- 1 - HC-KAR NC: 2026:KHC-D:228 CRL.P No. 102977 of 2022 IN THE HIGH COURT OF KARNATAKA,AT DHARWAD DATED THIS THE 9TH DAY OF JANUARY, 2026 BEFORE THE HON'BLE MR. JUSTICE V.SRISHANANDA CRIMINAL PETITION NO. 102977 OF 2022 (482(CR.PC)/528(BNSS)) BETWEEN: SMT. NOWHERA SHAIK D/O LATE NANNE SAHEB AGE. 47 YEARS, OCC. HEERA GROUP MANAGING DIRECTOR AND CEO BANGALORE, BALLARI, R/O. 5TH FLOOR NADEEM COLONY HYDERABAD- 500001. …PETITIONER (BY SRI. JAGADISH PATIL, ADVOCATE) AND: THE STATE OF KARNATAKA THROUGH HOSPETE TOWN POLICE STATION R/BY ITS STATE PUBLIC PROSECUTOR HIGH COURT OF KARNATAKA BENCH, AT. DHARWAD …RESPONDENT (BY SMT. KIRTILATA R. PATIL, HCGP) THIS CRIMINAL PETITION IS FILED U/S 482 OF CR.P.C., PRAYING TO QUASH THE FIR CRIME NO.180/2018 REGISTERED BY HOSPETE TOWN P.S. AGAINST THE PETITIONER FOR OFFENCES PUNISHABLE U/S 114, 406, 420 R/W SECTION 34 OF IPC AND SECTION 4, 5 AND 6 OF PRIZE CHITS AND MONEY CIRCULATION SCHEMES (BANNING) ACT 1987 AND SECTION 9 OF THE KARNATAKA PROTECTION OF INTEREST OF DEPOSITORS EXORBITANT ACT 2004, AND QUASH THE SPL.C.NO.454/2020 Digitally signed by CHANDRASHEKAR LAXMAN KATTIMANI Location: HIGH COURT OF KARNATKA DHARWAD BENCH Date: 2026.01.14 14:07:19 +0530 - 2 - HC-KAR NC: 2026:KHC-D:228 CRL.P No. 102977 of 2022 PENDING BEFORE THE PRINCIPAL DISTRICT AND SESSIONS JUDGE, BALLARI FOR OFFENCES PUNISHABLE U/S 114, 406, 420 R/W SECTION 34 OF IPC AND SECTION 4, 5 AND 6 OF PRIZE CHITS AND MONEY CIRCULATION SCHEMES (BANNING) ACT 1987 AND SECTION 9 OF THE KARNATAKA PROTECTION OF INTEREST OF DEPOSITORS EXORBITANT ACT 2004. THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: ORAL ORDER (PER: THE HON'BLE MR. JUSTICE V.SRISHANANDA) 1. Heard Sri. Jagadish Patil, learned counsel for the petitioner and Smt. Kirtilata R. Patil, learned High Court Government Pleader for respondent-State. 2. This petition is filed by the petitioner/accused No.1 under Section 482 of the Code of Criminal Procedure, 19731 with the following prayer: “Wherefore in the interest of justice this Hon’ble Court be pleased to allow this petition and a) Quash the FIR Crime No.180/2018 dated 25/11/2018 registered by Hospete Town P.S. against the petitioner for offences punishable U/Sec.114, 406, 420 read with Section 34 of IPC and Section 4, 5 and 6 of Prize Chits and Money Circulation Schemes (Banning) Act, 1987 and 1 For short, ‘Cr.P.C.’ - 3 - HC-KAR NC: 2026:KHC-D:228 CRL.P No. 102977 of 2022 Section 9 of the Karnataka Protection of Interest of Depositors Exorbitant Act, 2004. b) Quash the SPL.C.No.454/2020 pending before the Prl. District and Sessions Judge, Ballari for offences punishable under Section 114, 406, 420 read with Section 34 of IPC and Section 4, 5 and 6 of Prize Chits and Money Circulation Schemes (Banning) Act, 1987 and Section 9 of the Karnataka Protection of Interest of Depositors Exorbitant Act, 2004 so per as petitioner petitioner concerned (accused No.1). c) Grant such other reliefs as this Hon’ble Court may deem fit and proper in the circumstances of the case in the interest of justice and equity. ” 3. The facts in nutshell for disposal of the present petition are as under: 4. A complaint came to be lodged before Town Police Station, Hosapete, alleging that, M/s. Heera Group of Companies and its subsidiary companies, of which Nowhera Shaikh being the chairman and managing director, cheated to the complainant and several persons, and total fraud amount is to the extent of about Rs.528 Crores. - 4 - HC-KAR NC: 2026:KHC-D:228 CRL.P No. 102977 of 2022 5. The police after registering the case, investigated the matter and filed charge sheet for the offences punishable under Sections 114, 406, 420 read with Section 34 of Indian Penal Code, 18602 and Sections 4, 5 and 6 of Price Chits and Money Circulation Schemes (Banning) Act, 1978 and under the provisions of Section 9 of the Karnataka Protection of Interest Depositors Exorbitant Act, 2004. 6. Learned Special Judge has taken cognizance of the aforesaid offences and the order taking cognizance is called in question in this petition. 7. Learned counsel for the petitioner reiterated the grounds urged in the petition and vehemently contented that the matter was previously taken before the Hon’ble Supreme Court by the Special Officers of Telangana in respect of the same accused company. 8. In the said proceeding, the Hon'ble Apex Court considered the matter and held that the prosecution against the petitioner's company must continue. 2 For short, ‘IPC’ - 5 - HC-KAR NC: 2026:KHC-D:228 CRL.P No. 102977 of 2022 9. In fact, this Court had earlier stayed the impugned order in all the matters pending before the Hon’ble Apex Court. 10. Since the matter has now been disposed off by the Hon'ble Apex Court, the earlier order of stay ought to be vacated, and the present petition needs to be dismissed, directing the prosecution to proceed further. 11. Accordingly, the following: ORDER (i) The Criminal Petition is dismissed. (ii) However, this Court has not expressed any opinion on merits of the matter and the petitioner/accused is at liberty to canvass all favourable points before the Special Court in accordance with law. Sd/- (V.SRISHANANDA) JUDGE SMM / Ct-cmu LIST NO.: 2 SL NO.: 0