2025:BHC-AS:57456-DB

IN THE HIGH COURT OF JUDICATURE AT BOMBAY

CRIMINAL APPELLATE JURISDICTION

CRIMINAL APPEAL NO. 1310 OF 2024

Mechineni Vijaya w/o. Shrinivasa Rao …. Appellant

V/s.

The State of Maharashtra and Ors. …. Respondents

WITH

CRIMINAL APPEAL (ST.) NO. 1734 OF 2025

Mr. Gangula Punnamchander Reddy …. Appellant

V/s.

The State of Maharashtra and anr. …. Respondents

WITH

CRIMINAL APPEAL (ST.) NO. 12315 OF 2025

M/s. Shri. Venkateshwara Developers …. Appellant

V/s.

The State of Maharashtra and anr. …. Respondents

Mr. Pravin Gaikwad a/w. Mr. Prathmesh Mahadeshwar for the Appellant

in all Appeals.

Ms. Leena Patil, Special PP a/w. Ms. Sangeeta Shinde, APP for the

Respondent – State.

CORAM : BHARATI DANGRE &

SHYAM C. CHANDAK, JJ.

DATED : 16th DECEMBER, 2025

P.C. :-

1) The three Appeals raise a challenge to the Order dated 18/09/2023 passed by the learned Special Court (MPID), City Civil & Sessions Court, Gr. Bombay in MPID Special Case No.1/2014, on the

Application filed by the State to make the attachment of the properties of M/s. MSR Food Processing absolute.

The impugned Order covered three properties to the following effect :-

Sr. No. Type Location details Area

1. Land Survey No.322, Maruti Industries, Hasanparthi, Seetampeth Cross Road, Mandal-Hasanparthi, Dist. Warangal.

2. Land Survey No.89/D, Kanyaka Parmeshwari Industries, Ellapur 3.17 acres Village, Bahupeth Cross Road, Mandal-Hasanparthi, Dist. Warangal

3. Land Survey No.558, Bahupeth Village, Mandal – Elkathurthy, 2.17 acres Dist – Karimnagar

2) The impugned Order proceed on the basis that the three properties belong to M/s. MSR Food Processing, were mentioned in the Notification dated 13/01/2016 published by the Government under Section 4 of the Maharashtra Protection of Interest of Depositors (in Financial Establishments) (MPID) Act, 1999 and by filing the Miscellaneous Application, the State made a request to make the attachment absolute.

It is pertinent to note that the MPID Special Case No.1/2014 arises out of C.R.No.216/2013 which had invoked the provisions of Indian Penal Code alleging that the National Spot Exchange Limited (NSEL), a Company which provide an electronic platform for spot trading in commodities, had allowed 25 members named as accused, to trade on their exchange as sellers without following due diligence. The FIR alleged that during the relevant period, 25 members (sellers) in connivance with NSEL traded fictitious stocks on the exchange, for which they raised fake documents and the Companies squared off the contracts on the date of maturity when the investment in the Companies grew substantially and they did not honour the commitment, thereby causing wrongful loss to the tune of Rs.2.2 Crores to the Complainant – Mr. Pankaj Ramnaresh Saraf and approximately Rs.5600 Crores to the investors numbering more than 13000.

M/s. MSR Food Processing was one of the trading member of the Financial Establishment – NSEL who is alleged to have received monies from NSEL and had defaulted in making the payment.

3) It is in these background, when the provisions of MPID Act were invoked in the subject C.R., the properties and monies of the Directors of NSEL and members of NSEL came to be attached vide Notification dated 13/01/2016 but since the total value of the attached properties and monies was not found to be sufficient for repayment of the deposits to the depositors, the Government deemed it appropriate to attach the properties of the Members of the Financial Establishment – NSEL and their associated companies and this included M/s. MSR Food Processing, a proprietory concern of Mr. Mesineni Sampath Rao.

Since he demised, the State preferred an Application to bring his heirs on record and thereafter, summons were issued to the legal heirs. When the State made an Application to the Competent Court for making the attachment absolute, it placed on record the affidavit of one Mr. Ravindra Rajput stating that the service of summons has been effected upon the three legal heirs on 17/01/2020.

4)