Bombay High Court Quashes Copyright-Related FIR Following Amicable Settlement

In a significant move reinforcing the judicial preference for resolving commercial disputes through mediation, the Bombay High Court has quashed an FIR registered for alleged copyright infringement and cyber offences involving a ₹100 crore revenue loss. Justice Dr. Neela Gokhale of the Bombay High Court presided over the matter, granting relief to Play Ventures N.V. and its associated petitioner, Gulamabbas Mohmedali Muni, after the parties arrived at a mutual settlement.

The Conflict: Unauthorized Broadcasting Allegations

The case originated from a complaint filed by the Viacom 18 Group, which alleged that the petitioners had engaged in the unauthorized broadcasting of various programs and web series, including popular titles such as Asur , Crackdown , Big Boss , Nagin , and Choti Sardarni . The complaint further alleged that the petitioner company had broadcast the Tata IPL 2023, resulting in massive financial losses estimated at ₹100 crore.

Based on these allegations, the Nodal Cyber Police Station, Mumbai, registered an FIR (C.R. No. 4 of 2023) under various sections of the Indian Penal Code (IPC)—including cheating (420) and criminal conspiracy (120-B)—along with sections of the Information Technology Act and the Copyright Act.

The Turnaround: Amicable Resolution

While the investigation resulted in a final report being filed before the Additional Chief Metropolitan Magistrate, the parties chose to pursue an out-of-court settlement. On January 24, 2025, they entered into a formal Settlement Agreement to resolve the discord. The Viacom 18 Group submitted a consent affidavit to the High Court, confirming that they were the primary affected party and wished to withdraw the allegations to avoid prolonged litigation.

Legal Reasoning and Judicial Precedents

Addressing the petitions, the Court scrutinized whether the criminal proceedings served any constructive purpose given the civil/commercial nature of the conflict. Relying on established Supreme Court precedents, including Gian Singh v. State of Punjab and Ors. and Narinder Singh and Ors. v. State of Punjab and Ors. , the Court determined that the matter was essentially commercial in nature.

The Court noted that allowing the trial to continue would serve no purpose, particularly when the aggrieved party had expressed an unequivocal desire to put the matter to rest.

Key Observations

The High Court underscored the importance of finality in commercial disputes, noting:

• "The parties have executed Settlement Agreement dated 24th January 2025... The Settlement Agreement records comprehensively the mutual understanding between the parties to avoid prolonged dispute and litigation."
• "It is stated that continuance of the proceedings before the Trial Court will serve no purpose."
• "Considering the nature of the dispute, which is purely commercial in nature... there is no impediment in allowing the Petitions."

Final Decision

Concluding the matter, Justice Dr. Neela Gokhale allowed the petitions and quashed the FIR (C.R. No. 4 of 2023) along with the resulting trial court proceedings. The order serves as a clear indication that where copyright and commercial disputes are concerned, the Indian judiciary remains open to facilitate settlements, thereby reducing the burden on criminal trial courts and encouraging private resolution of financial grievances.

This ruling marks a major victory for the petitioners, clearing them of pending charges and effectively ending the long-standing legal battle between the media conglomerate and the remote gaming company.