against the petitioners for alleged offences under Sections 409, 420, 120-B IPC and Section 5 of A.P. Protection of Depositors of Financial Establishments Act, 1999 (hereinafter in short referred to as 'the Act, 1999')
2. Brief facts leading to filing of this petition are as follows:-
Respondent herein filed charge sheet against 88 persons alleging that they have committed offences under Sections 120-B, 409 & 420 IPC and Section 5 of the Act, 1999. Petitioners are A47 & A48. According to charge sheet allegations, A33 entered into criminal conspiracy with his relatives and employees, who are A35, A37, A39, A41, A43 & A45 to A49 to swindle away the amounts deposited by the depositors in Charminar Co-operative Urban Bank Limited and in pursuance of the said conspiracy, he opened accounts in the names of his relatives and employees and misappropriated huge amounts and the petitioners being conspirators are liable for punishment.
3. Heard both sides.
4. Learned Senior Advocate for petitioners submitted that A33-Sri K.V.P. Subbaiah is the Managing Partner of M/s. Sri Sai Engineering Constructions and subsequent to filing of the charge sheet, the said Subbaiah cleared the entire loan amount, which is Rs.18,61,75,525/- towards full and final settlement to the Charminar Co-operative Urban Bank Limited and thereafter, a three Men Committee, appointed by the Government, submitted a report stating that the payments were made according to the guidelines issued by the Reserve Bank of India and on considering the said report, State Government issued G.O.Rt.No.288, Law (LA & J-Home-Courts-B) Department, dated 20-02-2009, directing the Additional Public Prosecutor to file a petition under Section 321 Cr.P.C to withdraw prosecution and accordingly, prosecution filed petition withdrawing prosecution and when the said petition was dismissed, A33 approached Hon’ble High Court to quash the proceedings on the basis of G.O and this Court, by an order, dated 06-07-2010, in Crl.P.No.10995/2009, quashed the entire proceedings, but the petitioners, who are no way concerned with the offence, whose names were used by A33–Mr.K.P.V. Subbaiah are remained as accused and they made to appear for each and every adjournment. It is further submitted that the case has been pending since last 12 years and the petitioners were made to appear for each and every adjournment and continuation of proceedings would amount to abuse of process of Court. On the other hand, learned Public Prosecutor submitted that the amount relating to the loan account covered by these two petitioners was paid back by the very same Subbaiah and there is no outstanding due from the petitioners. He submitted that he would leave the matter to the discretion of the Court.
5. Now the point that would arise for my consideration in this petition is whether proceedings against petitioners in C.C.No.06/2002 on the file of I Additional Metropolitan Sessions Judge, Hyderabad are liable to be quashed or not?
6. Point:- It is clear from the charge sheet allegations, the petitioners are only name lenders of A33 i.e., K.P.V. Subbaiah and even according to charge sheet allegations, the said Subbaiah opened accounts in the names of his relatives and employees. According to petitioners, they are employees of said Subbaiah and from the submissions of Advocate for petitioners, the relatives and Subbaiah were already relieved of the charges through the orders of this Court in Crl.P.Nos.10995/2009, 630/2009 & 7577/2010. In all these petitions, this Court, after considering the fact that the entire loan amount was paid back and that the Government has issued G.O., withdrawing the prosecution against the main accused i.e., Mr.Subbaiah, quashed the proceedings against the relatives of the said Subbaiah in whose names also accounts were opened. Now from the submission of the learned Public Prosecutor the amount standing in the names of these two petitioners was also paid back by the same Subbaiah and there is no outstanding balance. As rightly pointed out by the Advocate for petitioners, the allegations against the petitioners is that they entered into a conspiracy with the said Subbaiah and when Subbaiah was already discharged from the liability by virtue of a G.O., issued by the Government, continuation of proceedings against these petitioners, who are only employees, who are no way concerned with the allegation of misappropriation, would amount to miscarriage of justice, therefore, to secure ends of justice, the proceedings against the petitioners are liable to be quashed.
7. Accordingly, Criminal Petition is allowed and the proceedings against A47 & A48 in C.C.No.06/2002 on the file of I Additional Metropolitan Sessions Judge, Hyderabad are hereby quashed.
8. As a sequel, miscellaneous petitions, if any, pending in this Criminal Petition, shall stand disposed of.
JUSTICE S. RAVI KUMAR
Date:23.09.2014 mrb