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Kerala High Court

Sgs Agro Farms Ltd vs State Of Kerala on 18 March, 2026

Author: C.S.Dias

Bench: C.S.Dias

CRL.MC NO. 1830 OF 2026
                                       1


                                                                  2026:KER:24148

                IN THE HIGH COURT OF KERALA AT ERNAKULAM

                                 PRESENT

                   THE HONOURABLE MR.JUSTICE C.S.DIAS

    WEDNESDAY, THE 18TH DAY OF MARCH 2026 / 27TH PHALGUNA, 1947

                         CRL.MC NO. 1830 OF 2026

        CRIME NO.123/2020 OF Mannuthy Police Station, Thrissur

     AGAINST    THE   ORDER/JUDGMENT       DATED   IN   CC   NO.186   OF   2020   OF

SPECIAL COURT OF ADDITIONAL CHIEF JUDICIAL MAGISTRATE, THRISSUR FOR

THE TRIAL OF CASES UNDER THE PRIZE CHITS AND MONEY CIRCULATION

SCHEME (BANNING) ACT, 1978

PETITIONER/S:

    1      SGS AGRO FARMS LTD,
           NO.59,1STFLOOR, 2ND STREET,SECRETARIAT COLONY.KELLEYS,
           CHENNAI,TAMIL NADU,REPRESENTED BY ITS
           DIRECTOR,S.G.SEKHAR, PIN - 600010

    2      S.G.SEKHAR,
           AGED 65 YEARS
           S/O.P.SUBBU NADAR,NO.4, SECOND CROSS STREET,SYLVAN LODGE
           COLONY,KELLEYS, CHENNAI,TAMIL NADU, PIN - 600010

    3      RAJAKUMAR ,
           AGED 38 YEARS
           S/O.GNANASEKHAR,1-3,GROUND FLOOR, BHARATH FLATS,R.V.
           NAGAR EASTNEAR J.JAYALALITHA BASKET BALL INDOOR
           STADIUM,ANNA NAGAR EAST, CHENNAI, TAMIL NADU, PIN -
           600012

    4      ROBIN VIJAYKUMAR,
           AGED 36 YEARS
           S/O.NJANA SUNDARAM, NO.294,PURASAWAKKAM,HIGH
           ROAD,KELLEYS,CHENNAI, TAMIL NADU, PIN - 600010

    5      G.SATHEESHDAS,
           AGED 40 YEARS
           S/O.S.G.SEKHAR, NO.4,SECOND CROSS STREET,SYLVAN LODGE
           COLONY,KELLEYS, CHENNAI,TAMIL NADU, PIN - 600010
 CRL.MC NO. 1830 OF 2026
                                      2


                                                                 2026:KER:24148


    6       G.SHANTHI,
            AGED 59 YEARS
            W/O.S.G.SEKHAR,NO.4,SECOND CROSS STREET, SYLVAN LODGE
            COLONY,KELLEYS, CHENNAI,TAMIL NADU, PIN - 600010

    7       G.SANDEEP DAS,
            AGED 34 YEARS
            S/O.S.G.SEKHAR,NO.4,SECOND CROSS STREET,SYLVAN LODGE
            COLONY KELLEYS,CHENNAI,TAMIL NADU, PIN - 600010

    8       S.FAUSTINA,
            AGED 35 YEARS
            W/O.G.SATHEESHDAS,NO.4,SECOND CROSS STREET.SYLVAN LODGE
            COLONY,KELLEYS,CHENNAI,TAMIL NADU, PIN - 600010


            BY ADVS.
            SRI.S.MUHAMMED HANEEFF
            SRI.M.H.ASIF ALI
            SHRI.ARAVIND T RAMESH
            SHRI.ASHIK ALI M.H.
            SMT.ASWATHI K.C.




RESPONDENT/S:

    1       STATE OF KERALA,
            REPRESENTED BY PUBLIC PROSECUTOR, HIGH COURT OF KERALA,
            ERNAKULAM, PIN - 682031

    2       AMMU ARAVINDAN,
            AGED 53 YEARS,W/O.ARAVINDAN, THORAPARAMBIL HOUSE,
            KANIPPAYOOR.P.O, THRISSUR, PIN - 680517


            BY ADV SHRI.ITTY PAULSON


OTHER PRESENT:

            SR PP SRI C S HRITHWIK


     THIS   CRIMINAL   MISC.   CASE   HAVING   COME   UP   FOR    ADMISSION   ON
18.03.2026, THE COURT ON THE SAME DAY PASSED THE FOLLOWING:
 CRL.MC NO. 1830 OF 2026
                                     3


                                                              2026:KER:24148

                               C.S.DIAS, J.
                 ---------------------------------------------
                   Crl.M.C. No. 1830 OF 2026
                -----------------------------------------------
             Dated this the 18th day of March, 2026

                                 ORDER

The petitioners are the accused 1 to 8 in CC No.186/2020 on the file of the Special Court of Additional Chief Judicial Magistrate, Thrissur for the Trial of Cases under the Prize Chits and Money Circulation Scheme (Banning) Act, 1978, which has originated from Crime No.123/2020 registered by the Mannuthy Police Station, Thrissur, alleging the commission of the offences punishable under Section 420 read with Section 34 of the Indian Penal Code, 1860 and Sections 3, 4, 5 and 6 of the Prize Chits and Money Circulation Schemes (Banning) Act, 1978.

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 CRL.MC NO. 1830 OF 2026 4 2026:KER:24148 the above case. It is asserted that the dispute that led to the filing of the complaint has been amicably settled between the petitioners and the 2nd 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 2nd respondent.

4. The learned counsel on either side submit that, with the intervention of relatives and well-wishers, the parties have resolved their disputes amicably. The 2nd 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 CRL.MC NO. 1830 OF 2026 5 2026:KER:24148 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 Hon'ble Supreme Court, in Gian 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 CRL.MC NO. 1830 OF 2026 6 2026:KER:24148 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 and all further proceedings in CC No.186/2020 on the file of the Special Court of Additional Chief Judicial Magistrate, Thrissur for the Trial of Cases under the Prize Chits and Money Circulation Scheme (Banning) Act, 1978, as against the petitioners, are hereby quashed.

sd/-

C.S.DIAS, JUDGE rkc CRL.MC NO. 1830 OF 2026 7 2026:KER:24148 APPENDIX OF CRL.MC NO. 1830 OF 2026 PETITIONER ANNEXURES Annexure A1 TRUE COPY OF THE FINAL REPORT ALONG WITH FIR & FIS IN CRIME NO.123/2020OF MANNUTHY POLICE STATION, THRISSUR Annexure A2 AFFIDAVIT SWORN BY THE SECOND RESPONDENT DT.08/10/2025