Bombay High Court
SANDIPAN SUBIRKUMAR CHAUDHARIversusSTATE OF MAHARASHTRA AND ANR
- Decided
- Disposal
- Allowed
- Bench
- ASHWIN D BHOBE
Holding
The petition is allowed and the FIR, charge‑sheet and criminal case are quashed as the dispute has been settled and the complainant has consented.
Summary
The petitioner filed a writ under Article 226 of the Constitution and Section 528 of the Bharatiya Nagarik Suraksha Sanhita, 2023 seeking quash of FIR No. 26 of 2010 and related charge‑sheet for offences under IPC and the IT Act. The FIR arose from a civil dispute between the petitioner (former employee) and Respondent No.2 (employer), which was settled in Commercial IP Suit No. 58 of 2010 by Consent Terms dated 14 July 2026. Respondent No.2, through an authorized signatory, filed an affidavit expressing no objection to the quash. The State did not oppose the quash but asked for exemplary costs of Rs 2,00,000 each. The Court, relying on Supreme Court precedents, held that continuation of the criminal prosecution served no useful purpose after the settlement and allowed the petition, quashing the FIR and charge‑sheet subject to each party paying Rs 1,00,000 costs.
Issues considered
- The court may quash a criminal proceeding when the underlying dispute is civil and has been settled with the complainant's consent.
- Whether exemplary costs may be imposed on the parties for initiating criminal proceedings based on a civil dispute.
Legislation cited
- Bharatiya Nagarik Suraksha Sanhita, 2023 — s. 528
- Constitution of India — s. Article 226
- Indian Penal Code, 1860 — s. 34, 408
- Information Technology Act, 2000 — s. 43, 66, 72, 72A
Subjects
- quash of FIR
- civil settlement
- Article 226
- Section 528
- exemplary costs
- cyber crime
- IT Act
- settlement consent
Judgment
Digitally
signed by
LAXMIKANT
LAXMIKANT GOPAL (913) WP-3840.26.DOCX
GOPAL CHANDAN
CHANDAN Date:
2026.08.06
20:54:22 lgc
+0530
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
CRIMINAL APPELLATE JURISDICTION
CRIMINAL WRIT PETITION NO.3840 OF 2026
Sandipan Subirkumar Chaudhari : Petitioner.
Versus.
State of Maharashtra and anr. : Respondents.
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Mr. Mudit Ahuja i/by Vertices Partners for the Petitioner.
Mr. Y. M. Nakhawa, APP for the Respondent No.1/State.
Mr. Kaivalya Shetye i/by Mr. Mahesh Mahadgut for Respondent
No.2.
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CORAM : ASHWIN D. BHOBE, J.
DATED : 06 AUGUST 2026
PC:-
1. Heard Mr. Mudit Ahuja, learned Advocate for the
Petitioner, Mr. Y. M. Nakhawa, learned APP for Respondent
No.1-State and Mr. Kaivalya Shetye, learned Advocate for
Respondent No.2.
2. This Petition under Article 226 of the Constitution of
India and Section 528 of the Bharatiya Nagarik Suraksha
Sanhita, 2023, is filed by the Petitioner for quashing the FIR
bearing C.R. No. 26 of 2010, dated 16 August 2010,
registered with the Cyber Police Station, Mumbai (“impugned
FIR”), for offences punishable under Sections 408 read with
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34 of the Indian Penal Code and Sections 43, 66, 72 and 72A
of the Information Technology Act, 2000 and the charge-sheet
bearing Criminal Case No. 562/PW/2011, pending before the
Additional Chief Judicial Magistrate, 37th Court, Esplanade,
Mumbai, arising from the impugned FIR.
3. Mr. Mudit Ahuja, learned Advocate for the Petitioner
and Mr. Kaivalya Shetye, learned Advocate for Respondent
No.2, submit that the subject matter of the impugned FIR was
a civil dispute between an employer (Respondent No.2) and
its erstwhile employee (Petitioner). They submit that the same
dispute was also the subject of Commercial IP Suit No. 58 of
2010 before this Court. They submit that the said dispute has
been amicably resolved in Commercial IP Suit No. 58 of 2010
by filing the Consent Terms dated 14 July 2026. They submit
that Commercial IP Suit No.58 of 2010 has been decreed as
per the Consent Terms (pages 45 to 51 of the paper book).
