- 1 - HC-KAR NC: 2026:KHC:7480 CRL.P No. 15917 of 2025 C/W CRL.P No. 16632 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 6TH DAY OF FEBRUARY, 2026 BEFORE THE HON'BLE MR. JUSTICE M.NAGAPRASANNA CRIMINAL PETITION NO. 15917 OF 2025 C/W CRIMINAL PETITION NO. 16632 OF 2025 IN CRL.P No. 15917/2025 BETWEEN: SMT.ANURADHA SHEKAR W/O LATE M.GUNASHEKAR AGED ABOUT 66 YEARS, RESIDING AT F 806, 8th FLOOR, GEMENI WING, BRIGADE GATEWAY, DR.RAJKUMAR ROAD, NEAR ORION MALL, BENGALURU NORTH, MALLESWARAM WEST, BENGALURU – 560 055. …PETITIONER (BY SRI. G.B.SHARATH GOWDA, ADVOCATE) AND: 1. THE STATE OF KARNATAKA, BY KENGERI POLICE STATION, BENGALURU DISTRICT REPRESENTED BY STATE PUBLIC PROSECUTOR, Digitally signed by SANJEEVINI J KARISHETTY Location: High Court of Karnataka - 2 - HC-KAR NC: 2026:KHC:7480 CRL.P No. 15917 of 2025 C/W CRL.P No. 16632 of 2025 HIGH COURT BUILDING, BENGALURU – 560 001. 2. SRI. M. VISVESVARAYA CO-OP BANK LTD., OFFICE AT NO.109, SHANKARMUTT ROAD, SHANKARAPURAM, BENGALURU – 560 004. REPRESENTED BY ITS CHIEF EXCUTIVE OFFICER, …RESPONDENTS (BY SRI. B.N.JAGADEESHA, ADDL.SPP FOR R-1; SRI. K.V.LOKESH, ADVOCATE FOR R-2) THIS CRL.P IS FILED U/S 482 CR.P.C (U/S 528 BNSS) PRAYING TO a) QUASH THE CHARGE SHEET IN SO FAR AS THE PETITIONERS IN C.C.NO.26454/2019 ON THE FILE OF 32nd ACMM, BENGALURU, FOR THE OFFENCES P/U/S 417, 420, 421, 422, 120(B) R/W 34 OF IPC BY ARRAYING THE PETITIONER AS ACCUSED NO.2; b) CONSEQUENTLY, QUASH THE ENTIRE PROCEEDINGS IN C.C.NO.26454/2019 ON THE FILE OF 32nd ACMM, BENGALURU, FOR THE OFFENCES P/U/S 417, 420, 421, 422, 120(B) R/W 34 OF IPC BY ARRAYING THE PETITIONER AS ACCUSED NO.2. - 3 - HC-KAR NC: 2026:KHC:7480 CRL.P No. 15917 of 2025 C/W CRL.P No. 16632 of 2025 IN CRL.P NO. 16632/2025 BETWEEN: 1. SMT. RESHMA GUNASHEKAR, D/O LATE GUNASHEKAR, W/O VISHWAS KOHLI, AGED ABOUT 43 YEARS, R/AT NO.127/3C, 3RD FLOOR, TEMPLE COURT, BULL TEMPLE ROAD, BENGALURU – 560 004. PRESENTLY RESIDING AT NO.21, JALAN SEMPADAN, NO. 02-08, SINGAPORE – 457 398. 2. SRI. VISHWAS KOHLI, S/O BRIJMOHAN KOHLI, AGED ABOUT 44 YEARS, R/AT M-88, GREATER KAILASH, 2 DEFENCE COLONY, SOUTH DELHI DELHI – 110 048. PRESENTLY RESIDING AT NO.21, JALAN SEMPADAN, NO. 02-08, SINGAPORE – 457 398. ...PETITIONERS (BY SRI. G.B.SHARATH GOWDA, ADVOCATE) AND: 1. THE STATE OF KARNATAKA, BY KENGERI POLICE STATION, BENGALURU DISTRICT, REPRESENTED BY STATE PUBLIC PROSECUTOR, HIGH COURT BUILDING, BENGALURU – 560 001. - 4 - HC-KAR NC: 2026:KHC:7480 CRL.P No. 15917 of 2025 C/W CRL.P No. 16632 of 2025 2. SRI. M. VISVESVARAYA CO.OP BANK, OFFICE AT NO.109, SHANKARMUTT ROAD, SHANKARAPURAM, BENGALURU – 560 004, REPRESENTED BY ITS CHIEF EXECUTIVE OFFICER. ...RESPONDENTS (BY SRI. B.N.JAGADEESHA, ADDL.SPP FOR R-1; SRI. SUHITH S., ADVOCATE FOR R-2) THIS CRL.P FILED U/S 482 CR.P.C., (FILED U/S 528 BNSS) PRAYING TO A. QUASH THE CHARGE SHEET IN SO FAR AS THE PETITIONER IN C.C.NO.28542/2023 ON THE FILE OF 46TH ADDL. CMM, BENGLAURU FOR THE O/P/U/S. 417, 420, 421, 422, 120B R/W 34 OF IPC BY ARRAYING THE PETITIONERS AS ACCUSED NO.1 TO 3; B. CONSEQUENTLY, QUASH THE ENTIRE PROCEEDINGS IN C.C.NO.28542/2023 ON THE FILE OF 46TH ADDL. CMM, BENGALURU FOR THE OFFENCES P/U/S. 417, 420, 421, 422, 120B R/W 34 OF IPC BY ARRAYING THE PETITIONERS AS ACCUSED NO.1 TO 3. THESE PETITIONS, COMING ON FOR REPORTING SETTLEMENT, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 5 - HC-KAR NC: 2026:KHC:7480 CRL.P No. 15917 of 2025 C/W CRL.P No. 16632 of 2025 CORAM: HON'BLE MR. JUSTICE M.NAGAPRASANNA ORAL ORDER The petitioners are before this Court, seeking the following prayer: In Crl.P.No.15917/2025: "a) To Quash the charge sheet in so far as the Petitioners in C.C.No.26454/2019 on the file of 32nd Addl. Chief Metropolitan Magistrate, Bengaluru for the offences punishable under Sec.417, 420, 421, 422, 120B R/w 34 of IPC, by arraying the Petitioner as Accused no.2; b) Consequently, quash the entire proceedings in C.C.No.26454/2019 on the file of 32nd Addl. Chief Metropolitan Magistrate, Bengaluru for the offences punishable under