M/S. ADDITI BI-WHEELERS PVT LTD v. SHRI. SOMASHEKAR
CRL.P/104179/2022 · 2025-04-24
Venkatesh Naik T
body2025
DailyLaw.ai
[ 2025 DAILYLAW 7845 (KAR) · dailylaw.ai ]
DailyLaw.ai
[ 2025 DAILYLAW 7845 (KAR) · dailylaw.ai ]
Judgment text
Extracted from the PDF above. The PDF is authoritative.
CRL.P.NO.104179/2022 C/W CRL.P.NO.103391/2022 CRL.P.NO.104201/2022
1 IN THE HIGH COURT OF KARNATAKA AT DHARWAD BENCH DATED THIS THE 24TH DAY OF APRIL, 2025 BEFORE THE HON'BLE MR. JUSTICE VENKATESH NAIK T.
CRIMINAL PETITION NO.104179 OF 2022 C/W CRIMINAL PETITION NO.103391 OF 2022 CRIMINAL PETITION NO.104201 OF 2022
IN CRL. P. No.104179/2022 BETWEEN 1) M/S. ADDITI BI-WHEELERS PVT LTD SURVEY NO.15, LOKAPUR ROAD, AT: MUDHOL-587313 DIST: BAGALKOT BY IT'S DIRECTORS:
REPRESENTED BY PETITIONER NO-2 AND 3. 2) M/S. ADDITI BI-WHEELERS PVT LTD SURVEY NO.15, LOKAPUR ROAD, MUDHOL-587 313, DIST: BAGALKOT REPRESENTED BY ITS DIRECTOR SHRI. VIJAYKUMAR TAMMARAO DESAI, AGED ABOUT 41 YEARS,
"SHAKAMABARI KARISHMA", H.NO.5, GACHINAKATTI COLONY, VIJAYAPUR-585103
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2 3) M/S. ADITI BI-WHEELERS PVT LTD SURVEY NO.15, LOKAPUR ROAD, MUDHOL-587 313, DIST: BAGALKOT BY ITS DIRECTOR SHRI. ISHWAR GURUBALAPPA PATIL, AGED ABOUT 36 YEARS,
"SHRI REVANASIDDESHWAR NILAYA", CHALUKYA NAGAR, VIJAYAPUR - 586101,
…PETITIONERS (BY SRI PRAKASH S GUDIHINDIN, ADVOCATE FOR SRI ASHOK R KALYANASHETTY, ADVOCATE)
AND
SHRI. SOMASHEKAR S/O. SADASHIV DODAPPAGOL AGED ABOUT 36 YEARS, OCC: BUSINESS, R/O. HOSUR, TQ: RABAKAVI BANAHATTI, DIST: BAGALKOT - 587314
…RESPONDENT (BY SRI SRIRANGA S, SENIOR COUNSEL FOR SRI VITTAL S TELI AND NARASIMHAN SAMPATH, ADVOCATES)
THIS CRIMINAL PETITION IS FILED UNDER SECTION 482 OF CR.P.C. SEEKING TO QUASH THE ENTIRE PROCEEDINGS IN CC No.378/2022 (PCR No.67/2022) ON THE FILE OF SENIOR CIVIL JUDGE AND JMFC, BANAHATTI, FOR THE OFFENCES PUNISHABLE U/S 406,415,418,420,425 R/W 34 OF IPC INCLUDING THE ORDER DATED 09.09.2022 TAKING THE COGNIZANCE OF AND ISSUING PROCESS FOR THE AFORESAID OFFENCES AGAINST THEM AND ETC. IN CRL.P. NO.103391/2022
BETWEEN
1. HONDA MOTORCYCLE AND SCOOTER INDIA PVT. LTD., UNIT-01, 1ST FLOOR, WEST WING, GOLDEN HEIGHTS, 59TH CROSS, 4TH M BLOCK,
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3 RAJAJINAGAR, BANGALORE REP. BY ITS ZONAL MANAGER, KARNATAKA SALES MR. MANJUNATH RAIKAR
2. HONDA MOTORCYCLE AND SCOOTER INDIA PVT. LTD., HEAD OFFICE, COMMERCIAL COMPLEX, 11, SECTOR 49-50, GOLD COURSE EXTENSION ROAD, GURGAON, HARYANA 122018, REPRESENTED BY ITS MANAGING DIRECTOR, ATSUSHI OGATA
…PETITIONERS (BY SRI JAGADISH PATIL, ADVOCATE)
AND
SRI.