They submit that, in view of the settlement of the said civil
dispute, the Respondent No.2 Company, by resolution dated
15 June 2026, resolved to withdraw the criminal proceedings
and to give consent for the quashing of the FIR and the
proceedings arising out of the impugned FIR. They submit
that the Respondent No.2 Company has authorized Mr. Aditya
Kumar – Senior Legal Counsel to appear before this Court and
to file an Affidavit giving no objection to the quashing of the
criminal proceedings. They therefore request the quashing of
the impugned FIR and the criminal proceedings arising
therefrom.
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4. Applicant is present in the Court and is identified by his
Advocate Mr. Mudit Ahuja. He tenders the photostat copy of
the Petitioner’s Identity Card, which is taken on record and
marked as “X” for identification.
5. Aditya Kumar, Authorized Signatory/Representative of
the Respondent No.2 Company, is present in the Court and is
identified by his Advocate, Mr. Kaivalya Shetye. He tenders
the photostat copy of Respondent No.2’s Identity Card, which
is taken on record and marked as “X-1” for identification.
6. Mr. Kaivalya Shetye, learned Advocate for Respondent
No.2, states that the Affidavit dated 04 August, affirmed by
Mr. Aditya Kumar, Authorized Signatory/Representative of
Respondent No.2 – Company, before the Notary Dr. T. C.
Kaushik, is placed on record and marked as “X-2” for
identification.
7. Respondent No. 2 states that he is duly authorized to
appear before this Court and file the Affidavit (X-2) on behalf
of Respondent No. 2. He states that he is aware of the facts of
the case and has access to the records of Respondent No. 2.
He states that the contents of the Affidavit (X-2) are true to
his knowledge and based on the records of Respondent No. 2.
He states that the civil dispute between Respondent No. 2 and
the Applicant has been amicably resolved and therefore
Respondent No. 2 has resolved to give no objection to the
quashing of the impugned FIR and the criminal proceedings
arising therefrom. He states that the Respondent No. 2 wants
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to end the criminal proceedings in view of the settlement. He
reiterates his no objection by referring to and relying on the
contents of paragraphs 1 to 8 of the Affidavit, which are
transcribed herein below in verbatim :-
1. I say that I am the Authorised Signatory of Respondent
No. 2 / Original Complainant, namely Ugam Solutions
Private Limited, and I am duly authorised to affirm this
Affidavit-cum-No Objection on behalf of Respondent No. 2
vide Board Resolution dated 12th June 2026 I am
conversant with the facts and circumstances of the present
matter and am therefore competent to depose to the same.
2. I say that the parties have, after mutual discussions,
settled all disputes, claims, counterclaims, arising out of
and/or connected with the FIR No. 26 of 2010,
chargesheet, Criminal Case No. 562/PW/2011, Comm. IP
Suit No.58 of 2010, and all ancillary proceedings. The
parties have accordingly entered into Consent Terms dated
14th July 2026 ("Settlement") and the suit proceedings are
agreed to be disposed of.
3. I say that under the said Settlement, Respondent No. 2
has agreed to accord its full consent and cooperation for
quashing of inter alia FIR No. 26 of 2010 registered with
Cyber Police Station, Mumbai, the chargesheet / final
report filed pursuant thereto, Criminal Case No.
562/PW/2011 pending before the Learned Additional
Chief Judicial Magistrate, Esplanade, Mumbai; and all
proceedings arising out of or incidental thereto
4. I say that the disputes between the parties were
essentially private and inter se in nature and have now
been fully and finally settled. In view of such settlement,
Respondent No. 2 does not wish to prosecute the aforesaid
FIR and criminal proceedings any further.
5. I say that Respondent No. 2 has no surviving cause of
action, grievance, claim, objection, or dispute against the
Petitioner in relation to the subject matter of FIR No. 26 of
2010, the chargesheet filed pursuant thereto, and/or
Criminal Case No. 562/PW/2011, subject to and in full
satisfaction of the terms of the Settlement arrived at
between the parties as recorded in the Consent Terms.
