Gujarat High Court Allows Quashing of FIR in Criminal Breach of Trust Case Due to Amicable Settlement. Compromise Between Parties Leads to Termination of Criminal Proceedings Under Section 482 CrPC for Non-Compoundable Offences.

High Court: Gujarat High Court In Favour of Accused
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Case Note & Summary

The petitioner, Dhiren Bhanubhai Chodvadia, filed a Special Criminal Application under Section 482 of the Code of Criminal Procedure, 1973 seeking quashing of FIR No. I-105 of 2015 registered at DCB Police Station, Ahmedabad for offences punishable under Sections 408 (criminal breach of trust), 420 (cheating) and 114 (abetment) of the Indian Penal Code. The respondent No.1, Naresh Kaluram Prajapati, was the original complainant. The matter was heard by the High Court of Gujarat at Ahmedabad, presided over by Justice J.L. Odedra. The petitioner's counsel, Mr. Y.N. Ravani, submitted that the parties had amicably settled the dispute and were no longer willing to proceed with the complaint. The respondent No.1 filed a duly sworn affidavit dated 08.10.2025, identified by his advocate Mr. Manthan V. Shukla, confirming the settlement and stating no objection to the quashing of the FIR. The court examined the affidavit and found that the settlement was genuine and voluntary. The court noted that the offences under Sections 408 and 420 IPC are non-compoundable, but in exercise of inherent powers under Section 482 CrPC, the FIR could be quashed to secure the ends of justice, especially when the parties had settled the dispute and the complainant had no grievance. The court allowed the application and quashed the FIR and all consequential proceedings. The judgment was delivered on 23/03/2026.

Headnote

A) Criminal Procedure Code - Quashing of FIR - Section 482 CrPC - Amicable Settlement - The petitioner (original accused) sought quashing of FIR for offences under Sections 408, 420, 114 IPC. The parties amicably settled the dispute and the complainant filed an affidavit stating no objection to quashing. The High Court, exercising inherent powers under Section 482 CrPC, quashed the FIR to secure the ends of justice, noting that continuation of proceedings would be futile. (Paras 1-6)

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Issue of Consideration

Whether an FIR registered for offences under Sections 408, 420 and 114 of the Indian Penal Code can be quashed under Section 482 of the Code of Criminal Procedure, 1973 on the basis of an amicable settlement between the parties.

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Final Decision

The High Court allowed the application and quashed FIR No. I-105 of 2015 registered at DCB Police Station, Ahmedabad and all consequential proceedings arising therefrom.

Law Points

  • amicable settlement
  • quashing of FIR
  • Section 482 CrPC
  • non-compoundable offence
  • compromise
  • criminal breach of trust
  • cheating
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Case Details

2026 LawText (GUJ) (03) 1109

R/Special Criminal Application (Quashing) No. 8 of 2016

2026-03-23

J. L. Odedra

2026:GUJHC:21226

Mr. Y.N. Ravani for the Applicant, Mr. Manthan V. Shukla and HCLS Committee for Respondent No.1, Mr. K.M. Antani, Addl. Public Prosecutor for Respondent No.2

Dhiren Bhanubhai Chodvadia

Naresh Kaluram Prajapati & Anr.

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Nature of Litigation

Special Criminal Application under Section 482 CrPC for quashing of FIR

Remedy Sought

Quashing of FIR No. I-105 of 2015 registered at DCB Police Station, Ahmedabad for offences under Sections 408, 420, 114 IPC

Filing Reason

The petitioner (original accused) sought quashing of the FIR on the ground that the matter had been amicably settled with the complainant.

Previous Decisions

Rule was issued on 05.01.2016.

Issues

Whether the FIR can be quashed under Section 482 CrPC on the basis of an amicable settlement between the parties for offences under Sections 408, 420, 114 IPC.

Submissions/Arguments

Learned Advocate for the Petitioner submitted that the matter has been amicably settled between the parties and they are not willing to proceed with the complaint. Respondent No.1 filed an affidavit stating that the disputes have been amicably settled and he has no objection to the quashing of the FIR.

Ratio Decidendi

The High Court, exercising inherent powers under Section 482 CrPC, quashed the FIR to secure the ends of justice, as the parties had amicably settled the dispute and the complainant had no grievance, making continuation of proceedings futile.

Judgment Excerpts

Present application is preferred by the Petitioner (Original Accused) under Section 482 of the Code of Criminal Procedure, seeking quashing of FIR being CR.No.I-105 of 2015 registered DCB Police Station, Ahmedabad for the offences punishable under Sections 408, 420 and 114 of the Indian Penal Code. Today, learned Advocate for the Petitioner has submitted that the matter has been amicably settled between the parties and they are now not willing to proceed with the complaint any further. On going through the said affidavit, the say of the learned advocate Shri Ravani gets credence, as indeed, as per the affidavit, the matter appears to have been amicably settled between the parties and that there appears to have no objection of the respondent No.1, if the concerned FIR is quashed.

Procedural History

The petitioner filed Special Criminal Application under Section 482 CrPC in 2016 seeking quashing of FIR. Rule was issued on 05.01.2016. The matter was heard on 23/03/2026, when the court allowed the application based on the settlement affidavit dated 08.10.2025.

Acts & Sections

  • Code of Criminal Procedure, 1973 (CrPC): 482
  • Indian Penal Code, 1860 (IPC): 408, 420, 114
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