Sec.417, 420, 421, 422, 120B R/w 34 of IPC, by arraying the Petitioner as Accused no.2; and c) Pass such other orders as this Hon'ble Court deems fit under the facts and circumstances of the case, to serve the interest of justice and equity." In Crl.P.No.16632/2025: "a) To Quash the charge sheet in so far as the Petitioners in C.C.No.28542/2023 on the file of 46th Addl. Chief Metropolitan Magistrate, Bengaluru for the offences punishable under Sec.417, 420, 421, 422, 120B R/w 34 of IPC, by arraying the Petitioners as Accused no.1 to 3; b) Consequently, quash the entire proceedings in C.C.No.28542/2023 on the file of 46th Addl. Chief Metropolitan Magistrate, Bengaluru for the offences punishable under Sec.417, 420, 421, 422, 120B R/w 34 of IPC, by arraying the Petitioners as Accused no.1 to 3; and - 6 - HC-KAR NC: 2026:KHC:7480 CRL.P No. 15917 of 2025 C/W CRL.P No. 16632 of 2025 c) Pass such other orders as this Hon'ble Court deems fit under the facts and circumstances of the case, to serve the interest of justice and equity." 2. Heard Sri. G.B. Sharath Gowda, learned counsel appearing for the petitioner, Sri. B.N. Jagadeesha, learned Addl. SPP appearing for respondent No.1, Sri. K.V. Lokesh, learned counsel appearing for respondent No.2 in Crl.P.No.15917/2025 and Sri. G.B. Sharath Gowda, learned counsel appearing for the petitioners, Sri. B.N. Jagadeesha, learned Addl. SPP appearing for respondent No.1, Sri. Suhith S., learned counsel appearing for respondent No.2 in Crl.P.No.16632/2025 and have perused the materials on record. 3. During the pendency of the proceedings, the parties to the lis have settled the dispute among themselves and have filed the Joint Memos. The joint memos filed in both the petitions read as follows: In Crl.P.No.15917/2025: "JOINT MEMO BY PETITIONER AND RESPONDENT NO. 2 The petitioner and the 2nd respondent jointly submit as follows: - 7 - HC-KAR NC: 2026:KHC:7480 CRL.P No. 15917 of 2025 C/W CRL.P No. 16632 of 2025 1. It is submitted that, based on the complaint dated 11.01.2019 by the 2nd Respondent, the 1st respondent registered a case in Crime No.16/2019 for offences punishable under Sections 120B, 421, 422, 420, and 417 IPC, arraying the petitioner as Accused No. 2. The 1st Respondent having carried out the investigation, filed charge sheet by arraying the petitioner as Accused No. 2 for the above stated offences. The Learned 32nd Addl. Chief Metropolitan Magistrate, Bengaluru took cognizance of the same and registered a case in C.C.No.26454/2019. 2. It is submitted that, during the pendency of C.C.No.26454/2019 on the file of 32nd Addl. Chief Metropolitan Magistrate, Bengaluru, the Petitioner and Respondent No.2 have arrived at an amicable settlement. In terms of the settlement, the petitioner gave a representation to the Respondent No.2 requesting for a One Time Settlement (OTS). The 2nd Respondent considering the representation of the Petitioner and the Accused No.1 & 3, gave a OTS offer vide its letter dated 30.08.2025, wherein it called upon the petitioner and accused NO. 1 & 3 to pay a sum of Rs. 4,27,00,000/- (Rupees four crore twenty-seven lakh). It is submitted that, in terms of the OTS offer, the petitioner and Accused No. 1 & 3 together paid a sum of Rs. 4,27,00,000/- (Rupees four crore twenty-seven lakh) to the 2nd respondent in full and final settlement of all its claims. In view of the same, the 2nd Respondent has undertaken to cooperate with the Petitioner and Accused No.1 & 3 for the closure of the subject criminal proceedings and for giving full effect to the settlement recorded herein, including withdrawal and closure of all connected notices, civil, recovery, arbitral and statutory proceedings arising out of the same transaction. 