THE HON’BLE MR JUSTICE R. KANTHA RAO CRIMINAL PETITION No.2522 OF 2008 ORDER: This petition is filed by the petitioner-A3 to quash the proceedings in Cr.No.166 of 2008 of Afzalgunj police station, Hyderabad. 2. Crl.P.M.P.No.2238 of 2008 is filed seeking stay of all further proceedings, including the arrest of the petitioner and a learned single Judge of this Court granted interim stay of arrest of the petitioner. 3. Heard learned counsel appearing for the petitioner and the learned standing counsel for the 2nd respondent- State Bank of Hyderabad. Perused the record. 4. The brief facts necessary for considering the present petition are that one Sukkaiah was sanctioned loan of Rs.10,00,000/- on 27-06-2005 by the 2nd respondent bank. The mortgaged property is a commercial building, consisting of ground and upper two floors, admeasuring 216 sq.yards situate at Paiki Akbar Baig, Tolichowki, Hyderabad. A2-Mohd.Khaja Nayeemuddin, Proprietor of United Tourist Centre, Afzalgunj, Hyderabad, stood as guarantor of the said Sukkaiah by depositing the original title deeds and created equitable mortgage over the property offered. Certain repayments were made by the borrower. Thereafter, the borrower stopped payment and Mohd.Khaja Nayeemuddin-guarantor agreed to pay the amount of Rs.2,92,087/- in the loan account and the last payment, dated 19-07-2007, was Rs.10,000/-. Subsequently, there were no repayments. Thereafter, enquiries made by the bank officials revealed that the property, which is mortgaged to the bank, was sold even prior to the mortgage and the said Sukkaiah could not be traced. When they questioned Md.Khaja Nayeemuddin, the guarantor, and insisted upon him to produce the principal borrower before them, it is stated that Nayeemuddin confessed that he masterminded the availment of the mortgage loan from the bank and he utilized Rs.10,00,000/- for the purpose of his tourist bus operation. 5. The enquiries made by the bank officials further revealed that the said Sukkaiah, who borrowed the amount, handed over the original title deeds i.e. the registered sale deed, dated 05-01-1979, to Hamad Bin Sayeed, who is A3 in the crime and the petitioner herein, in the year, 2000 to sell away the house and the same was sold to different purchasers and ultimately it was found that fraud has been played by the said Sukkaiah and Mohd.Khaja Nayeemuddin against the bank and the loan amount was secured without furnishing relevant documents. 6. Learned counsel for the petitioner would submit that even if the entire allegation levelled against the petitioner that he received the original documents from the said Sukkaiah is believed, it does not constitute any criminal offence and therefore, the case against him has to be quashed. 7. As can be seen from the material so far available, it can be understood that all the accused, including the petitioner herein, had conspired together and played fraud on the bank in obtaining huge loan amount and by depositing fictitious documents in the bank. Unless the investigation is completed in all respects, the fraud played by each and every accused, including the petitioner, will not come into light. It is therefore quite premature to hold that absolutely no offence is made out against the petitioner herein. The material available on record clearly indicates the involvement of all the three accused in commission of the offence. I absolutely see no grounds to quash the proceedings against the petitioner herein. 8. On the aforesaid analysis, the Criminal Petition is dismissed. The interim stay granted earlier by this Court is hereby vacated. ____________________ R. KANTHA RAO, J 09th July, 2010 Tsy