The court can quash criminal proceedings for non-compoundable offences if parties reach a genuine settlement without public interest concerns.

O R D E R

% 02.09.2025

1. The present petition filed under Section 528 of the Bharatiya Nagarik Suraksha Sanhita, 2023 , [“ BNSS ”] (corresponding to Section 482 of the Code of Criminal Procedure, 1973 , [“CrPC”]) seeks quashing of FIR No. 369/2020 dated 17^th August, 2020, registered under Sections 420/465/120B/34 of the Indian Penal Code, 1860, [“IPC”] at P.S. Patel Nagar and all consequential proceedings emanating therefrom.

CRL.M.C. 6170/2025 Page 1 of 7

2. Briefly stated, the case of the prosecution is as follows:

2.1. A complaint was filed by PNB Housing Finance Ltd. (the Complainant/Respondent No. 2), a company incorporated under the Companies Act, 1956, with its registered office at Kasturba Gandhi Marg, New Delhi, engaged in providing credit and housing loan facilities. It is alleged that on 21^st February, 2011, accused Rakesh Dutta and Meenakshi Dutta, residents of West Patel Nagar, approached the Complainant for a housing loan which was sanctioned to the tune of INR 40,34,325/- vide Loan Account No. XXXXXXXXXX2460 for purchase of the aforesaid property admeasuring 775 sq. ft. It is alleged that the said amount was disbursed and the above-noted property was offered as a collateral to the Complainant, by way of an equitable mortgage.

2.2. In support of the loan facility, one Bhuvnesh Kharbanda also a resident of West Patel Nagar, executed a Guarantee Agreement undertaking to discharge the liability in case of default by the borrowers. However, soon after disbursement, the borrowers defaulted in repayment, resulting in their account being classified as NPA. The Complainant accordingly initiated proceedings under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002.

2.3. On 02^nd January, 2014, Punjab National Bank informed the Complainant that the said property had also been mortgaged with them in connection with another loan taken by one Sanjay Bhatia. This disclosure suggested that multiple mortgages had been created over the same property.

2.4. It is further alleged that the accused persons, in connivance with others, also mortgaged the same property with Axis Bank. According to the complainant, the accused adopted a modus operandi of preparing false and CRL.M.C. 6170/2025 Page 2 of 7 fabricated sale deeds and title documents, misrepresenting the same as genuine and unencumbered, and on that basis availed multiple loans with dishonest intention of not repaying them.

2.5. The allegation of the Complainant is that the accused persons never intended to repay the borrowed sum from the very beginning and had acted pursuant to a criminal conspiracy to siphon public money. By concealing prior encumbrances and mortgaging the same property multiple times on the strength of forged and fabricated documents, they are alleged to have caused wrongful loss to PNB Housing Finance Ltd., PNB, and Axis Bank, while securing wrongful gain for themselves. As of 25^th November, 2014, they were allegedly liable to the complainant for INR 46,60,429/- along with future interest and penal charges.

2.6. On the basis of the above, it is contended that the acts of the accused constitute offences punishable under Sections 406, 420, 467, 468, 471, 120B and 34 IPC. The Complainant had undertaken to produce relevant loan and title documents to assist the investigation. By order dated 11^th August, 2020, in Complaint Case No. 9222/2019, on an application under Section 156(3) CrPC, the ACMM, New Delhi, directed registration of FIR under Sections

420/465/120B/34 of IPC against the named persons.

3. The parties state th