Celine Santiago v. State Rep. By The Sub Inspector Of Police
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 03-06-2026
CORAM
THE HON'BLE MR JUSTICE M. NIRMAL KUMAR CRL OP No. 11346 of 2026, CRL OP NO. 129 OF 2026 AND CRL MP NO. 8067 OF 2026, CRL MP NO. 128 OF 2026, CRL MP NO. 127 OF 2026 CRL OP No. 11346 of 2026 Celine Santiago ..Petitioner(s) Vs
1. State Rep. by The Sub-Inspector of Police Central Crime Branch, Bank Fraud Wing-31, Egmore, Chennai.
2. Ashok Raj G ..Respondent(s) CRL OP No. 129 of 2026
1. K.Lakshmanan
2. R. Vidya ..Petitioner(s) Vs
1. The State rep by The Sub Inspector of Police Bank Fraud Prevention Unit, Central Crime Branch, Team-31, Chennai-600007.
Crime No.157/2020.
2. Ashok Raj. G ..Respondent(s) CRL OP No. 11346 of 2026 Criminal Original Petition filed under Section 528 of Bharatiya Nagarik Suraksha Sanhita (BNSS), 2023, to call for the records in C.C.No.2680 of 2023 on the file of the learned Metropolitan Magistrate / Additional Court for Trial of CCB Cases, Egmore, Chennai and quash the same as against the petitioners / Accused-3, as the continuance of same would amount to abuse of process of Court.
CRL OP No. 129 of 2026 Criminal Original Petition filed under Section 528 of Bharatiya Nagarik Suraksha Sanhita (BNSS), 2023, to call for the records in C.C.No.2680/2023, on the file of the Hon'ble Additional Court for Exclusive Trial of CCB Cases, Egmore, Chennai and quash the proceedings in so far as the Petitioners/Accused are concerned.
CRL OP No. 11346 of 2026 For Petitioner(s):
Mr.S.Karthikeyan For Respondent(s):
Mr.A.Amarnath Counsel for Government of Tamil Nadu (Criminal Side) for R1 Mr.M.A.Abdul Wahab for Mr.K.V.Subramaniam Associates for R2 CRL OP No. 129 of 2026 For Petitioner(s):
Mr.Rajamohan for Mr.C.R.Malavannan For Respondent(s):
Mr.A.Amarnath Counsel for Government of Tamil Nadu (Criminal Side) for R1
Mr.M.A.Abdul Wahab for Mr.K.V.Subramaniam Associates for R2 COMMON ORDER These Criminal Original Petitions have been filed to quash the case in C.C.No.2680 of 2023 on the file of the Metropolitan Magistrate Court/Additional Court for Trial of CCB Cases, Egmore, Chennai. 2.One Lakshmanan (A1), his wife Vidhya (A2) and one Selin Sandiyago, Retired Assistant General Manager of Syndicate Bank (A3), who are the accused in C.C.No.2680 of 2023 on the file of the Metropolitan Magistrate Court/Additional Court for Trial of CCB Cases, Egmore, Chennai, are facing trial for the offences under Sections 120-B r/w. 420 IPC. 3.The gist of the prosecution case is as follows : M/s.Lavio Foods Private Limited is carrying on food business in the name of Charminar Hotel at Gopalapuram, Chennai, and A1 and A2 are the owners of the said Hotel.
A1 and A2 had approached the Syndicate Bank for business loan and thereby, A3, who was the then Manager of the Syndicate Bank, in connivance with A1 and A2, granted a term loan of Rs.40 Lakhs and OD loan to a tune of Rs.60 Lakhs.
monthly EMI and therefore, the account became Non-Performing Asset. Further, A1 and A2 had closed down their business and also sold out most of the hypothecated articles. Therefore, the Syndicate Bank had lodged a complaint as against A1 to A3, based on which, the case in Crime No.157 of 2020 came to be registered.
4.On conclusion of investigation, 7 witnesses were listed along with materials and a charge sheet has been filed and the case culminated into C.C.No.2680 of 2023 on the file of the Metropolitan Magistrate Court/Additional Court for Trial of CCB Cases, Egmore, Chennai. This Criminal Original Petition has been filed to quash the proceedings in C.C.No.2680 of 2023.
