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IN THE HIGH COURT FOR THE STATE OF TELANGANA

AT HYDERABAD

THE HONOURABLE SMT. JUSTICE JUVVADI SRIDEVI

CRIMINAL PETITION No.14645 of 2024

23 DECEMBER, 2025

Between:

V.Narsimha and another … Petitioners

AND

The State of Telangana

Rep. by its Public Prosecutor and another …Respondents

: O R D E R :

This Criminal Petition is filed under Section 528 of Bharatiya

Nagarik Suraksha Sanhitha, 2023 (for short ‘BNSS’), by the

petitioners-accused Nos.2 and 3 seeking to quash the proceedings

against them in F.I.R.No.805 of 2024 of P.S. Madhura Nagar,

registered for the offences punishable under Sections 61(2) and

316(5) of the Bharatiya Nyaya Sanhita, 2023 and Section 7(1) of the

Essential Commodities Act, 1955 (for short the ‘Act’).

2. Heard Mr. P.Vamsheedhar Reddy, learned counsel

representing Mr. Somavarapu Satyanarayana, learned counsel for

the petitioners and Mr. M.Ramachandra Reddy, learned Additional

Public Prosecutor appearing for respondent Nos.1 and 2-State and

perused the record.

3. The allegation against the petitioners is that they are Fair

Price Shop Dealers and they have unlawfully diverted and sold PDS

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rice to accused No.1, who in turn sold the said rice to accused No.5,

thereby facilitating illegal trade in essential commodities, which are

meant for public distribution.

4. Learned counsel for the petitioners submits that the petitioners

are Fair Price Shop Dealers and are innocent of the offences alleged

against them. They have been falsely implicated in the present case

solely on the basis of confession of accused No.1. Nothing was

recovered from the possession of the petitioners. There is no

material to establish that accused No.1 had purchased PDS rice

from the petitioners. Further, no samples of rice or wheat were lifted

for analysis to ascertain as to whether the seized commodity was

PDS rice or not. In the absence of any cogent evidence,

continuation of the proceedings against the petitioners is an abuse of

process of the Court, and therefore, learned counsel prayed to

quash the proceedings against the petitioners.

5. On the other hand, learned Additional Public Prosecutor

opposed the petition stating that specific allegations are levelled

against the petitioners and the truth or otherwise of the allegations

levelled against the petitioners can only be known after conducting

full-fledged investigation and trial. Hence, he prayed to dismiss the

petition.

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6. Having heard the submissions of the learned counsel

appearing on both sides and upon perusal of the material available

on record, it is evident that the petitioners are Fair Price Shop

Dealers. They were arrayed as accused in the crime solely on the

basis of confession statement of accused No.1 made before the

Police which is inadmissible in evidence.

7. To attract an offence under Section 316(5) of BNS (previously

Section 409 of IPC), the prosecution must establish that the

accused, acting in the capacity of a public servant, was entrusted

with the property and pursuant to such entrustment, the property

was dishonestly misappropriated or converted for personal use.

8. Even assuming that PDS rice was entrusted to the petitioners

in the capacity of public servants, for distribution to the beneficiaries,

there is absolutely no material to establish that the said rice was

diverted to the black market without distributing to the beneficiaries

and thereby the beneficiaries have made a complaint that they were

denied the benefit of getting the PDS rice. Significantly, no analysis

was conducted to establish that the rice seized from accused No.1

was PDS rice. Further, the Inspection Reports reveals that the

variations found were within the permissible limits, thereby negating

the allegation of misappropriation. These vital aspects were neither

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disputed nor controverted by the learned Additional Public

Prosecutor. In the absence of any evidence proving dishonest

misappropriation of entrusted property by the petitioners, or even

confirming that the seized rice was PDS rice, the essential

ingredient