IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 17^TH DAY OF FEBRUARY, 2026 BEFORE THE HON'BLE MR. JUSTICE M.NAGAPRASANNA CRIMINAL PETITION NO. 15859 OF 2025 (482(Cr.PC) / 528(BNSS)

BETWEEN:

SRI. RAJAKUMARA S. N.

S/O NARASIMHAIAH AGED ABOUT 59 YEARS R/AT NO.288/2 MARUTHI NAGARA, HEGGANAHALLI, BENGALURU NORTH, BENGALURU PIN-560 091 …PETITIONER (BY SRI. SHANKAR H.,ADVOCATE)

Digitally signed by SANJEEVINI J KARISHETTY AND:

Location:

High Court of Karnataka STATE BY CEN POLICE MYSURU CITY MYSURU DISTRICT PIN-570 010 REPRESENTED BY SPP HIGH COURT BUILDING BENGALURU …RESPONDENT (BY SRI. B.N. JAGADEESHA, ADDL. SPP)

THIS CRL.P IS FILED U/S 482 OF CR.PC (FILED U/S

528 BNNS) PRAYING TO SET ASIDE THE ORDER PASSED IN CR.NO.105/2023 DATED 15.04.2024 ON THE FILE OF PRL.DISTRICT AND SESSIONS JUDGE, MYSURU WITH RESPECT TO THE ITEM NO.5 PROPERTY MENTIONED IN PARTICULARS OF PROPERTIES SUBMITTED TO THE HONBLE PRL.DISTRICT AND SESSIONS JUDGE MYSURU.

THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

CORAM: HON'BLE MR. JUSTICE M.NAGAPRASANNA

ORAL ORDER

Heard Sri. Shankar H., learned counsel appearing for the petitioner and Sri. B.N. Jagadeesha, learned Additional Special Public Prosecutor appearing for the respondent.

2. The petitioner is before this Court calling in question an order of the concerned Court dated 15.04.2024. The order reads as follows:

"Learned Public Prosecutor has submitted the representation of Investigating Officer for passing Order under Section 21 of Banning of Unregulated Deposit Schemes Act, 2019. In the application it is averred that, case was registered against the accused persons for the offences punishable under Sections 406, 420 R/w 149 of Cr.P.C. and Sections 3 and 21 of B.U.D.S Act. During the investigation Investigating Officer has collected the particulars of movable and immovable properties of the accused persons, they are shown at Serial No.1 to 6 in the application i.e., Sy. No. 116/1, 193/2, 98/6, 74/18 3rd floor No. 6326 and movable property account of accused No.1. By furnishing the said particulars, the Investigating Officer has sought for not to register any alienation documents with reference to item No.1 to 5 to direction against the respective Sub-registrars and not to transact with reference to freezing of the bank account of accused No.1 with reference to item No.6.

Now the question is whether provisional attachment can be made restraining the transactions of immovable properties as well as bank transactions is to be seen. Under Section 13 of the B.U.D.S Act, 2019, an order of provisional attachment passed by the Competent Authority, shall have precedence and priority, to the extent of the claims of the depositors, over any other attachment by any authority competent to attach property for repayment of any debts, revenues, taxes, cesses and other rates payable to the appropriate Government ог the local authority. If Competent Authority passed an order for provisional attachment, such attachment shall continue until an order is passed under Section 5 or 15 by the designated court.

In this case, still investigation is undergoing. If that period immovable properties mentioned as item No.1 to 5 transferred to third person, it will defeat the purpose of depositors under Chapter 5 of the B.U.D.S Act. Therefore, at this stage, it is necessary to issue direction to the respective Sub-Registrars, not to register any documents transaction with reference to item No.1 to 5 properties as the Investigating Officer has already collected the required documents to show that those item No.1 to 5 are now in the name of M/s. Universal Developers Company and it is also necessary to freeze the account of accused No.1. For the above said reason, I proceed to pass the following:-

ORDER

The application filed by the Investigating Officer is allowed.

Issue direction to the concerned Sub-Registrars, not to register any documents transferring title or create any charge over item No.1 to 5 immovable proper