Criminal Proceedings Quashed as Parties Agree to Arbitration; Court Cites Abuse of Legal Process in Continuing Case.

The HC allowed the Criminal Petition filed by the petitioners to quash proceedings in Crime No.85 of 2021, related to offenses under Sections 420, 406, 120B r/w 34 IPC. The court noted that the parties had agreed to appoint an arbitrator to resolve their disputes, and the de facto complainant consented to quash the proceedings. The court determined that continuing the proceedings would be an abuse of the process of law, leading to the quashing of the criminal proceedings and closure of any pending miscellaneous applications.

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Issues involved:
Quashing of criminal proceedings under Section 482 Cr.P.C. related to offenses under Sections 420, 406, 120B r/w 34 IPC based on a common judgment passed by the court in Writ Appeal cases.

Details of the Judgment:

1. Background of the Case:
- Criminal Petition filed by petitioners/A-1 to A-4 to quash proceedings in Crime No.85 of 2021 of Mangalagiri Rural Police Station, Guntur Urban.
- Offenses registered against petitioners under Sections 420, 406, 120B r/w 34 IPC.
- Allegations involve fabrication of documents, diversion of funds, and fraudulent activities by accused related to NRI Academy of Sciences and associated companies.

2. Contentions of the Petitioners:
- Disputes between rival groups for control over the Society's management.
- Mention of Writ Appeal cases and appointment of an arbitrator to resolve disputes between parties.

3. Court's Observations and Decision:
- Court considered the common judgment in Writ Appeal cases where parties agreed to appoint an arbitrator to settle disputes.
- De facto complainant filed an affidavit consenting to quash the proceedings.
- Court noted that continuation of proceedings would amount to an abuse of the process of law.
- Consequently, the Criminal Petition was allowed, and the proceedings in Crime No.85 of 2021 were quashed.
- Any pending miscellaneous applications related to the Criminal Petition were also closed as a result of the decision.

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