Patnala Naresh Kumar & Ors vs State Of Andhra Pradesh & Ors

A. Hari Haranadha Sarma, J

This Criminal Petition has been filed by the petitioners/Accused Nos.2 and 6 under Section 482 of the Bharatiya Nagarik Suraksha Sanhita, 2023, for grant of pre-arrest Bail in Cr.No. 94 of 2026 on the file of Kancharapalem Police Station registered against the petitioners for the offences punishable under Sections 318(4) read with 3(5) of the Bharatiya Nyaya Sanhitha, 2023 (for short "BNS")and Sections 21(1), (2), (3) of the Banning of Unregulated Deposit Schemes Act, 2019.

Heard Sri Perla Nookaraju, learned counsel for the petitioners and Sri K. Sandeep, learned Assistant Public Prosecutor representing the respondent/State.

The petitioners/A2 and A6 prayed for grant of pre-arrest bail contending that their invovlvement in the case is false and they are innocent.

The case of the prosecution in brief is that, it is a case of huge financial fraud involving Rs.15 Crores collected from various depositors by way of unregulated deposit schemes, as deposit chits, Pappulu Chits, Dasara Schemes, Varalakshmi Schems, Gold Schemes, Chrismas Schems, Sankranthi Schems, Kirana Item Deposit Schemes and monthly draw deposits and the matter is under investigation.

The learned Assistant Public Prosecutor submitted that the matter is at preliminary stage of investigation. Various chits are valued from Rs.1 lakh to 50 lakhs collected from gullible masses who got attracted to deposit the amounts. Since the matter is at preliminary stage of investigation, the application for grant of pre-arrest bail deserves to be dismissed.

Earlier, the application filed by the petitioners in Crl.M.P. No. 437 of 2026 before the Special Judge for Trial of Cases under the Banning of Unregulated Deposit Schemes Act, 2019-cum-Principal Sessions Judge, Visakhapatnam, was dismissed by order dated 11.05.2026 insofar as the present petitioners are concerned, while the same was allowed in respect of Accused Nos. 2, 4, and 5. Referring to the said order, the learned Assistant Public Prosecutor submitted that there has been no change in circumstances since the dismissal of the earlier application on 11.05.2026 and that no new grounds or additional merits have been placed before this Court for consideration. He further submitted that the learned Special Judge, while considering the contention of the present petitioners regarding the involvement of the other accused, had passed a reasoned order rejecting their prayer for grant of pre-arrest bail.

It is further submitted by the prosecution that Accused Nos. 1 and 2 had issued cheques to certain depositors and that the investigation is still in progress with regard to the extent of additional funds allegedly misappropriated and the availability of the amounts involved. It is also contended that further examination of witnesses is necessary and that, so far, only five witnesses have been examined.

Upon considering the nature and depth of the allegations, and since substantial financial implications are involved in the case, and in the absence of any specific change in circumstances since the dismissal of the earlier application, this Court finds that the prayer of the petitioners for grant of pre- arrest bail at this stage deserves to be rejected.

Accordingly, the Criminal Petition is dismissed.

As a sequel, miscellaneous petitions pending, if any, shall stand closed.