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2026 Supreme(Online)(Chh) 12512

IN THE HIGH COURT OF CHHATTISGARH AT BILASPUR
Arvind Kumar Verma, J
Arun Kumar Swarnakar – Appellant
Versus
State of Chhattisgarh – Respondent
CRA No. 1156 of 2019



Advocates:
For the Appellants/Petitioners: Manoj Paranjpe, Amit Soni
For the Respondents: Jitendra Shrivastava, Rishi Rahul Soni

In an inquiry under Section 452 of the Code of Criminal Procedure, if the accused disclaims ownership of the recovered property, the property should be restored to the victim after verifying it is stolen property; memorandum statements leading to discovery under Section 27 of the Evidence Act are admissible for this purpose.

Headnote:(A) Code of Criminal Procedure, 1973 - S. 452 - Disposal of property - Entitlement to seized articles - Complainant/victim claimed ownership of gold and silver jewelry stolen during a dacoity - Accused disclaimed the seized property - Trial Court incorrectly applied hyper-technical reasoning regarding valuations and initially ordered forfeiture to the State - Court held that seized property should be restored to the victim when the accused fails to claim ownership and evidence points to the stolen nature of the goods. (Paras 25, 36, 37)

(B) Evidence Act, 1872 - S. 27 - Admissibility in property disposal inquiries - Discovery of stolen property based on memorandum statement of the accused is admissible for determining possession/disposal under S. 452 of the Code of Criminal Procedure, despite the confessional nature of the statement. (Paras 28, 32, 33)

Facts of the case:
Criminal appeal filed by the proprietor of a jewelry shop against the trial court order rejecting the full release of seized gold and silver ornaments recovered from the accused. Following a dacoity, the appellant had lodged an FIR, and subsequent police investigation led to the recovery of stolen jewelry. The Trial Court had partially allowed the release but denied the claim for the full value of jewelry, citing valuation issues and receipt discrepancies.

Findings of Court:
The Court found that the trial court failed to appreciate that the accused never claimed the seized jewelry and the recovered articles belonged to the complainant. The court emphasized that in an inquiry under S. 452 CrPC, the criminal court is concerned with rightful possession, and strict technicalities regarding purchase receipts should not override the clear identification of stolen property. Recovery information under S. 27 of the Evidence Act is admissible for disposing of property.

Issues: Whether the trial court incorrectly applied the law regarding the disposal of property under S. 452 of the Code of Criminal Procedure, and whether the victim is entitled to the seized jewelry when the accused disclaims ownership.

Ratio Decidendi: Where the accused from whom property was recovered disclaims ownership, there is no legal basis to forfeit the property to the State if it is established that the articles were stolen from the victim. Confessional statements or memorandum statements leading to discovery are admissible for the limited purpose of determining possession of property during an inquiry under S. 452 of the Code of Criminal Procedure.

Result: Appeal allowed.

Table of Content
1. overview of case history and facts regarding dacoity and property recovery. (Para 1 , 2 , 3 , 4 , 5 , 6 , 7)
2. arguments presented regarding entitlement to the seized jewelry. (Para 8 , 9 , 10 , 11 , 12 , 13)
3. court's analysis of evidence and legal precedents governing property disposal. (Para 14 , 15 , 16 , 17 , 18 , 19 , 20 , 21 , 22 , 23 , 24 , 25 , 26 , 27 , 28 , 29 , 30 , 31 , 32 , 33 , 34 , 35 , 36 , 37)
4. final order granting delivery of property to the appellant. (Para 38 , 39 , 40)

Judgment on Board

1. The instant criminal appeal has been preferred by the appellant under Section 454 of CrPC arising out of order dated 12.03.2019 passed in MJC No.01/18 by the Additional Sessions Judge, Sarangarh, District Raigarh (C.G.).

2. Brief facts of this case is that the appellant is proprietor of Ruchi Jewelers and Shally having his shop at Baramkela, dealing in sale of Gold and Silver Ornaments from the aforesaid premises. On 18.02.2012, some miscreants committed dacoity in the shop of the appellant and took away the gold and silver ornaments along with cash available in the shop and house of the appellant which is just behind the shop. The appellant who is the proprietor of the aforesaid jewelry shop on 18.02.2012, lodged a written report to the effect that 4 to 5 dacoits covering their face committed dacoity in the shop and house took away gold and silver ornaments along with cash and fled away in a Tavera vehicle. The said dacoits also inflicted injuries to the complainant/appellant and one gun shot injury to one Jasal Das who was the watchman of the shop. On the aforesaid information an F.I.R. for the offence punishable U/S 395 of IPC and U/S 25, 27 of the Arms Act was registered against unknown persons. The police after conducting the investigation, on 04.03.2012 apprehended the accused persons and on the basis of their memorandum certain articles, cash, gold and silver ornaments were recovered. A Test Identification Parade was conducted in which the appellant as well as Jasal Das, Simran Swarnakar, Rajkumari Swarnakar, Arjun Ram identified the accused persons.

3. After completion of investigation, charge sheet was filed against the accused persons and they were tried for the offence punishable U/S 395, 397, 120-B read with Section 34 of I.P.C. and U/S 25, 27 of the Arms Act and one of the accused person namely Ritesh Sahu was prosecuted for the offence punishable U/S 201 and 120-B read with Section 34 of I.P.C.

4. The trial Court after appreciating the evidence available on record vide judgment dated 30.09.2014 convicted all the accused persons. The aforesaid judgment of conviction and sentence was assailed by the accused persons before this Court by way of two different criminal appeal bearing CRA No. 1065/2014 & bearing appeals CRA No. 1228/2014. The appellant also preferred an appeal for enhancement of sentence which was registered as CRA No.428/2015. Vide judgment dated 02.02.2018, this Court concluded that the prosecution was successful to bring home the offence punishable U/S 395/34 IPC and 120-B IPC against all the accused person except Ritesh Sahu. After holding so the appeal of Ritesh Sahu was allowed, the other criminal appeal No.1228/2014 was partly allowed where the sentence was reduced and fine was enhanced. The appeal preferred by the appellant for enhancement of sentence was consequently dismissed.

5. On perusal of judgment dated 30.09.2014 (Annexure A-1) would reveal that the trial Court had not passed any order regarding disposal of the property, and directed that the disposal of the property would be made after conclusion of trial against the absconding accused. Against the said order, the appellant preferred a criminal appeal bearing CRA No. 478/2017 in which this Court had directed to make an application U/s 452 of Cr.P.C. before the trial Court.

6. In compliance of order passed by this Court, the appellant moved an application U/s 452 of Cr.P.C. for release of the articles i.e. jew

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