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[Cites 2, Cited by 0]

Madras High Court

M/S.Celebrity Fashions Limited vs M/S.K.G.Denim Limited on 27 March, 2026

Author: M.Nirmal Kumar

Bench: M. Nirmal Kumar

                                                                      CRL OP No. 7853 of 2026


                                  IN THE HIGH COURT OF JUDICATURE AT MADRAS
                                              DATED: 27-03-2026
                                                   CORAM
                                  THE HON'BLE MR JUSTICE M. NIRMAL KUMAR
                                            CRL OP No. 7853 of 2026

                1.M/S.Celebrity Fashions Limited
                A Public Limited Company incorporated under the
                Companies Act, 1956,
                Represented by its Managing Director,
                Mr.Vidyuth Rajagopal,
                Having its registered office at
                SDF-IV and C-2, Third Main Road,
                MEPZ-SEZ, Tambaram,
                Chennai - 600 045.

                2.Vidyuth Rajagopal
                Managing Director,
                M/s.Celebrity Fashions Limited,
                SDF-IV and C-2, Third Main Road,
                MEPZ-SEZ, Tambaram, Chennai - 600 045.

                3.Venkatesh Rajagopal
                Chairman,
                M/s.Celebrity Fashions Limited,
                SDF-IV and C-2, Third Main Road,
                MEPZ-SEZ, Tambaram, Chennai - 600 045.

                4.Rama Rajagopal
                Whole Time Director,
                M/s.Celebrity Fashions Limited,
                SDF-IV and C-2, Third Main Road,
                MEPZ-SEZ, Tambaram,
                Chennai - 600 045.

                5.Jandhyala Suresh
                Director,
                M/s.Celebrity Fashions Limited,
                SDF-IV and C-2, Third Main Road,
                MEPZ-SEZ, Tambaram,
                Chennai - 600 045.
                                                                                 __________
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                                                                              CRL OP No. 7853 of 2026




                6.Sanjiv Dewan
                Director,
                M/s.Celebrity Fashions Limited,
                SDF-IV and C-2, Third Main Road,
                MEPZ-SEZ, Tambaram, Chennai - 600 045.

                7.Manoj Mohanka
                Director,
                M/s.Celebrity Fashions Limited,
                SDF-IV and C-2, Third Main Road,
                MEPZ-SEZ, Tambaram, Chennai - 600 045.

                8.S.Venkataraghavan
                Chief Financial Officer/Authorized Signatory,
                M/s.Celebrity Fashions Limited,
                SDF-IV and C-2, Third Main Road,
                MEPZ-SEZ, Tambaram, Chennai - 600 045.
                                                                                   ..Petitioner(s)
                                                          Vs
                M/S.K.G.Denim Limited
                A Public Limited Company incorporated under the
                Companies Act, 1956,
                Represented by its Power Agent,
                Mr.S.Vijayakumar,
                Assistant General Manager,
                Having its Registered Office at
                Then Thirumalai, Jadayampalayam,
                Coimbatore - 641 302.
                                                                                 ..Respondent(s)

                                  To call for the entire records relating to S.T.C.No.229 of 2025
                pending on the file of the Honble Fast Track Judicial Magistrate No.I,
                Coimbatore and QUASH the same in its entirety in so far as the Petitioners are
                concerned.
                              For Petitioner(s):       Mr.C.Manishankar, Senior Counsel
                                                       for M/s.Rahul M Shankhar

                              For Respondent(s):       Mr.Leonard Arul Joseph Selvam,
                                                       Additional Public Prosecutor, for R1

                                                                                         __________
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                                                                              CRL OP No. 7853 of 2026



                                                       ORDER

The petitioners, who have been arrayed as accused Nos.A2 to A8 in a complaint filed under Section 138 of the Negotiable Instruments Act, have filed the present quash petition.

2. The learned Senior Counsel appearing for the petitioners, by referring to paragraph 5 of the complaint, submitted that except for omnibus and bald allegations that A2 to A8 were involved in day-to-day business affairs of the A1 Company, there is no specific averments with regard to the role played by each of the petitioners. Even in the statutory notice, there is no such averments. The learned Senior Counsel also pointed out that a reply notice, dated 07.04.2025 had been issued by the petitioners furnishing all relevant details, however, the same has not been considered, despite being annexed to the complaint. No explanation has been given as to why the said reply notice has not been considered.

3. The learned Senior Counsel further submitted that in this case, there was a business understanding between the petitioner and the respondent to the effect that the respondent has to serve plain denim fabric to the petitioners and the petitioners have to stitch it and export the same in a time bound manner. The respondent had caused some delay and there was a time lag, due to which, the __________ Page3 of 5 https://www.mhc.tn.gov.in/judis CRL OP No. 7853 of 2026 petitioners suffered a loss around Rs.8 Crores. The learned Senior Counsel further submitted that on 05.02.2025, when the cheques amounting to Rs.63,50,283/- were presented, the petitioner Company maintained a balance of Rs.1.97 Crores, which is substantiated by the Bank statements produced before this Court.

4. In view of the above, the cheques which were issued as security have been misused and that all the directors and the persons in the Management have been arrayed as accused.

5. In view of the above, this Criminal Original Petition is admitted.

6. Notice to the second respondent returnable by 27.04.2026. Private Notice is also permitted.

7. Post on 27.04.2026.

27-03-2026 PVS To

1. The Fast Track Judicial Magistrate No.I, Coimbatore

2. The Public Prosecutor, High Court, Madras.

__________ Page4 of 5 https://www.mhc.tn.gov.in/judis CRL OP No. 7853 of 2026 M.NIRMAL KUMAR, J.

PVS CRL OP No. 7853 of 2026 27-03-2026 __________ Page5 of 5 https://www.mhc.tn.gov.in/judis