3. In view of the above, the petitioner and the 2nd respondent have settled all their disputes in the following terms: a. It is respectfully submitted that the 2nd Respondent has received a total sum of - 8 - HC-KAR NC: 2026:KHC:7480 CRL.P No. 15917 of 2025 C/W CRL.P No. 16632 of 2025 Rs.4,27,00,000/- (Rupees Four Crore Twenty- Seven Lakh only) in full and final settlement of all its claims against the Petitioner, Accused Nos.1 and 3. In consequence thereof, the loan accounts bearing Nos. MLREP1-4951, MLREP1-4963 and MLREP1-4964 stand duly closed. b. In view of discharge of the entire loan liability, the 2nd Respondent confirms and ratifies the Discharge Deed, No Objection Certificate and all other connected documents executed by it in favour of the Petitioners and/or Accused No.1 & 3, pursuant to and in recognition of the loan and security transactions availed by Late Shri Gunashekar. c. The 2nd Respondent undertakes to forthwith return all original title deeds, security documents and other original documents deposited with it in respect of the aforesaid loan accounts to the Petitioner and/or Accused No.1 & 3, and confirms that it retains no lien, charge or claim over the same. d. It is submitted that the 2nd Respondent had earlier initiated dispute proceedings bearing Nos. J.R.D/U.B.F. 46/2020-2021, J.R.D/U.B.F. 48/2020- 2021 and J.R.D/U.B.F. 47/2020-2021 on the file of the Joint/Additional Registrar of Co-operative Societies and the Karnataka State Urban Bank Federation Arbitration Judge, Bengaluru. In view of the settlement entered into between the Petitioner, Accused Nos.1 and 3 and the 2nd Respondent, the 2nd Respondent affirms that all its claims in the aforesaid proceedings stand fully satisfied and further undertakes not to seek execution of any award, order or direction passed therein. e. The 2nd Respondent further undertakes to withdraw all proceedings initiated by it against the Petitioner, Accused Nos.1 and 3, or against any purchasers of apartments constructed over the mortgaged properties. - 9 - HC-KAR NC: 2026:KHC:7480 CRL.P No. 15917 of 2025 C/W CRL.P No. 16632 of 2025 f. In view of the settlement agreement entered into between the Petitioner and the 2nd Respondent, the 2nd Respondent hereby states that it has no objection to the quashing of C.C. No. 26454/2019 pending before the Court of the 32nd Additional Chief Metropolitan Magistrate, Bengaluru as against the Petitioner only and without prejudice to the proceedings pending against other Accused persons before the trial court. WHEREFORE, it is humbly prayed by the petitioner and 2nd respondent that the proceedings in C.C.No.26454/2019 on the file of 32nd Addl. Chief Metropolitan Magistrate, Bengaluru may be quashed as against the Petitioner only to serve the interest of justice and equity." In Crl.P.No.16632/2025: "JOINT MEMO BY PETITIONERS AND RESPONDENT NO. 2: The Petitioners and the 2nd Respondent jointly submit as follows: 1. It is submitted that, based on the complaint dated 11.01.2019 by the 2nd Respondent, the 1st Respondent registered a case in Crime No. 16/2019 for offences punishable under Sections 120B, 421, 422, 420, and 417 IPC, arraying the petitioners as Accused No. 1 & 3. The 1st Respondent having carried out the investigation, filed charge sheet by arraying the petitioners as Accused No. 1 & 3 for the above stated offences. The Learned 46th Addl. Chief Metropolitan Magistrate, Bengaluru took cognizance of the same and registered a case in C.C.No.28542/2023. 2. It is submitted that, during the pendency of C.C.No.28542/2023 on the file of 46th Addl. Chief Metropolitan Magistrate, Bengaluru, the Petitioners and Respondent No.2 have arrived at an amicable settlement. In terms of the settlement, the Petitioners gave a representation to the Respondent No.2 requesting for a One Time - 10 - HC-KAR NC: 2026:KHC:7480 CRL.P No. 15917 of 2025 C/W CRL.P No. 16632 of 2025 Settlement (OTS). The 2nd Respondent considering the representation of the Petitioners and the Accused No.2, gave an OTS offer vide its letter dated 30.08.2025, wherein it called upon the Petitioners and Accused No. 2 to pay a sum of Rs.4,27,00,000/- (Rupees four crore twenty-seven lakhs). It is submitted that, in terms of the OTS offer, the Petitioners and Accused No. 2 together paid a sum of Rs. 4,27,00,000/- (Rupees four crore twenty-seven lakhs) to the 2nd Respondent in full and final settlement of all its claims. In view of the same, the 2nd Respondent has undertaken to cooperate with the Petitioners and Accused No.2 for the closure of the subject criminal proceedings and for giving full effect to the settlement recorded herein, including withdrawal and closure of all connected notices, civil, recovery, arbitral and statutory proceedings arising out of the same transaction. 