Karnataka High Court
S Nanjappa vs The State on 31 August, 2023
Bench: M.Nagaprasannapresided Bymnpj
-1-
NC: 2023:KHC-D:9829
CRL.P No. 102020 of 2023
IN THE HIGH COURT OF KARNATAKA, DHARWAD BENCH
DATED THIS THE 31ST DAY OF AUGUST, 2023
BEFORE
THE HON'BLE MR JUSTICE M.NAGAPRASANNA
CRIMINAL PETITION NO. 102020 OF 2023
BETWEEN:
S. NANJAPPA S/O SHIVALINGAYYA
AGE. 54 YEARS, OCC. SELF EMPLOYED,
R/O. #24, 15TH MAIN ROAD,
NEAR ATTREYA SCHOOL,
J.C. NAGAR, BANGALORE-01.
... PETITIONER
(BY SRI. A.D. NADAF, ADVOCATE)
AND:
1. THE STATE, BY APMC YARD PS. BELAGAVI,
R/BY HIGH COURT GOVT. PLEADER,
OFFICE AT DHARWAD HIGH CURT,
DHARWAD-580011.
VISHAL
NINGAPPA 2. RAMESH KUMAR S/O VASANT KUMAR,
AGE. 49 YEARS, OCC. SELF EMPLOYED,
PATTIHAL R/O. PLOT NO. 10, KRISHI NAGAR,
NEAR RING ROAD, IBRAHIMPUR,
Digitally signed by VIJAYPAPUR-586109.
VISHAL NINGAPPA ... RESPONDENTS
PATTIHAL
(BY SRI. V.S. KALASURMATH, HCGP FOR R1)
Date: 2023.09.02
13:25:43 +0530
THIS CRIMINAL PETITION IS FILED U/SEC. 482 OF CR.P.C.
SEEKING TO QUASH ALL THE CONSEQUENTIAL PROCEEDINGS
INITIATED AGAINST THE PETITIONER/ACCUSED NO.5 IN CRIME NO.
59/2022, PENDING ON THE FILE OF PRINCIPAL DISTRICT AND
SESSIONS JUDGE, BELAGAVI, REGISTERED BY RESPONDENT NO.1
FOR THE OFFENCES U/SEC. 23 OF THE BANNING OF UNREGULATED
DEPOSIT SCHEMES ACT 2019 AND U/SEC. 506, 120B, 149, 406, 420
OF IPC.
THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, THE
COURT MADE THE FOLLOWING:
-2-
NC: 2023:KHC-D:9829
CRL.P No. 102020 of 2023
ORDER
1. The petitioner is before this Court calls in question the
proceedings in Crime.No.59/2022 of APMC Yard Police station
pending on the file of the Prl. District and Sessions Judge,
Belagavi for the offences punishable under Sections 506, 120B,
149, 406, 420 of IPC.
2. Learned counsel appearing for the petitioner would
submit that issue in the lis stands answered by the Co-ordinate
Bench in Crl.P.No.102888/2022, dated 19.10.2022. The Co-
ordinate Bench has held as follows:
ORDER
The FIR is registered in Crime No.257/2021 for the
offences punishable under Sections 420 and 511 of IPC
and Sections 21(1) and 21(2) of the Banning of
Unregulated Deposit Schemes Act, 2019 (hereinafter
referred to as "Act" for short) alleging that accused Nos.1
and 4 induced the people to deposit money stating that
the amount invested will be doubled and the said amount
which is invested by the public have been utilized for own
purpose and for other purposes and during the course of
investigation, the petitioners have been arrayed as
accused Nos.2 and 3, as they were collecting the money
from the public as agents of accused No.1. Taking
exception to the same, this petition is filed.
NC: 2023:KHC-D:9829
CRL.P No. 102020 of 2023
2. Learned counsel appearing for the petitioners
submits that Section 27 of the Act specifies that no
Designated Court shall take cognizance of an offence
punishable under that section except upon a complaint
made by the Regulator. He further submits that the
registration of the FIR for the offences punishable under
Sections 21(1) and 21(2) of the Act is one without
authority of law.
3. The learned HCGP appearing for the
respondent-State submits that the petitioners having
collected money illegally from the people, committed the
aforesaid offences and the Police have registered the FIR
and the same does not warrant any interference.
4. I have examined the submissions made by
the learned counsel for the parties.
5. Section 7 of the Act, specifies that
appropriate government shall, by notification, appoint one
or more officers not below the rank of Secretary to that
government, as the competent authority for the purpose
of this Act. Section 8 specifies that the appropriate
government shall, with the concurrence of the Chief
Justice of the concerned High Court, by notification,
constitute one or more Courts known as the Designated
Courts for such area or areas to deal with the matters to
which the provisions of the Banning of Unregulated
Deposit Schemes Act applies. Section 27 of the Act
specifies that no Designated Court shall take cognizance
of an offence punishable under that section except upon a
complaint made by the Regulator.
6. A conjoint reading of this provision indicates
that the government shall first appoint a Regulator and
NC: 2023:KHC-D:9829
CRL.P No. 102020 of 2023
thereafter designate a Court to deal with the matters to
which the provisions of this Act apply and the Designated
Court can take cognizance only on a complaint in writing
made by the Regulator.
7. In the instant case, the Regulator has not
filed a complaint before the Designated Court so as to
take cognizance of the offences punishable under Sections
21(1) and 21(2) of the Act. However, the Police have
registered the FIR for the aforesaid offences. Hence, the
registration of the FIR for the aforesaid offences is one
without authority of law. Accordingly, I pass the following:
ORDER
Writ Petition is allowed.
The impugned FIR in Crime No.257/2021 filed by
the Chikkodi Police Station insofar it relates to accused
Nos.2 and 3 is hereby quashed.
3. Learned HCGP on perusal of the judgment would
accept that the issue has been answered by the Co-ordinate
Bench.
For the aforesaid reasons, I pass the following:
ORDER
i) Writ petition is allowed.
ii) The impugned proceedings in
Crime.No.59/2022 of APMC Yard Police station
NC: 2023:KHC-D:9829
CRL.P No. 102020 of 2023
pending on the file of the Prl. District and Sessions
Judge, Belagavi qua the petitioner stands quashed.
Sd/-
JUDGE
vb
ct:bck
