Karnataka High Court
Smt. Sarojini W/O L.B. Nilogal vs The State Of Karnataka on 13 June, 2025
-1-
NC: 2025:KHC-D:7619
CRL.A No. 100081 of 2024
C/W CRL.A No. 100082 of 2024
CRL.A No. 100083 of 2024
HC-KAR
IN THE HIGH COURT OF KARNATAKA,
DHARWAD BENCH
DATED THIS THE 13TH DAY OF JUNE, 2025
BEFORE
THE HON'BLE MR. JUSTICE VENKATESH NAIK T
CRIMINAL APPEAL NO.100081 OF 2024
C/W
CRIMINAL APPEAL NO. 100082 OF 2024
CRIMINAL APPEAL NO. 100083 OF 2024
IN CRL.A.NO.100081 OF 2024
BETWEEN:
SMT. SAROJINI W/O. L. B. NILOGAL,
AGED ABOUT 58 YEARS,
W/O. LAKSHMAPPA NILOGAL,
R/O. NO.217, 8TH CROSS, BAPUJI LAYOUT,
VIJAYANAGARA, BENGALURU-560040.
...APPELLANT
(BY SHRI G. N. NARASAMMANAVAR, ADVOCATE)
Digitally AND:
signed by
RAKESH S
HARIHAR
Location:
High Court
THE STATE OF KARNATAKA,
of
Karnataka, BY LOKAYUKTA POLICE,
Dharwad
Bench REPTD. BY SUPERINTENDENT OF POLICE,
KARNATAKA LOKAYUKTA, KOPPAL.
...RESPONDENT
(BY SHRI SANTOSH MALAGOUDAR, SPECIAL COUNSEL)
THIS CRIMINAL APPEAL IS FILED U/S.11 OF THE
CRIMINAL LAW AMENDMENT ORDINANCE, 1944, SEEKING TO
CALL FOR RECORD IN SPL.CC(PC).NO.01/2017 PENDING ON
THE FILE OF PRL. DISTRICT AND SESSIONS JUDGE AND SPL.
JUDGE LOKAYUKTHA AT KOPPAL VIDE ANNEXURE-A AND SET
ASIDE THE IMPUGNED ORDER DATED 10.03.2023 VIDE
ANNEXURE-A, PASSED BY THE PRL. DISTRICT AND SESSIONS
JUDGE AND SPL. JUDGE LOKAYUKTHA AT KOPPAL IN
-2-
NC: 2025:KHC-D:7619
CRL.A No. 100081 of 2024
C/W CRL.A No. 100082 of 2024
CRL.A No. 100083 of 2024
HC-KAR
SPL.CC(PC).NO.01/2017 AND ALLOW THE APPLICATION
PREFERRED BY THE APPELLANT BEFORE THE PRL. DISTRICT
AND SESSIONS JUDGE AND SPL.JUDGE LOKAYUKTHA AT
KOPPAL IN SPL.CC (PC) NO.01/2017, DATED 29.01.2018, VIDE
ANNEXURE-B AND CONSEQUENTLY DIRECT RELEASE OF
MOVABLE ARTICLES PRAYED BY THE APPELLANT AND ETC.
IN CRL.A.NO.100082 OF 2024
BETWEEN:
SRI. VINAYAKA NILOGAL,
AGED ABOUT 35 YEARS,
S/O. LAXMAPPA B. NILOGAL,
R/O. NO.217, 8TH CROSS, BAPUJI LAYOUT,
VIJAYANAGARA, BENGALURU-560040.
...APPELLANT
(BY SHRI G. N. NARASAMMANAVAR, ADVOCATE)
AND:
THE STATE OF KARNATAKA,
BY LOKAYUKTA POLICE,
REPTD. BY SUPERINTENDENT OF POLICE,
KARNATAKA LOKAYUKTA, KOPPAL.
