- 1 - HC-KAR CNR: KAHC010583442024 NC: 2026:KHC:52718 WP No. 29970 of 2024 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 23RD DAY OF SEPTEMBER, 2026 BEFORE THE HON'BLE MR. JUSTICE V SRISHANANDA WRIT PETITION NO. 29970 OF 2024 (GM-RES) BETWEEN: ZERODHA BROKING LIMITED A COMPANY REGISTERED UNDER THE COMPANIES ACT, 1956, HAVING ITS REGISTERED OFFICE AT NO.153/154, 4TH CROSS, 4TH PHASE, DOLLARS COLONY, OPP. CLARENCE SCHOOL, J.P.NAGAR, BANGALORE – 560 078 REPRESENTED BY ITS AUTHORISED REPRESENTATIVE MS. AKHILESHWARI A. …PETITIONER (BY SRI. V AKSHAY KUMAR JAIN.,ADVOCATE) AND: 1. STATE OF KARNATAKA BY CHANNAMMANAKERE ACHUKATTU POLICE STATION, VISHVESHWARAPURAM SUB DIVISION, BANGALORE CITY REPRESENTED BY THE GOVT PLEADER, HIGH COURT OF KARNATAKA. BENGALURU – 560 001. Digitally signed by R MANJUNATHA Location: HIGH COURT OF KARNATAKA - 2 - HC-KAR CNR: KAHC010583442024 NC: 2026:KHC:52718 WP No. 29970 of 2024 2. SMITHA AGED ABOUT 47 YEARS, WIFE OF LATE PRASAD, PRESENTLY RESIDING AT FLAT NO. P-6, 4TH FLOOR, SAI MADHURA GRACE-I, C K ACHHUKATTU, BSK 3RD STAGE, BANGALORE – 560 085. 3. HDFC BANK LIMITED NO.1, KATHRIGUPPE MAIN ROAD, 3RD PHASE, 3RD STAGE, 4TH BLOCK, OPP FOOD WORLD, BANASHANKARI BANGALORE – 560 085. …RESPONDENTS (BY SMT. WAHEEDA M.M. HCGP FOR R1; SRI. D.S. GIRISH.,ADVOCATE FOR R2; R-3 SERVED) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 OF THE CONSTITUTION OF INDIA R/W SECTION 482 CODE OF CRIMINAL PROCEDURE PRAYING TO QUASH THE IMPUGNED ORDER DATED 23.06.2022 PASSED BY THE HON’BLE II ADDL. CHIEF METROPOLITAN MAGISTRATE, BANGALORE IN CRIME NO. 93/2022 CONVERTED TO C.C. 7751/2023 BEFORE THE II ADDL. CHIEF. METROPOLITAN MAGISTRATE, BANGALORE AT ANNX-K AS ILLEGAL THEREBY REVERSING THE AMOUNT OF RS. 13.69.400/- TRANSFERRED TO THE ACCOUNT OF THE R-2 TO THE ACCOUNT OF THE PETITIONER. THIS PETITION, COMING ON FOR PRELIMINARY HEARING IN ‘B’ GROUP, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. JUSTICE V SRISHANANDA - 3 - HC-KAR CNR: KAHC010583442024 NC: 2026:KHC:52718 WP No. 29970 of 2024 ORAL ORDER Heard Sri V. Akshay Kumar Jain, learned counsel for the petitioner, Smt. Waheeda M.M., learned High Court Government Pleader for respondent No.1 and Sri D.S. Girish, learned counsel for respondent No.2. 2. Petition is filed with the following prayer: “Wherefore, the petitioner prays that this Hon’ble Court may be pleased to 1. Quash the impugned order dated 23.06.2022 passed by the Hon’ble II Additional Chief Metropolitan Magistrate, Bengaluru in Crime No.93/2022 converted to C.C.No.7751/2023 before the II Addl. Chief Metropolitan Magistrate, Bengaluru at Annexure “K” as illegal thereby reversing the amount of Rs.13,69,400/- transferred to the Account of the Respondent No.2 to the Account of the petitioner.” 3. Facts of the case which are utmost necessary for disposal of the present petition are as under. 4. Defacto complainant filed an application under Section 451 and 457 of Code of Criminal Procedure in Crime - 4 - HC-KAR CNR: KAHC010583442024 NC: 2026:KHC:52718 WP No. 29970 of 2024 No.93 of 2022 which is now pending in C.C.No.7751 of 2023. The said application was adjudicated and following order dated 23.06.2022 came to be passed: “Application filed by the applicant Smitha @ Smitha Prasad W/o Late Prasad under sections 451 and 457 of the Code of Criminal Procedure is hereby allowed. The hold and lien marked amount of Rs. 13,69,400/- in the account of Zerodha Broking Limited account No.57500000302010 at HDFC Bank Limited, Katriguppe Main Road Branch, Bengaluru is ordered to transfer to the Bank account of the applicant Smitha @ Smitha Prasad bearing No.6357101000784 maintained at Canara Bank, Raghuvanahalli Branch, Bengaluru 560 062 on execution of her indemnity bond and also the Bank guarantee for the said amount with condition that in the event of any claim over the said amount by any other persons, the applicant shall refund the said amount together with interest or if she fails to prove non-payment of Rs.38,50,000/- by the accused. To furnish Bank guarantee and to execute the indemnity bond call on” 5. Petitioner herein being aggrieved by the same, has approached this Court on the ground that the said order is - 5 - HC-KAR CNR: KAHC010583442024 NC: 2026:KHC:52718 WP No. 29970 of 2024 against the principles of natural justice as petitioner was not notified before passing the said order. 6. He would further submit that petitioner is only a broker and in the usual trading account, few amounts no doubt is transferred to the account of the petitioner and therefore, he cannot be liable to compensate the complainant. 7. He would further contend that at any rate, the order passed by the learned Trial Magistrate would not stand to the reason as there was no notice issued to petitioner before passing the impugned order. 8. Learned High Court Government Pleader however tried to support the impugned order. 9. Counsel for respondent No.2 called out. Absent. 10. Having heard the arguments of both sides, this Court noted that the impugned order cannot be sustained as there was no notice and there is a violation of principles of natural justice. 11. Hence, the order dated 23.06.2022 is hereby set aside subject to condition that the petitioner shall appear - 6 - HC-KAR CNR: KAHC010583442024 NC: 2026:KHC:52718 WP No. 29970 of 2024 before the Trial Court and file appropriate application under the provision of Cr.P.C., on or before 30.10.2026. 12. Accordingly, following: ORDER (i) Petition is allowed. (ii) The impugned order dated 23.06.2022 on the file of II Additional Chief Metropolitan Magistrate, Bengaluru in Crime No.93/2022, converted to C.C.No.7751/2023 at Annexure “K” is hereby set aside. (iii) Petitioner is directed to approach the jurisdictional Trial Magistrate on or before 30.10.2026 and file appropriate application under the provisions of Cr.P.C., and obtain necessary orders. Sd/- (V SRISHANANDA) JUDGE MR List No.: 1 Sl No.: 69