Sri Srinivasa Rao Katuri v. The State Of Telangana

IN THE HIGH COURT FOR THE STATE OF TELANGANA AT

HYDERABAD THE HONOURABLE SMT. JUSTICE T.MADHAVI DEVI CRIMINAL PETITION No.6716 of 2026 Date of Order: 14.05.2026 Between:

Sri Srinivasa Rao Katuri and another

...Petitioners/Accused Nos.2 and 4

And The State of Telangana, Represented by its Public Prosecutor, High Court for the State of Telangana, Hyderabad and two others.

...Respondents

: O R D E R :

This Criminal Petition is filed under Section 482 of Bharatiya Nagarik Suraksha Sanhita, 2023 (for short 'BNSS') for grant of pre-arrest bail to the petitioners, who are arrayed as accused Nos.2 and 4 in Crime No.74 of 2026 of INSP ADMIN (DD) Police Station, Hyderabad District, registered for the offences punishable under Sections 316(2) and 318(4) of the Bharatiya Nyaya Sanhitha, 2023 (for short 'BNS') and Sections 66(C), 70, 72 and 43 r/w 66 IT Act 2000-2008.

2.

The brief facts of the case are that on 15.04.2026, respondent No.2 lodged a complaint alleging that M/s Transaction Analysts (India) Pvt. Ltd. (A-1), engaged in 2017 for development and maintenance of the Governmentowned "T-Wallet" platform, failed to hand over Government data, source code, systems, and credentials after expiry of the contract on 31.05.2025. It is alleged that A-1 unlawfully retained Government data, obstructed transition to the new agency, falsely claimed proprietary rights over the platform, and attempted migration of nearly 16 lakh users' data and public funds of about Rs.214 Crores to its private application "TA One App," thereby endangering sensitive data and public funds. Hence, action was sought against the accused. 3.

Heard Mr.Vedula Venkata Ramana, learned Senior Counsel appearing on behalf of the petitioners as well as Mr.Palle Nageshwar Rao, learned Public Prosecutor appearing on behalf of the respondent Nos.1 and 2.

4.

Learned Senior Counsel for the petitioners submitted that the petitioners are Directors of Transaction Analysts India Private Limited, which had entered into an agreement with

the State of Telangana for operation of the T-Wallet platform. Upon expiry of the contract, the Government sought transfer of customer data and funds pertaining to the T-Wallet accounts. It is submitted that the petitioner company is governed by RBI guidelines and, therefore, could not immediately transfer the required information. On this allegation, the Government lodged the present complaint against the company and its Directors. It is further submitted that the petitioners are ready to furnish all required information, including KYC data of T-Wallet customers and the related funds, to the Government within one week. Therefore, he prayed for grant of pre-arrest bail by allowing the Criminal Petition.

5.

On the other hand, learned Public Prosecutor opposed the submissions made by the learned counsel for the petitioners stating that the allegations levelled against the petitioners are serious in nature. Therefore, at this stage, granting of pre-arrest bail to the petitioners does not arise. Hence, he prayed the Court to dismiss the criminal petition.

6.

In the light of the submissions made by both the learned counsel, this Court is of the considered view that, as the petitioners have undertaken to furnish all required information, including KYC data of T-Wallet customers and the related funds, to the Government within one week from today, this Court deems it fit to grant pre-arrest bail to the petitioners/accused Nos.2 and 4, subject to the following conditions:

i.

The petitioners shall surrender before the Station House Officer, INSP ADMIN (DD) Police Station, Hyderabad, within two weeks from today, and on such surrender, the said Station House Officer shall release them on bail on executing a personal bond for Rs.25,000/-, each with two sureties, for the like sum each.

ii.

The petitioners shall abide by the other conditions stipulated in Section 482(2) of Bharatiya Nagarik Suraksha Sanhita, 2023 and co-operate with the Investigating Officer in investigating the case.

iii.

The petitioners shall appear before the concerned Investigating Officer on

every Monday between 09:00 a.m, and 05:00 p.m., for a period of eight (8) weeks or till the filing of the charge sheet, whichever is earlier and thereafter, as and when required.

7.

Accordingly, this Criminal Petition is allowed. Miscellaneous applications, if any pending, shall stand closed.

____________________ JUSTICE T.MADHAVI DEVI Date: 14.05.2026 Note: Issue C.C. by tomorrow.

B/o. vsl/dpm