...RESPONDENT
(BY SHRI SANTOSH MALAGOUDAR, SPECIAL COUNSEL)
THIS CRIMINAL APPEAL IS FILED U/S.11 OF THE
CRIMINAL LAW AMENDMENT ORDINANCE, 1944, SEEKING TO
CALL FOR RECORD IN SPL.CC(PC).NO.01/2017 PENDING ON
THE FILE OF PRL. DISTRICT AND SESSIONS JUDGE AND SPL.
JUDGE LOKAYUKTHA AT KOPPAL VIDE ANNEXURE-A AND SET
ASIDE THE IMPUGNED ORDER DATED 10.03.2023 VIDE
ANNEXURE-A, PASSED BY THE PRL. DISTRICT AND SESSIONS
JUDGE AND SPL. JUDGE LOKAYUKTHA AT KOPPAL IN
SPL.CC(PC).NO.01/2017 AND ALLOW THE APPLICATION
PREFERRED BY THE APPELLANT BEFORE THE PRL. DISTRICT
AND SESSIONS JUDGE AND SPL.JUDGE LOKAYUKTHA AT
KOPPAL IN SPL.CC (PC) NO.01/2017, DATED 29.01.2018, VIDE
ANNEXURE-B AND CONSEQUENTLY DIRECT RELEASE OF
MOVABLE ARTICLES PRAYED BY THE APPELLANT AND ETC.
-3-
NC: 2025:KHC-D:7619
CRL.A No. 100081 of 2024
C/W CRL.A No. 100082 of 2024
CRL.A No. 100083 of 2024
HC-KAR
IN CRL.A.NO.100083 OF 2024
BETWEEN:
SRI. LAKSHMAPPA @ LAXMAPPA NILOGAL,
AGED ABOUT 64 YEARS,
S/O. BHEEMAPPA @ BHIMAPPA NILOGAL,
R/O. NO.217, 8TH CROSS, BAPUJI LAYOUT,
VIJAYANAGARA, BENGALURU-560040.
...APPELLANT
(BY SHRI G. N. NARASAMMANAVAR, ADVOCATE)
AND:
THE STATE OF KARNATAKA,
BY LOKAYUKTA POLICE,
REPTD. BY SUPERINTENDENT OF POLICE,
KARNATAKA LOKAYUKTA, KOPPAL.
...RESPONDENT
(BY SHRI SANTOSH MALAGOUDAR, SPECIAL COUNSEL)
THIS CRIMINAL APPEAL IS FILED U/S.11 OF THE
CRIMINAL LAW AMENDMENT ORDINANCE, 1944, SEEKING TO
CALL FOR RECORD IN SPL.CC(PC).NO.01/2017 PENDING ON
THE FILE OF PRL. DISTRICT AND SESSIONS JUDGE AND SPL.
JUDGE LOKAYUKTHA AT KOPPAL VIDE ANNEXURE-A AND SET
ASIDE THE IMPUGNED ORDER DATED 10.03.2023 VIDE
ANNEXURE-A, PASSED BY THE PRL. DISTRICT AND SESSIONS
JUDGE AND SPL.JUDGE LOKAYUKTHA AT KOPPAL IN
SPL.CC(PC).NO.01/2017 AND ALLOW THE APPLICATION
PREFERRED BY THE APPELLANT BEFORE THE PRL. DISTRICT
AND SESSIONS JUDGE AND SPL. JUDGE LOKAYUKTHA AT
KOPPAL IN SPL.CC (PC) NO.01/2017, DATED 16.02.2018, VIDE
ANNEXURE-B AND CONSEQUENTLY DIRECT RELEASE OF
MOVABLE ARTICLES PRAYED BY THE APPELLANT AND ETC.
THESE APPEALS ARE COMING ON FOR HEARING ON IA,
THIS DAY, JUDGMENT WAS DELIVERED THEREIN AS UNDER:
-4-
NC: 2025:KHC-D:7619
CRL.A No. 100081 of 2024
C/W CRL.A No. 100082 of 2024
CRL.A No. 100083 of 2024
HC-KAR
ORAL JUDGMENT
(PER: THE HON'BLE MR. JUSTICE VENKATESH NAIK T)
Heard Sri. G. N. Narasammanavar, learned counsel
for the appellants and Sri S.B.Malagoudar, learned Special
counsel for respondent.
