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2025 Supreme(Bom) 1518

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
Shree Chandrashekhar, CJ., Gautam A. Ankhad, J.
Chinmay Subhash Dendage and ors. - Petitioners
Versus
The State of Maharashtra, Through Bhavdhan Police Station - Respondents
Criminal Writ Petition No.4228 of 2025
Decided On : 21-11-2025

Advocates Appeared:
For the Petitioner:Mr. Arvind Aswani, Advocate
For the Respondent:Mrs. G.P. Mulekar, Additional Public Prosecutor Mr. Tapan Thatte, Advocate

Court can quash criminal proceedings if offences arise from civil transactions settled amicably, as established by precedent.

Headnote:(A) Constitution of India - Article 226 - Bharatiya Nagarik Suraksha Sanhita, 2023 - Quashing of FIR - Writ petition for quashing FIR lodged for various offences involving a financial dispute settled amicably between parties - The respondent no.2 no longer wishes to pursue criminal action following a mutual settlement, reinforced by an affidavit of consent. (Paras 1, 2, 3)

(B) Nature of offences - The court reiterated that certain offences stemming from civil or commercial transactions can be quashed when the victim and offender resolve their differences amicably, as established in "K. Bharthi Devi v. State of Telangana" (2024) 10 SCC 384. (Para 3)

Facts of the case:
The petitioners, involved in a financial transaction with the respondent, were accused of defrauding the respondent for Rs.3,00,000/- under the pretext of selling US Dollar currency. A mutual settlement led to both parties wishing to quash the FIR.

Findings of Court:
The court allowed the writ petition to quash the FIR and related proceedings as the dispute was resolved amicably.

Issues: The main issue was whether the criminal proceedings could be quashed given the amicable settlement between the parties.

Ratio Decidendi: The court found that where disputes arise from financial transactions of a civil nature and are settled amicably, it is justifiable for the High Court to quash such criminal proceedings.

Result: Writ petition allowed.

Table of Content
1. consent to quash fir due to mutual settlement. (Para 1 , 2)
2. high court's authority to quash proceedings in civil-related offenses. (Para 3)

JUDGMENT :

GAUTAM A. ANKHAD, J.

The present writ petition is filed under Article 226 of the Constitution of India and section 528 of the Bharatiya Nagarik Suraksha Sanhita, 2023 seeking quashing, by consent, of the FIR No.101 of 2025 dated 12th March, 2025 filed under sections 140(3), 308(4), 115(2), 352, 351(2), 351(3), and 3(5) of the Bhartiya Nyaya Sanhita, 2023, registered with Bhavdhan Police Station.

2. The parties are present in the court and are identified by their learned counsels. They also tender their handwritten appearance along with their signature and a copy of their Aadhar Card. It is the case of the respondent no.2 that the petitioners have defrauded the respondent no.2 for an amount of Rs.3,00,000/- under the pretext of selling US Dollar currency at a rate lower than the market price. The present dispute stems from the financial transactions between the petitioners and the respondent no.2. There is a cross FIR numbered 102 0f 2025, filed by the petitioners against the respondent no.2 on 12th March 2025. Subsequently, the respondent no.2 and the petitioners were granted bail by the learned trial Court. Thereafter the parties have arrived at a mutual settlement. The respondent no.2 no longer wants to take criminal action against the petitioner in view of the amicable resolution of differences between the parties. The learned counsel for the respondent no.2 Mr. Thatte reiterates that his client has no objection to the quashing of the FIR and all related proceedings. Respondent no.2 has filed an affidavit of consent dated 9th August, 2025 confirming the settlement and agreement to quash the current proceedings. The said affidavit states that the incident reported in the FIR, arose from a misunderstanding between the parties, and the differences between the petitioner and the respondent no.2 have now been resolved.

3. It is settled law as reiterated by the Hon’ble Supreme Court in “K. Bharthi Devi v. State of Telangana” (2024) 10 SCC 384 that certain offences which overwhelmingly bear civil flavour having arisen out of civil, mercantile, commercial, financial, partnership or such like transactions, where the wrong is basically to the victim and the offender and the victim has settled all disputes between them amicably, the High Court would be justified in quashing the criminal proceedings. In view of the above view, Criminal Writ Petition No.4228 of 2025 is allowed in terms of prayer clause (a) which read as under:

“(a) That this Hon’ble Court be pleased to issue writ of certiorari or any other appropriate writ, order or direction in the like nature under Article 226 of the Constitution of India r/w. Sec. 523 of Bharatiya Nagarik Suraksha Sanhita, 2023, thereby quashing and setting aside the charge-sheet registered as R.C.C. No.3633 of 2025 before the Ld. Judicial Magistrate First Class, Pune and the impugned F.I.R. No.101/2025 dated 12th March 2025 filed u/s. 140(3), 308(4), 115(2), 352, 351(2), 351(3) and 3(5) of Bharatiya Nyaya Sanhita, 2023 registered with Bavdhan Police Station by the respondent no.2.”

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