3. In view of the above, the petitioner and the 2nd respondent have settled all their disputes in the following terms: a. It is respectfully submitted that the 2nd Respondent has received a total sum of Rs.4,27,00,000/- (Rupees Four Crore Twenty- Seven Lakhs only) in full and final settlement of all its claims against the Petitioners and Accused No.2. In consequence thereof, the loan accounts bearing Nos. MLREP1-4951, MLREP1-4963 and MLREP1- 4964 stand duly closed. b. In view of discharge of the entire loan liability, the 2nd Respondent confirms and ratifies the Discharge Deed, No Objection Certificate and all other connected documents executed by it in favour of the Petitioners and/or Accused No.2, pursuant to and in recognition of the loan and security transactions originally undertaken by Late Shri Gunashekar. c. The 2nd Respondent undertakes to forthwith return all original title deeds, security documents and other original documents deposited with it in respect of the aforesaid loan accounts to the - 11 - HC-KAR NC: 2026:KHC:7480 CRL.P No. 15917 of 2025 C/W CRL.P No. 16632 of 2025 Petitioners and/or Accused No.2, and confirms that it retains no lien, charge or claim over the same. d. It is submitted that the 2nd Respondent had earlier initiated dispute proceedings bearing Nos. J.R.D/U.B.F. 46/2020-2021, J.R.D/U.B.F. 48/2020- 2021 and J.R.D/U.B.F. 47/2020-2021 on the file of the Joint/Additional Registrar of Co-operative Societies and the Karnataka State Urban Bank Federation Arbitration Judge, Bengaluru. In view of the settlement entered into between the Petitioners, & Accused No. 2 and the 2nd Respondent, the 2nd Respondent affirms that all its claims in the aforesaid proceedings stand fully satisfied and further undertakes not to seek execution of any award, order or direction passed therein. e. The 2nd Respondent further undertakes to withdraw all proceedings initiated by it against the Petitioners and Accused No. 2, or against any purchasers of apartments constructed over the mortgaged properties. f. In view of the settlement agreement entered into between the Petitioners and the 2nd Respondent, the 2nd Respondent hereby states that it has no objection to the quashing of C.C. No. 28542/2023 pending before the Court of the 46th Additional Chief Metropolitan Magistrate, Bengaluru, as against the Petitioners only and without prejudice to the proceedings pending against other Accused persons before the trial court. WHEREFORE, it is humbly prayed by the Petitioners and 2nd Respondent that the proceedings in C.C.No.28542/2023 on the file of 46th Addl. Chief Metropolitan Magistrate, Bengaluru may be quashed as against the Petitioners only to serve the interest of justice and equity." - 12 - HC-KAR NC: 2026:KHC:7480 CRL.P No. 15917 of 2025 C/W CRL.P No. 16632 of 2025 4. Therefore, in the light of the settlement arrived at between the parties quoted supra and the offences not being against the State, I deem it appropriate to obliterate the proceedings pending against these petitioners in the subject petitions. 5. For the aforesaid reasons, the following: ORDER i. Criminal Petitions are disposed. ii. The proceedings in C.C.No.26454/2019 pending before the 32nd Additional Chief Metropolitan Magistrate, Bengaluru, stand quashed qua the petitioner in Crl.P.No.15917/2025. iii. The proceedings in C.C.No.28542/2023 pending before the 46th Additional Chief Metropolitan Magistrate, Bengaluru, stand quashed qua the petitioners in Crl.P.No.16632/2025. Sd/- (M.NAGAPRASANNA) JUDGE CBC/ List No.: 1/ Sl No.: 78