SOMSHEKHAR S/O SADASHIV DODAPPAGOL AGED ABOUT 36 YEARS, OCC: BUSINESS, R/O. HOSUR, TQ: RABKAVI- BANHATTI, DIST: BAGALKOT
…RESPONDENT (BY SRI SRIRANGA S, SENIOR COUNSEL FOR SRI VITTAL S TELI AND NARASIMHAN SAMPATH, ADVOCATES)
THIS CRIMINAL PETITION IS FILED UNDER SECTION 482 OF CR.P.C. SEEKING TO QUASH THE ENTIRE PROCEEDINGS IN CC No.378/2022 FOR OFFENCES PUNISHABLE U/S 406,415,418,420,425 R/W 34 OF IPC PENDING ON THE FILE OF SENIOR CIVIL JUDGE AND JMFC BANAHATTI BAGALKOT WITH RESPECT TO THE PETITIONERS/ACCUSED NO.6 AND 7 AND ETC. IN CRL.P. No.104201/2022
BETWEEN
1. M/S PATIL BI-WHEELERS PRIVATE LTD (SAANVI HONDA)
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4 MELLIGIRI TOWERS, BAGALKOT BY ITS DIRECTOR REPRESENTED BY PETITIONER NO.2
2. M/S PATIL BI-WHEELERS PRIVATE LTD (SAANVI HONDA), MELLIGIRI TOWERS BAGALKOT, DIST: BAGALKOT, BY ITS DIRECTOR (INCORRECTLY MENTIONED AS PARTNER) SHRI ARUN S/O HANAMANT MACHAKANUR AGED ABOUT 46 YEARS NO.34/36, RAMNILA GIRISH NAGAR, BAGALKOT ROAD VIJAYAPUR 586101. …PETITIONERS (BY SRI PRAKASH S GUDIHINDIN, ADVOCATE FOR SRI ASHOK R KALYANASHETTY, ADVOCATE)
AND
SHRI. SOMASHEKAR S/O SADASHIV DODAPPAGOL AGED ABOUT 36 YEARS, OCC: BUSINESS, R/O. HOSUR, TQ: RABAKAVI BANAHATTI, DIST: BAGALKOT 587314
…RESPONDENT (BY SRI SRIRANGA S, SENIOR COUNSEL FOR SRI VITTAL S TELI AND NARASIMHAN SAMPATH, ADVOCATES)
THIS CRIMINAL PETITION IS FILED UNDER SECTION 482 OF CR.P.C. SEEKING TO QUASH THE ENTIRE PROCEEDINGS IN CC No.378/2022 (PCR No.67/2022) ON THE FILE OF SENIOR CIVIL JUDGE AND JMFC, BANAHATTI, FOR THE OFFENCES PUNISHABLE U/S 406,415,418,420,425 R/W 34 OF IPC INCLUDING THE ORDER DATED 09.09.2022 TAKING THE COGNIZANCE OF AND ISSUING PROCESS FOR THE AFORESAID COGNIZANCE OF ISSUING PROCESS FOR THE AFORESAID OFFENCES AS AGAINST THEM AND ETC. CRL.P.NO.104179/2022 C/W CRL.P.NO.103391/2022 CRL.P.NO.104201/2022
5 THESE CRIMINAL PETITIONS HAVING BEEN HEARD AND RESERVED ON 28-2-2025, COMING ON FOR PRONOUNCEMENT, THIS DAY, THE COURT PRONOUNCED THE FOLLOWING:
CORAM:
HON'BLE MR JUSTICE VENKATESH NAIK T
CAV ORDER
These Criminal Petitions are filed by accused Nos.1 to 7 to quash the entire proceedings in CC No.378/2022 (PCR No.67/2022), on the file of learned Senior Civil Judge and JMFC, Banhatti, Bagalkot District for the offences punishable under Sections 406, 415, 418, 420 and 425 read with Section 34 of IPC, including the order of taking cognizance dated 09.09.2022 and issuing process for the aforesaid offences against the accused persons. Criminal Petition No.104201/2022 is filed by petitioners/accused Nos.1 and 2, Criminal Petition No.104179/2022 is filed by accused Nos.3 to 5 and Criminal Petition No.103391/2022 is filed by accused Nos.6 and 7 respectively. CRL.P.NO.104179/2022 C/W CRL.P.NO.103391/2022 CRL.P.NO.104201/2022
6
2. Brief facts of the complainant's cases are that, in the year 2012, the complainant intended to start an Authorised Service Center for Honda two wheelers in and around Rabkavi and Banhatti Region, Bagalkot District, hence, he approached accused No.1 M/s. Patil Bi-wheelers Pvt. Ltd., Bagalkot, who were operating as main dealers under the dealership of Honda Two wheelers in the name of
