Shaik Khadar Babu Vs The State of Andhra Pradesh

KASIVARAPU PUNNA RAO, S/O. GURAVAIAH, MALE, AGED ABOUT 50 YEARSOCC CHIEF MANAGER, GDCC BANK GURAZALAR/O. D. NO. 8-498/1, SRINIVASA NAGAR CAMPHIGHWAY ROAD, BRAHMANAPALLE,PALNADU, ANDHRA PRADESH - 522 437

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...PETITIONER/ACCUSED

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AND

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THE STATE OF ANDHRA PRADESH, REP. BY THE SHO, GURAZAIA TOWN PS, PALNADU DISTRICTTHROUGH THE PUBLIC PROSECUTORHIGH COURT OF ANDHRA PRADESH,NELAPADU, AMARAVATI - 522 237

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THE SUB DIVISIONAL CO OPERATIVE OFFICER, GURAZALA, O/O. THE DISTRICT CO-OPERATIVE OFFICERNARASARAO PET, PALNADU DISTRICT - 522 601

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...RESPONDENT/COMPLAINANT(S):

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Counsel for the Petitioner/accused:

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1.PEDDIBHOTLA VENKATA SAI RAJESH

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2

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Counsel for the Respondent/complainant(S):

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1.PUBLIC PROSECUTOR

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Crl.P.No.5678/2026 :

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Between:

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PALCHURI HANUMANTHA RAO, S/O. ADI NARAYANA, MALE, AGED ABOUT 56 YEARSOCC MANAGER, GDCC BANK GURAZALAR/O. D. NO. 10-172, NEAR RB BUNGALOWNARAYANAPURAM, NADIKUDI,GUNTUR DISTRICT - 522 414

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...PETITIONER/ACCUSED

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AND

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THE STATE OF ANDHRA PRADESH, REP. BY THE SHO, GURAZALA TOWN PS, PALNADU DISTRICTTHROUGH THE PUBLIC PROSECUTORHIGH COURT OF ANDHRA PRADESH,NELAPADU, AMARAVATI - 522 237

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THE SUB DIVISIONAL CO OPERATIVE OFFICER, GURAZALA, O/O. THE DISTRICT CO-OPERATIVE OFFICERNARASARAO PET, PALNADU DISTRICT - 522 601

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...RESPONDENT/COMPLAINANT(S):

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Counsel for the Petitioner/accused:

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1.PEDDIBHOTLA VENKATA SAI RAJESH

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Counsel for the Respondent/complainant(S):

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1.PUBLIC PROSECUTOR

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Crl.P.No.5680/2026 :

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Between:

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SHAIK KHADAR BABU, S/O. SHAIK MURTHY JOHN, MALE, AGED ABOUT 49OCC SUPERVISOR, GDCC BANK GURAZALAR/O. D. NO. 5-159, BALAMMA BAAVIGURAZALA, PALNADU DISTRICT - 522 415

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3

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...PETITIONER/ACCUSED

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AND

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THE STATE OF ANDHRA PRADESH, REP. BY THE SHO, GURAZALA TOWN PS, PALNADU DISTRICTTHROUGH THE PUBLIC PROSECUTORHIGH COURT OF ANDHRA PRADESH,NELAPADU, AMARAVATI - 522 237

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THE SUB DIVISIONAL CO OPERATIVE OFFICER, GURAZALA, O/O. THE DISTRICT CO-OPERATIVE OFFICERNARASARAO PET, PALNADU DISTRICT - 522 601

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...RESPONDENT/COMPLAINANT(S):

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Counsel for the Petitioner/accused:

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1.PEDDIBHOTLA VENKATA SAI RAJESH

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Counsel for the Respondent/complainant(S):

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1.PUBLIC PROSECUTOR

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The Court made the following: COMMON ORDER :

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These three Criminal Petitions are heard together and are being disposed of by this common order, as the Petitioners in the three petitions are different, but the crime registered against them is one and the same.

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The Criminal Petitions have been filed under Section 482 of the Bharatiya Nagarik Suraksha Sanhita, 2023 (for brevity ‘the BNSS’) by the Petitioners/Accused Nos.2 to 4 for granting of pre-arrest bail in connection with Crime No.63 of 2026 of Gurazala Town Police Station, Palnadu District, was registered for the alleged offences punishable under Sections 61(2),

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318(4) and 316(5) read with 3(5) of the Bharatiya Nyaya Sanhita, 2023 (for brevity, ‘the BNS’).

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Mr.Peddibhotla Venkata Sai Rajesh, the learned counsel for the Petitioners, submits that the Petitioners are innocent of the alleged offence and they have been falsely implicated by the Police. It is further submitted that the Petitioners are the sole earning members of the family and, therefore, their incarceration would cause undue hardship to their dependents. The Petitioners undertake to strictly adhere to any conditions that may be imposed by this Court. Hence, it is urged to allow the Criminal Petition.

