IN THE HIGH COURT OF KARNATAKA AT BENGALURU

DATED THIS THE 30^TH DAY OF NOVEMBER, 2021

BEFORE

THE HON9BLE MR. JUSTICE SREENIVAS HARISH KUMAR

CRIMINAL PETITION NO.4310 OF 2020

BETWEEN:

1.

Mr. Rajesh Parekh,

S/o Jamnadas Parekh,

Aged about 67 years,

President & Chief Executive Officer,

M/s. Parekh Industries Limited,

No.51/3, Prince House,

Marol Co-op. Indus. Estate,

M.V.Road, Andheri(E)

Mumbai-400059.

2.

Mrs. Shubhada Gawde,

W/o Prakash Gawde,

Aged about 51 years,

Managing Director,

M/s. Parekh Industries Limited,

No.51/3, Prince House,

Marol Co-op. Indus. Estate,

M.V.Road, Andheri(E),

Mumbai-400059.

3.

Mrs. Nayna Rajesh Parekh,

W/o Mr. Rajesh Parekh,

Aged about 65 years,

Director, M/s. Parekh Industries Limited,

No.51/3, Prince House,

Marol Co-op. Indus. Estate,

M.V.Road, Andheri(E),

Mumbai-400059.

&Petitioners

(By Sri B.S.Radhanandan, Advocate)

:: 2 ::

AND:

1.

State of Karnataka

Peenya Police Station,

Bengaluru City,

Represented by

Special Public Prosecutor,

High Court of Karnataka,

Bengaluru-560001.

2.

Mr. Ketan S.Dhruv

S/o Suresh I. Dhruv

Aged about 47 years,

No.6/1, Plot No.21A,

1^st Cross, 1^st Phase,

Peenya Industrial Area,

Bengaluru-560058.

&Respondents

(By Sri B.J.Rohith, HCGP, for R1;

Sri Kiran S Javali, Advocate, for Sri Madhu N. Rao,

Advocate for R2)

This Criminal Petition is filed under Section 482

of Cr.P.C. praying to quash and set aside the criminal

proceedings in Cr.No.207/2019 dated 21.06.2019 for

offence punishable under Sections 406, 409, 420,

120B read with Section 34 of IPC which culminated

into continuation of the criminal proceedings on the

file

of

the

Hon9ble

IV

ACMM,

Bengaluru

in

C.C.No.29369/2019 at Annexures-A, B and C lodged

against the petitioners.

This Criminal Petition coming on for admission

this day, the Court made the following:

:: 3 ::

ORDER

The petitioners who have been charge sheeted

for the offences under sections 406, 409, 420,

120B read with section 34 IPC have sought

quashing of the proceedings against them in

C.C.29369/2019

on

the

file

of

IV

ACMM,

Bengaluru.

2. The second respondent made a report to

the first respondent police for registration of FIR

against the petitioners. The first petitioner is the

President and Chief Executive Officer, the second

petitioner is the Managing Director and the third

petitioner is a Director of a company called Parekh

Industries Limited. The second respondent is

Director of another company called Bangalore

Refinery (P) Limited. Both the companies are into

the business of manufacturing precious metals.

Respondent No.2 is also a close relative of the

petitioners. The second respondent in his report

:: 4 ::

to the police stated that his company and Parekh

Industries

started

having

mutual

business

transactions in the year 2015 for trading in

precious metals and chemicals. In the course of

these dealings, Parekh Industries fell in due of

Rs.7,36,16,156/- as on 14.3.2019. On 20.3.2019

his company received a cover through courier

services. The said cover contained a letter dated

19.3.2019 from Parekh Industries, a tax invoice

with number 175 dated 19.3.2019 for 22,000

grams of gold bars of the value Rs.7,15,00,000/-

with tax of Rs.21,45,000/-, totally amounting to

Rs.7,36,45,000/- and two train tickets reserved in

the names of two employees of Parekh Industries.

It was written in the letter dated 19.3.2019 that

as per the telephonic conversation between the

two

companies,

Parekh

Industries

would

be

sending 22 kgs of gold bars. But, no order had

been placed by Bangalore Refinery for the gold as

stated

in

the

letter.

Therefore

the

second

:: 5 ::

respondent presumed that Parekh Industries might

have done so for discharging its outstanding

amount through sale of 22 kgs of gold bars. The

second respondent has also stated that sending

gold bars through employees by train was never a

practice a