"Saanvi Honda", Bagalkot District. After verifying the credentials of the complainant, the Directors of accused No.1 informed him to start an extension counter at Rabkavi-Banhatti, Bagalkot and accordingly, they directed the complainant to deposit a sum of Rs.5,00,000/- to start the extension counter. Accordingly, the complainant deposited a sum of Rs.7,50,000/- towards initial deposit to the account of accused No.1. Thereafter, the complainant started selling two wheelers as an extension counter for Sanvi Honda from 17.04.2012 till 01.05.2014 at Rabkavi-
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7 Banhatti. Later, the complainant requested the directors of accused No.1 to assist him and to consider him as recognised Authorised Service Center for Honda two wheelers in Rabkavi-Banhatti. Thus, accused No.1 assured the complainant that he would help in that regard and advised the complainant to make a specific application to be recognised as an Authorised Service Center. 3. In the meanwhile, the complainant, with a hope that he would be granted permission to establish an Authorised Service Center for Honda two wheelers, found a new space for rent, entered into an rental agreement, secured building layout plan, city map details of vehicle population in the area and he started a sole trading concern in the name of M/s. Doddappagol Motors.
Thus, accused No.1 forwarded the application to Honda Motorcycle and Scooters India Pvt. Ltd., Bengaluru (accused No.7), recommending that Sole trading concern namely M/s.
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8 Doddappagol Motors be recognised as an Authorised service Center. 4. Upon submission of the application by the complainant, accused No.1-M/S. Patil Bi-wheelers Pvt. Ltd., Bagalkot forwarded the application to Honda Motorcycle & Scooters India Pvt. Ltd. ('HMSI for short'), Bangalore i.e., accused No.7, recommending that the Sole Trading Concern namely M/S. Doddappagol Motors be recognized as an Authorized Service Center. Further, the complainant also submitted a hard copy of the said application along with the aforementioned documents to Mr. Siddesh, who was the dealership Development officer and Mr. Sishir, who was responsible for granting approvals for new Authorized Service Center at HMSI, Bangalore. However, Mr. Siddesh and Mr. Sishir, who were the responsible officers of accused No.6 for granting approvals for new Authorized Service Centers, informed the complainant to
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9 furnish the net worth statement and project plan. Accordingly, through an e-mail dated 03-02-2014, the complainant forwarded the documents of net worth statement and project plan to Mr. Siddesh and Mr. Sishir. Mr. Shishir, who was in-charge of developing the Authorized Service Centers informed that a new dealership has been approved for Mudhol region and for the said reason, the application processed currently through M/s. Patil Bi-wheelers Pvt Ltd-accused No.1, who were the dealers at Bagalkot, cannot be processed. He further informed that once the new dealership commences the operations at Mudhol, the application for new Authorized Service Center will have to be processed through the new dealership since the region where the Authorized Service Center proposed to be opened by the complainant falls under the Mudhol region. The new dealership in Mudhol commenced its operation in April 2014 in the name of accused No.3- M/s. Additi Bi-Wheelers Pvt. Ltd., and the dealership was named
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10 as "Additi Honda". Pursuant thereto, Mr.