6. I therefore state that Respondent No. 2 has no objection
whatsoever and gives consent for this Hon'ble Court to be
pleased to quash and set aside FIR No. 26 of 2010
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registered with Cyber Police Station, Mumbai, quash and
set aside. the chargesheet / final report and all proceedings
emanating therefrom, quash and set aside Criminal Case
No. 562/PW/2011 pending before the Learned Additional
Chief Judicial Magistrate, Esplanade, Mumbai, and to pass
all consequential orders in relation thereto.
7. I further say that the present consent / no objection is
being given voluntarily, of my own free will, in my
representative capacity on behalf of Respondent No. 2,
without any coercion, undue influence, force, or
compulsion from any person whatsoever.
8. I respectfully, pray that this Hon'ble Court may be
pleased to take this Affidavit-cum-No Objection on record
and allow the Petition in terms of prayer clause(s) seeking
quashing of FIR No. 26 of 2010, the chargesheet, Criminal
Case No. 562/PW/2011, and all ancillary proceedings.
8. Mr. Y. M. Nakhawa, learned APP, submits that since the
civil dispute between the Petitioner and the Respondent No. 2
has been amicably resolved, the Respondent No. 1-State does
not oppose the quashing of the impugned FIR and the
criminal proceedings arising therefrom. However, he insists on
the imposition of exemplary costs of Rs. 2,00,000/- each on
the Petitioner and the Respondent No. 2 for bringing a civil
dispute before the Police.
9. Mr. Mudit Ahuja, learned Advocate for the Petitioner
and Mr. Kaivalya Shetye, learned Advocate for the Respondent
No. 2, on instructions, submit that the appropriate costs will
be paid.
10. Based on the facts mentioned above, the submissions of
the learned Advocates for the parties, the predominantly civil
nature of the dispute, which is now settled in the Commercial
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IP Suit No. 58 of 2010 and the no objection of the Respondent
No. 2 through its authorized representative Aditya Kumar in
the Affidavit (X-2), no useful purpose will be served by
allowing the criminal prosecution to continue.
11. Having regard to the pronouncements of the Hon’ble
Supreme Court in Gian Singh vs State of Punjab1, Narinder
Singh and Ors vs State of Punjab and Anr 2 and Parbatbhai
Aahir @ Parbatbhai vs The State of Gujarat3, there is no
impediment in allowing this Petition.
12. In view of the above, subject to Petitioner paying costs
of Rs.1,00,000/- and Respondent No.2 paying costs of
Rs.1,00,000/-, this Petition is allowed in terms of prayer
clauses (a) and (b). Payment of costs is a condition precedent.
Consequently, the impugned FIR and the charge-sheet arising
therefrom are quashed.
13. The Petitioner and the Respondent No. 2 shall deposit
their respective costs in the account mentioned below within
three (3) weeks from today and file the compliance affidavit,
along with proof of deposit, in the Registry of this Court on or
before 02 September 2026.
a] The Petitioner shall deposit the sum of Rs.1,00,000/- in :-
The High Court Employees Medical Welfare Fund at Mumbai
Account No.: 000120110001337
1
2012 10 SCC 303
2
2014 6 SCC 466
3
2017 9 SCC 641
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(913) WP-3840.26.DOCX
Bank : Bank of India
Branch : Mumbai Main
IFSC Code : BKID0000001
b] The Respondent No. 2 shall deposit the amount of
Rs.1,00,000/- in:
Bar Council of Maharashtra and Goa
Advocate Aid Fund
Account No.10996711937
Bank Name: State Bank of India
Branch - Mumbai Main Branch
IFSC: SBIN0000300
14. Mr. Mudit Ahuja, learned Advocate for the Petitioner,
states that an appropriate application would be filed before
the Trial Court for return of the amount deposited by the
Petitioner in the Trial Court. Mr. Kaivalya Shetye, on
instructions, states that he has no objection for withdrawal of
the amount deposited by the Petitioner in the Trial Court.
15. The Criminal Writ Petition No. 3840 of 2026 is disposed
of.
(ASHWIN D. BHOBE, J.)
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