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Per contra, Mr.P.Akhila Naidu, the learned Assistant Public Prosecutor, vehemently opposed the grant of pre-arrest bail to the Petitioners, submitting that the investigation is still underway and several material witnesses remain to be examined. It is contended that if the Petitioners are released on anticipatory bail, there is a strong likelihood that he may abscond, thereby hampering the ongoing investigation and evading the process of law. Hence, it is urged to dismiss the Criminal Petition.

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Heard the learned counsel for the Petitioners and the learned Assistant Public Prosecutor. Perused the record.

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On perusal of the record, the Collector and District Magistrate, Guntur, vide proceedings dated 25.04.2026 issued in Rc.No.1761/2024 ‑ C1, granted sanction for prosecution of the Petitioners/Accused Nos.2 to 4. Pursuant to the

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said sanction order, Respondent No.2 submitted a complaint to Respondent No.1, which was registered as Crime No.63 of 2026 of Gurazala Town Police Station, Palnadu District, for the alleged offences punishable under Sections 61(2), 318(4) and 316(5) read with Section 3(5) of ‘the BNS’.

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The allegations against Accused No.2, P. Hanumantha Rao, are that he failed to implement the GDCC Bank circular dated 11.07.2007 by not keeping the cold storage keys with the Branch Manager, did not furnish chili stock reports on the 3^rd and 20^th of each month, misused Pattadar Passbooks for loan applications, sanctioned twenty ‑ five loans outside the branch’s jurisdiction, and disbursed loans without chili stock.

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The allegations against Accused No.3, Sk. Khadhar Babu, are that he failed to submit chili stock reports on the 3^rd and 20^th of each month, misused Pattadar Passbooks for loan applications, sanctioned twenty ‑ five loans to persons outside the operational area of GDCC Bank Ltd., Gurazala Branch, and disbursed loans without chili stock.

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The allegations against Accused No.4, K. Punna Rao, Chief Manager, GDCC Bank, Gurazala Branch, are that he failed to verify pledged stocks or invoke indemnity clauses, neglected recovery action on borrower defaults, did not ensure custody and accounting of cold storage receipts, and failed to acknowledge the Supervisor’s report dated 10.01.2024 despite receipt and repeated attempts.

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The Petitioners have been working as Manager, Supervisor, and Chief Manager of GDCC Bank, Gurazala, respectively. There is no allegation that any property was entrusted to the Petitioners and misappropriated by them. The allegations pertain only to non ‑ compliance with certain banking norms and irregular sanction of loans. The sanction or grant of loans in favour of particular persons is not within the exclusive discretion of the Petitioners. The Petitioners are permanent residents and employees of GDCC Bank, Gurazala, and there is no apprehension of flight risk or tampering with evidence.

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Having regard to the facts and circumstances of the case, the gravity and nature of the allegations leveled against the Petitioners/Accused Nos.2 to 4, this Court is inclined to grant pre-arrest bail to the Petitioners/Accused Nos.2 to 4, with some stringent conditions.

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In the result, the Criminal Petitions are allowed with the following conditions:

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i. In the event of their arrest, the Petitioners/Accused Nos.2 to 4 shall be enlarged on bail subject to them executing a bond for a sum of Rs.25,000/- (Rupees Twenty Five Thousand only) each with two sureties each for the like sum each to the satisfaction of the arresting police officials;

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ii. The Petitioners/Accused Nos.2 to 4 shall make themselves available for investigation as and when required;

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iii. The Petitioners/Accused Nos.2 to 4 shall not cause any threat, inducement or promise to the prosecution witnesses;

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iv. The Petitioners/Accused Nos.2 to 4 shall appear before the Station House Officer concerned once in a week i.e., on every Saturday between 10.00 a.m. and 5.00 p.m., till filing of the charge sheet.

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v. The Petitioners/Accused Nos.2 to 4 shall not leave the limits of the Andhra Pradesh without the express permission from the Station House Officer concerned.

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vi. The Petitioners/Accused Nos.2 to 4 shall not, directly or indirectly, make any inducement, threat or promise to any person acquainted with the facts of the case so as to dissuade him/her from disclosing such facts to the Court.

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_______________________ DR. Y. LAKSHMANA RAO, J

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Date: 17.07.2026 PRA

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Whether the order is : Speaking Yes/No / Reasoned Yes/No Reportable Yes/No / Non-Reportable Yes/No

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THE HONOURABLE DR JUSTICE Y. LAKSHMANA RAO

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CRIMINAL PETITION Nos: 5656, 5678 & 5680 of 2026