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2025 Supreme(Online)(Ker) 52029

IN THE HIGH COURT OF KERALA AT ERNAKULAM
C.S.DIAS, J
SGS Agro Farms Ltd, S.G. Sekar, G. Satishdas, G. Shanthi, G. Sandeep Das, S. Faustina, Rajakumar Ganasekar, Robin Vijaykumar – Appellant
Versus
State of Kerala – Respondent
CRL.MC NO. 9909 OF 2025



Advocates:
For the Appellants/Petitioners: S. Muhammed Haneef, M.H. Asif Ali, Aravind T Ramesh, Ashik Ali M.H., Aswathi K.C.
For the Respondents: Shri. Itty Paulson

The court may quash criminal proceedings if offences are not grave and parties have settled the dispute, promoting judicial efficiency and harmony.

Headnote:In the present case pertaining to C.C.No.104/2020 under the Prize Chits and Money Circulation Schemes (Banning) Act, 1978, the petitioners sought to quash proceedings based on an amicable settlement with the second respondent, which was supported by the learned Public Prosecutor (para 1). The issues involved center around the court's authority to quash criminal proceedings based on settlement and the nature of the offences alleged, where the court emphasized the non-gravity of the offences, thus considering the inherent powers for quashing justified to further justice (para 6). Ultimately, the court allowed the Crl. M.C., quashing all further proceedings against the petitioners in relation to the case at hand (final outcome).

Table of Content
1. petitioners are accused in a case regarding alleged offences under specific laws seeking quashing. (Para 1 , 2 , 3)
2. parties submitted an amicable resolution, and the public prosecutor concurred. (Para 4 , 5)
3. court discussed conditions for quashing proceedings based on settlements in less grave offences. (Para 6 , 7)

ORDER

The petitioners are accused Nos. 1 to 8 in C.C.No.

104/2020 on the file of the Special Court of the Additional Chief Judicial Magistrate for the Trial of cases under the Prize Chits and Money Circulation Schemes (Banning) Act, 1978 , Thrissur, (‘Trial Court’, for short), which has arisen from Crime No. 299/2020 registered by the Town West Police Station, Thrissur District, alleging the commission of the offences punishable under Section 420 read with Section 34 of the Indian Penal Code and Section 2 (C) of the .

2. The petitioners have invoked the inherent jurisdiction of this Court under Section 528 of the Bharatiya Nagarik Suraksha Sanhita, 2023, to quash all further proceedings in the above case. It is asserted that the dispute that led to the registration of the crime has been amicably settled between the petitioners and the second respondent, who has executed Annexure A2 affidavit, affirming the settlement.

3. I have heard the learned counsel appearing for the petitioners, the learned Public Prosecutor, and the learned counsel for the second respondent.

4. The learned counsel on either side submits that, with the intervention of relatives and well-wishers, the parties have resolved their disputes amicably. The party respondent has no subsisting grievance and does not wish to pursue the prosecution, and has no objection to the proceedings being quashed.

5. The learned Public Prosecutor, on instructions, submits that the Investigating Officer has reported that the parties have arrived at a genuine and bona fide settlement. The State has no objection to the Criminal Miscellaneous case being allowed.

6. The scope and ambit of the inherent powers of this Court to quash criminal proceedings on the ground of settlement between the parties have been authoritatively laid down by the Hon’ble Supreme Court inGian Singh v. State of Punjab [ (2012) 10 SCC 303 ], State of Madhya Pradesh v. Laxmi Narayan and Others [ (2019) 5 SCC 688 ], Naushey Ali v. State of U.P. [ (2025) 4 SCC 78 ], and in a host of judicial pronouncements. It is held that in cases where the offences are not grave or heinous, and where the parties have amicably settled the dispute, to secure the ends of justice, the High Court may invoke its inherent powers to quash the proceedings, particularly if continuation of the prosecution would serve no fruitful purpose.

7. On an overall consideration of the facts and circumstances of the present case, and the materials on record, I am satisfied that: the offences alleged are not heinous or of a serious nature; no public interest or element of societal concern is involved; the chances of conviction are remote in view of the settlement; and the continuation of the proceedings would merely burden the judicial process without advancing the cause of justice. Furthermore, the settlement would promote harmony between the parties and restore peace. Hence, this Court is persuaded to hold that this is a fit case to exercise its inherent jurisdiction.

In the result, the Crl. M.C. is allowed.

Accordingly, Annexure A1 Final Report in Crime No. 299/2020 of the Town West Police Station and all further proceedings in C.C.No. 104/2020 of the Trial Court, as against the petitioners, are hereby quashed.

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