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2026 Supreme(Online)(Kar) 9083

THE HIGH COURT OF KARNATAKA
R. NATARAJ
THE CENTRAL ARECANUT AND COCOA MARKETING – Appellant
Versus
THE STATE OF KARNATAKA BY – Respondent
WP 30414/2018



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NC: 2026:KHC:13071

WP No. 30414 of 2018

HC-KAR

IN THE HIGH COURT OF KARNATAKA AT BENGALURU

DATED THIS THE 3RD DAY OF MARCH, 2026

BEFORE

THE HON'BLE MR. JUSTICE R. NATARAJ

WRIT PETITION NO.30414 OF 2018 (GM-RES)

BETWEEN:

THE CENTRAL ARECANUT AND

COCOA MARKETING AND PROCESSING

CO-OPERATIVE LIMITED, (CAMPCO)

HAVING ITS REGISTERED OFFICE AT

VARANASI TOWERS, MISSION STREET

MANGALURU-575 001

REPRESENTED BY ITS

MANAGING DIRECTOR

SRI SURESH BHANDARI M.

…PETITIONER

(BY SRI SUYOG HERELE E., ADVOCATE)

AND:

THE STATE OF KARNATAKA BY

BIRUR POLICE THROUGH

Digitally signed

THE STATE PUBLIC PROSECUTOR

by

MARKONAHALLI HIGH COURT BUILDING

RAMU PRIYA

Location: HIGH DR. B. R. AMBEDKAR VEEDHI

COURT OF

BENGALURU-560 001

KARNATAKA

…RESPONDENT

(BY SRI M. R. PATIL, HIGH COURT GOVERNMENT PLEADER)

THIS WRIT PETITION IS FILED UNDER ARTICLES

226 AND 227 OF THE CONSTITUTION OF INDIA READ WITH

SECTION 482 OF THE CRIMINAL PROCEDURE PRAYING TO QUASH

THE ORDER DATED 06.06.2018 IN C.C.NO.243/2015 IN THE FILE OF

THE SENIOR CIVIL JUDGE AND J.M.F.C. KADUR, ANNEXURE-A AND

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NC: 2026:KHC:13071

WP No. 30414 of 2018

HC-KAR

ALLOW THE APPLICATION DATED 22.12.2017 VIDE ANNEXURE-E

FOR EXCHANGING OF OLD NOTES AS PRAYED FOR.

THIS WRIT PETITION IS COMING ON FOR PRELIMINARY

HEARING IN 'B' GROUP, THIS DAY, ORDER WAS MADE THEREIN AS

UNDER:

CORAM: HON'BLE MR. JUSTICE R. NATARAJ

ORAL ORDER

The petitioner has challenged an order dated 06.06.2018

passed by the Senior Civil Judge and JMFC, Kadur (henceforth

referred to as 'Trial Court') in C.C.No.243/2015, by which the

Trial Court rejected an application filed by it pursuant to an

order dated 23.11.2017 passed by this Court in

W.P.No.40355/2017.

2. (i) The petitioner lodged a complaint about theft

in its Society. The police arrested the accused and recovered

certain currency notes based on the confession by them. The

petitioner filed an application for interim custody of the

currency notes. The said application was rejected by the Trial

Court in terms of an order dated 06.11.2015, which was then

challenged before this Court in W.P.No.2630/2016. The said

writ petition was allowed directing the release of the currency

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NC: 2026:KHC:13071

WP No. 30414 of 2018

HC-KAR

notes to the interim custody of the petitioner. Thereafter, the

currency notes were released to the interim custody of the

petitioner.

(ii) In the meanwhile, the Government of India

introduced demonetization of Rs.500/- and Rs.1,000/-

denomination. The petitioner therefore submitted a request to

the Reserve Bank of India as to the procedure for exchanging

the currency notes. The Reserve Bank of India in terms of a

communication dated 19.07.2017 informed the petitioner that

the serial numbers of the notes released to the petitioner must

be mentioned in the order by the Court and a permission

should be granted by the Court for exchanging the currency

notes. This was then challenged by the petitioner in

W.P.No.40355 of 2017. The learned Single Judge of this Court

in terms of an order dated 23.11.2017, reserved liberty to the

petitioner to approach the Trial Court with an appropriate

application to receive back the released currency notes so that

the Court could satisfy itself that the notes surrendered back by

the petitioner were the very same notes which were released to

the petitioner in the first instance and verify the serial numbers

contained therein and pass a fresh order and while doing so, it

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NC: 2026:KHC:13071

WP No. 30414 of 2018

HC-KAR

shall indicate the serial number of the notes so as to enable the

petitioner to represent the same to the Reserve Bank of India

for the purpose of exchange. Following this order, the petitioner

filed an application and surrendered the currency notes.

However, the Trial Court in terms of the impugned order,

rejected the application on the ground that in the PF and

seizure mahazar, except mentioning the face value of the

currency notes, the serial numbers were not mentioned.

Therefore, it held that there is no material to ascertain that the

notes surrendered by the petition

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