IN THE HIGH COURT FOR THE STATE OF TELANGANA AT HYDERABAD THE HON’BLE SRI JUSTICE J.SREENIVAS RAO CRIMINAL PETITION No.3902 of 2021 Date: 20.01.2026 Between:

C.S.Hosagoudar ….Petitioner and The State of Telangana, rep. by its Principal Secretary for Home, Secretariat, Hyderabad and two others. ….Respondents

ORDER

This Criminal Petition has been filed under Section

482 of the Code of Criminal Procedure, 1973 (for short, ‘Cr.P.C.) by the petitioner/accused No.3 seeking to quash the proceedings in C.C.No.6 of 2019 on the file of the Principal Special Judge for CBI Cases, Hyderabad, for the offences punishable under Sections 120-B, 409, 420 of the Indian Penal Code, 1860 (for short ‘IPC’) and Section 13(2) r/w 13(1)(d) of the Prevention of Corruption Act, 1988 (for short ‘the PC Act’).

2. Heard Mr. M.D.Mohapatra, learned counsel, representing Mrs. V.V.L.Sujatha, learned counsel for the petitioner and Mr. Srinivas Kapatia, Special Public Prosecutor for CBI Cases, appearing on behalf of respondent No.2. With their consent, the Criminal Petition is being disposed of at the stage of admission.

3. Brief facts of the case:

3.1 On 04.05.2017 the complainant filed a complaint with the police stating that during the period from 2011 to 2015, Smt. M.Sita Lakshmi, former President of Dakshina Bharat Hindi Prachar Sabha-Andhra Provincial, Hyderabad, (hereinafter referred to as ‘Prachar Sabha’) and her daughter Padma had conspired together with intention to cheat Prachar Sabha and created false documents and withdrawn an amount of Rs.48 lakhs from Andhra Bank, Arilova Branch, Visakhapatnam between 17.12.2014 to

11.04.2015 by way of cheques and vouchers.

3.2 It is further averred that out of Rs.48 lakhs, Sri M.S.S.Krishnamacharyulu, Office Clerk of Prachar Sabha had drawn Rs.10 lakhs through self cheques at the instance of Smt.M.Sita Lakshmi and paid the same to her. In furtherance of the said criminal conspiracy, Smt.M.Sita Lakshmi and her daughter constructed a building with the said amounts at Arilova, Visakhapatnam and registered Navodaya Vidya Niketan under Prachar Sabha vide Registration No.760 of 2014 without having any powers. Smt.M.Sita Lakshmi misused her power and has opened an English Medium School i.e. Navodaya Vidya Niketan and falsely registered as it belongs to Prachar Sabha. In fact, no documents and accounts of the said school were furnished to Prachar Sabha and she, being a public servant, misused her official position and diverted the funds of the said school into their personal accounts. Thereby, the accused persons resorted to criminal misconduct, criminal conspiracy, criminal breach of trust, cheating and used a forged document as genuine for the purpose of cheating and caused wrongful loss of Rs.48 lakhs to Prachara Sabha. Basing on the said complaint, the aforesaid crime was registered against the accused persons for the aforesaid offences.

4. Submissions of learned counsel for the petitioner:

4.1 Learned counsel submitted that the petitioner has not committed any offence and he was falsely implicated in the present case. He further submitted that one P.Obaiah, President of Prachara Sabha, Hyderabad, lodged the complaint on 04.05.2017 alleging that accused No.1 misused an amount of Rs.48 lakhs of Prachar Sabha and in the said complaint, there are no allegations against the petitioner and his name was also not mentioned in the complaint. The entire allegation of misappropriation of an amount of Rs.48 lakhs is against accused No.1 only. However, the petitioner was implicated as accused No.3 only on the ground that he signed five cheques for an amount of Rs.20 lakhs in conspiracy with accused No.1, though accused No.1, who is discharging her official duties as President, had power to sign the cheques whenever required. After consigning the cheques by accused No.1, the petitioner signed on the said cheques. Even according to the allegations made in the complaint as well as final report, the ingredients of the offences under Sectio