Sumithlal, who was the Sales In-charge for Honda in the area informed the complainant that since the new dealership had commenced its operations at Mudhol, he would have to contact Additi Honda for supply of vehicles to his extension counter. The same was also confirmed by Saanvi Honda. Thus, the complainant requested Mr. Sumithlal-Sales Incharge for Honda regarding further process of his application, who in turn, informed the complainant that, he would speak to the representatives at Additi Honda and also requested the complainant to forward a copy of the application along with the documents, which were submitted earlier. Accordingly, the complainant, vide an e-mail dated 13.05.2014, forwarded the documents to Mr. Sumithlal. 5. Subsequently, accused No.3 called the complainant and requested him to forward the documents, which were submitted to Mr.Sumithlal and Mr. Shishir at HMSI. CRL.P.NO.104179/2022 C/W CRL.P.NO.103391/2022 CRL.P.NO.104201/2022
11 Accordingly, the complainant forwarded the same to accused No.3 vide e-mail dated
19.05.2014. The complainant was informed that he would have to deposit certain amounts of money towards machinery, sign board and other Infrastructure developments to be made in the extension counter for Additi Honda in terms of the specifications of accused Nos.6 and 7. The complainant, who was under the bonafide belief that his application would be processed, immediately agreed to make payments as sought by accused No.3 and made a lump sum payment of Rs.5,00,000/- in cash in the month of July
2014. 6. Further, the complainant was informed that they would raise invoices towards supply of the machinery, sign boards and other itenary required for infrastructure developments in their own name i.e., Additi Bi-Wheelers Pvt. Ltd and would supply the same to the complainant at
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12 the extension counter at Rabkavi Banhatti. Accused No.3 placed orders for supply of materials to M/s Protech Engineering Pvt., Ltd., Bangalore and they supplied the machinery and other equipments amounting to a sum of Rs.3,70,511/- under the following Invoices: DATE INVOICE NO. AMOUNT IN RS. 30-08-2014 DOM/2014-15/08/00245 1,09,516/- 30-08-2014 DOM/2014-15/08/00246 59,516/- 30-08-2014 DOM/2014-15/08/00201 82,896/- 30-08-2014 DOM/2014-15/08/00202 85,722/- 30-08-2014 DOM/2014-15/08/00254 5,275/- 01-09-2014 DOM/2014-15/08/00207 17,604/- 01-09-2014 DOM/2014-15/08/00203 10,152/-
Total Rs.3,70,511/-
7.
The goods detailed in the aforementioned Invoices were supplied to the complainant in the name of
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13 M/s. Doddappagol Motors at Rabkavi-Banhatti. Accused No.3 had also placed orders for signage as per the specifications for Authorized Service Centers prescribed by HMSI and the same were delivered at Rabkavi Banhatti. These orders were placed on M/s. Sky India, Bangalore. Upon receiving the orders from M/s. Additi Bi-Wheelers Pvt. Ltd., M/s. Sky India supplied signage and other materials amounting to a sum of Rs.92,619.05/ under the following invoice:-
DATE INVOICE NO. AMOUNT 22-08-2014 1019 92,619.05
8. The complainant commenced operations in the name of M/s. Doddappagol Motors, on 09.09.2014. Upon the assurance made by accused No.3 that he(complainant) could represent as an Authorized Service Center for Honda two wheelers in Rabkavi Banhatti region, accused No.3
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14 started representing to his customers that M/s. Doddappagol Motors was an Authorized Service Center and started referring customers in and around the region to him. Accordingly, the customers who purchased the two wheelers from accused No.3 started approaching the complainant for regular servicing of their two wheelers. 9. The complainant, who is the Proprietor of M/s. Doddappagol Motors also started providing invoices to the customers in the name of his enterprise. Thereafter, Mr. Krishna Prasad-Zonal Manager, HMSI, Mr. R. Rahul, Area In-charge, Service HMSI, Mr. Sumithlal-Area In- charge, Sales, HMSI, Mr.Dennis Fernando, Service-in- charge of HMSI, Mr. Yadukal Raveendran, Service-in-charge of HMSI, visited the premises of the complainant at Rabkavi-Banhatti and inspected the premises as per the HMSI Policy routine visit.