5.When the case came up for hearing on 29.04.2026, this Court passed the following order :
"The petitioners (A1 to A3) submitted that in this case there was a default in repayment of the loan taken from the second respondent Bank and thereafter on verification of the documents some discrepancy was found and complaint has been lodged as though the petitioner had created forged document and producing the documents to secure loan and hence the Bank could not take any recovery proceedings on the submitted properties.
2.The issue has since been resolved between the petitioners and the Bank and paid the loan amount by way of one time settlement. The Bank acknowledges that the debt has been settled and maintains no further grievances against the petitioners; accordingly, they have no objection to the quashing of the complaint. The Bank seeks small accommodation to obtain formal written instructions. Post the matters under the caption "For Orders" on 03.06.2026.
3.The learned Additional Public Prosecutor submitted that a charge sheet was filed on the Bank's complaint, the dispute is primarily between the Bank and the petitioners. If the Bank has no objection to the proceedings being quashed, the prosecution likewise raises no serious objection."
6.Learned counsel for the petitioners submitted that the petitioners have filed a discharge petition before the trial Court and it is pending adjudication. In the meanwhile, they had approached the de facto complainant/2nd respondent Bank for a settlement. The 2nd respondent had agreed for the settlement and a One Time Settlement for a sum of Rs.63,00,000/- was arrived at and the same had also been paid by the petitioners. The letter sent by the 2nd respondent Bank to the petitioners on 09.12.2025 issuing 'No Due Certificate' is enclosed in the typed set of papers, which reads as follows : "This is to inform that M/s.LAVIO FOODS PVT LTD (PAN - AACCL2184K) having its registered address at No.17/1, Gandhi
Street, Kaveri Nagar, Saidapet, Chennai - 15 has availed MSME Loan with our T Nagar II branch.
Loan Account 60031570000072 (Old Acc Nos - 60031400000063, 60037910000079) was settled under One Time Settlement scheme of our Bank for Rs.63,00,000/- and the loan stands Closed/Resolved on 25.11.2025.
This letter has been issued at the request of the customer, without taking any responsibilities by the bank and the official who is signing."
7.Mr.M.A.Abdul Wahab, appearing for M/s.K.V.Subramaniam Associates, learned counsel for the 2nd respondent Bank, submitted that, pursuant to the One Time Settlement, the petitioners have paid the amount and settled their dues to the full and final satisfaction of the Bank. In support of his submission, he has also filed a memo today, which is extracted hereunder : "It is submitted that 2nd Respondent/De-facto Complainant instructed us to state that the Petitioners obtained loan from the Bank, which has been settled by them on 25.11.2025. In this regard, there is no further adjudication in the above Crl.O.P. Therefore, it is most humbly that this Hon'ble Court may be pleased to close the above Crl.O.P., by recording this Memo in the above Crl.O.P.No.129 of 2026 and thus render justice."
8.Learned Government Counsel (Criminal Side) appearing for the 1st respondent Police submitted that the petitioners are facing trial for the offences under Sections 120-B and 420 IPC. If the 2nd respondent Bank/de facto complainant is willing to compound the offences, the 1st respondent Police have no objections.
9.In view of the above, since the issues are resolved between the petitioners/accused and the de facto complainant/2nd respondent Bank by way of One Time Settlement and they are also willing to compound the offences, the offences stand compounded and the matter stands settled. The petitioners, who are A1 to A3 in C.C.No.2680 of 2023 on the file of the Metropolitan Magistrate Court/Additional Court for Trial of CCB Cases, Egmore, Chennai, are discharged from all the charges against them. Consequently, the proceedings in C.C.No.2680 of 2023 on the file of the Metropolitan Magistrate Court/Additional Court for Trial of CCB Cases, Egmore, Chennai, stands quashed.
10.Accordingly, this Criminal Original Petition is allowed. Consequently, connected miscellaneous petitions are closed. 03-06-2026 MKN
Index: Yes/No Speaking/Non-speaking order To 1.The Metropolitan Magistrate, Additional Court for Trial of CCB Cases, Egmore, Chennai.
2.The Sub-Inspector of Police Central Crime Branch, Bank Fraud Wing-31, Egmore, Chennai.
3.The Public Prosecutor, High Court, Madras.
M.NIRMAL KUMAR J.
MKN CRL OP No. 11346 of 2026 & CRL OP NO. 129 OF 2026 03-06-2026