2. The appellant-Smt.Sarojini W/o L.B.Nilogal has
filed Criminal Appeal No.100081/2024, the appellant-
Vinayaka Nilogal filed Criminal Appeal No.100081/2024
and the appellant-Lakshmappa @ Laxmappa Nilogal filed
Criminal Appeal No.100083/2024 under Section 11 of the
Criminal Law Amendment Ordinance, 1944, praying to set-
aside order dated 10.03.2023 passed by learned
Prl.District and Sessions Judge, Koppal in Spl.CC (PC)
1/2017 and to allow the application filed under Section
451/457 of Cr.P.C R/w Section 5, 22 of P.C.Act, 1988 and
Section 132 A of Income Tax Act seeking for release of the
properties in favour of the appellants.
NC: 2025:KHC-D:7619
HC-KAR
3. Brief facts of the prosecution case are that;
On an information/complaint, the Lokayukta officers
have conducted raid in the house of accused/appellants
and an inventory was prepared, the bank locker at
Bengaluru is opened and the articles were seized. The
appellant in Crl.A.No.100081/2024 is the wife of the
accused and she is having small scale business and also
loans availed from banks and private persons. The
lokayuktha police issued prohibitory orders to the manager
restraining from operating their bank accounts. The bank
accounts of the appellants are seized, which caused great
hardship to the appellants. Further, the lokayuktha police
have seized documents from the house of appellants.
There are 17 documents, which include NSC certificates
and other gold and silver articles seized in the house of
accused at Badami and Bengaluru. Thus, in all 30 items
weighing 97.95 grams of gold ornaments were also seized
and the same are kept in the locker No.10 of the State
NC: 2025:KHC-D:7619
HC-KAR
Bank of Bikaner and Jaipur, Gandhinagar Branch,
Bengaluru.
4. Learned counsel for the appellants contended
that the golden ornaments were given to the appellant-
Sarojini at the time of her marriage. The gold and silver
articles were required for daily use of the appellant. The
appellants are ready to execute indemnity bond and they
undertakes to furnish those articles at the time of trial.
Hence, prayed for allowing the appeals.
5. Sri Santosh B.Malagoudar, learned Special
counsel appearing for the Lokayukta contended that
charge has been framed against the accused and now the
matter is set-down for trial. At this juncture, the
appellants have filed applications for release of the gold,
silver articles and other documents, which is not
permissible under law.
6. Perused the material available on record.
NC: 2025:KHC-D:7619
HC-KAR
7. The Lokayukta Police conducted raid on the
house of accused and seized gold, silver articles and other
documents from the house of accused. The allegation that
there is a disproportionate of assets i.e., 83.18% excess
properties owned by the accused. It is an admitted fact
that the wife of accused is a house-maker. Now she is
claiming gold, silver articles and other documents. Since
the charge has been framed by the trial Court and the
matter is set-down for trial. If gold and silver articles and
other documents are released in favour of appellants, it
would hamper the trial and trial will be postponed for in-
definite period. The matter pertains to the year 2015 and
the matter is not concluded till date. The primary concern
is to present the accused from transferring assets that are
allegedly disproportionate to his known source of income.
At this juncture, the appellants have failed to provide
compelling evidence of their legitimate origin and non-
involvement in the alleged crime. I am satisfied that, the
article/Bank Accounts seized are appears to be potential
NC: 2025:KHC-D:7619
HC-KAR
evidence during the trial. Thus, seized assets are held as
evidence to prove the disproportionate assets charge.
8. The prosecution used them to demonstrate the
discrepancy between the accused known income and the
value of his assets. Therefore, keeping the assets in the
Court's custody helps to prevent the accused from
tampering with, destroying or concealing them, which
could hinder the Court.
9. Hence, there is no merit in the appeals,
accordingly are dismissed.
10. In view of submission made by learned counsel
for the appellants, the trial Court is directed to expedite
the trial.
Sd/-
(VENKATESH NAIK T)
JUDGE
AM /CT-AN