When the complainant briefed them regarding his application for being an Authorized
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15 Service Center and when officials saw that he has started the business operations by claiming to be the Authorized Service Center for Honda two Wheelers, none of them raised any objections in that regard the complainant continued to operate as an Authorized Service Center and was always under a bonafide belief that his application has been processed internally by accused Nos.6 and 7 and that he would receive an official communication. 10. However, the sole trading concern i.e., M/s. Doddappagol Motors was only acting as an Authorized Service center and accused No.3 and Mr. Sumith Lal, who was the area in-charge for sales of accused No.6 started supplying two wheelers of Honda and also started to fix certain sales targets. The complainant clarified with both accused Nos.3 and 6 that M/s. Doddappogal Motors being an Authorized Service Center, he was only responsible for servicing of the Vehicles. However, both accused Nos.3 and
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16 6 represented to the complainant that in the event of he selling the vehicles and able to meet the targets set out by the authorized dealer for sale of vehicles, it would be easier to get the approval for being treated as an Authorized Service Center. Believing the representation made by accused Nos.3 and 6, the complainant reluctantly accepted to sell the vehicles. Further, the complainant sold the two wheelers and the same was invoiced and shown that accused No.3 had sold the vehicles. Thereafter, the complainant started questioning accused No.3 as he had informed that he would process the application of the complainant, only if complainant agreed to the above arrangement.
When various customers of accused No.3 started approaching the complainant for free servicing of their vehicles, the complainant would collect the service coupons and in terms of the rules prescribed by accused No.6 and 7 regularly submitted the coupons to accused No.3 and would request for transferring charges for such
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17 services. However, accused No.3 kept on delaying the payments on one pretext or the other and the complainant did not receive any amounts for service of vehicles. The complainant stated that from May 2014 till the date of complaint, he has received payments only labour charges and spares. 11. When the complainant started questioning accused No.3, he started troubling the complainant by refusing the supply of spares, supplying out-dated models for sale, insisting on making payments towards bikes, which were fast moving etc.,
12. In the month of July 2017, one Mr. Nadaf, who was the Service Manager employed with accused No.3 forwarded a mail stating that complainant have to implement HIRISE, which is a centralized software implemented exclusively by Honda. In that regard, he had attached an excel sheet seeking various details. One
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18 important aspect was to provide the Honda Network Code, which was allocated by accused Nos. 6 and 7. 13. The complainant upon receiving the said mail was under the impression that his application had been duly processed by accused Nos.6 and 7 and he requested them for providing the Network Code, but, they replied that it was not applicable to him. Upon making enquires, the complainant realized the fraud played by accused No.3 and started to meet the officials of accused Nos.6 and 7 and sought for clarifications from them, but, they too stopped entertaining the calls from the complainant. 14. The complainant realized that all the accused persons had colluded and defrauded him and had taken undue advantage of him.
Upon further verification of the records, the complainant also realized that, the sale of two wheelers that had been made by him were shown as
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19 though accused No.3 had made the sales with accused Nos.6 and 7. 15. The complainant sought to discuss the issues with the accused persons. However, the accused informed him that there are other processes to be followed to recognize his Enterprise as an Authorized Service Center. Later, certain employees of the accused persons barged into the premises of the complainant without any prior intimation and started to demand for Books of Accounts and also started taking details of the Inventory. While the complainant respectfully objected to the same, the accused persons started threatening him that they would take action to close down the business of the complainant. 16. The complainant has invested huge amounts of Rs.30,00,000/- (Rs.Thirty Lakhs only) towards infrastructure costs and other ancillary expenses with a hope that his enterprise would be recognized as an
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20 Authorized Service Center. It is submitted that the accused persons have defrauded and mislead the complainant into dealing with Honda Two Wheelers. Further, it is submitted that due to the actions of the accused persons, the complainant has also lost huge business opportunity and good will in and around the Bagalkot region. 17. After coming to know about the offences committed by the accused persons, the complainant approached the concerned police station to lodge the complaint against the accused persons, but the police authority without looking into the complaint itself, refused to register the complaint. Thereafter, on 16.06.2022, the complainant has sent a written complaint through registered post to the concerned police authorities, but the said police authorities did not respond to the said notice. Therefore, having no other alternative, the complainant filed the private complaint, for taking appropriate action. CRL.P.NO.104179/2022 C/W CRL.P.NO.103391/2022 CRL.P.NO.104201/2022
21
18.
I have perused the material available on record, more particularly, the private complaint and sworn statement of the witnesses and the impugned order of taking cognizance. From the perusal of material available on record, the complainant has filed a private complaint for the offences under Sections 406, 415, 418, 420, 425 r/w 34 of IPC alleging that the accused persons had offered him to provide an Authorized Service Center for Hero Honda Showroom and they have defrauded him. 19. The basic requirement to bring home the acquisitions under Section 406 IPC is "entrustment and dishonest intention". 20. The complainant further made allegations against the accused persons under Section 415 of IPC, which defines cheating, whereby, the accused persons deceived the complainant into a belief that the accused persons have
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22 performed his work and received consideration from the complainant and thereby, dishonestly induced the complainant to advance money by way of deposit upon the faith of clearance of permission for Service center by the Honda show room and thereby, cheated the complainant with knowledge that, if the license is not issued by the Honda Pvt. India Ltd. in favour of the complainant, he would sustain loss and though accused No.1 had the knowledge that wrongful loss may ensue to the complainant, whose interest, accused No.1 was bound to protect, is punishable under Section 418 of IPC. Thus, the accused persons have committed the offence of cheating and dishonestly induced the complainant to make deposit, which is punishable under Section 420 of IPC and thus, committed mischief in order to cause wrongful loss or damage to the complainant in public which is punishable under Section 425 of IPC. CRL.P.NO.104179/2022 C/W CRL.P.NO.103391/2022 CRL.P.NO.104201/2022
23
21. Whereas, in this case, learned counsel for the accused have taken contention that the nature of transactions appears to be of civil in nature and the trial Court ought not to have taken cognizance and there are no triable issues in these cases and there is a delay in filing the complaint.
The complaint is filed by the complainant to abuse the process of law, thereby, the accused persons have disputed the question of facts, which cannot be adjudicated upon by this Court under Section 482 Cr.P.C. At this stage, only prima-facie case is to be seen. Similar ratio is laid down in the case of NEEHARIKA INFRASTRUCTURE PRIVATE LIMITED v. STATE OF MAHARASHTRA AND OTHERS reported in AIR 2021 SC
1918. 22. Further, the criminal complaint cannot be quashed only on the ground that the allegations made therein appears to be of civil in nature. Whether there was
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24 dishonest intention on the part of the accused persons at the inception or not has to be determined during the course of enquiry or trial. 23. Perused the impugned
order viz., taking cognizance by the trial Court wherein, the trial Court recorded the contents of the complaint and submissions of both the parties and finally took cognizance of the offences. The trial Court ought to have recorded the reasons for taking cognizance. On this count, it is just and necessary to set aside the order of taking cognizance by the trial Court in C.C.No.378/2022 with a direction to the trial court to assign proper reasoning for taking cognizance and proceed with the cases in accordance with law.
Accordingly, I pass the following:- O R D E R
1. Criminal Petitions are allowed. The order dated 09.09.2022 on the file of learned Senior Civil
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25 Judge and JMFC, Banhatti, Bagalkot District for the offences punishable under Sections 406, 415, 418, 420 and 425 read with Section 34 of IPC, in CC No.378/2022 (PCR No.67/2022), is hereby set-aside.
2. The matters are remanded to the trial Court to conduct fresh enquiry and assign proper reasons for taking cognizance of the offences in accordance with law.
Sd/- (VENKATESH NAIK T) JUDGE
MN