The petitioner, S. Samraj, proprietor of M/s. Swastik Enterprises, was arrayed as Accused No. 2 in a CBI case (C.C. No. 17 of 2014) before the XI Additional City Civil and Sessions Court for CBI Cases, Chennai, charged with criminal conspiracy, cheating, forgery, and offences under the Prevention of Corruption Act, 1988, arising from alleged fraudulent availment of credit limits and diversion of funds from Canara Bank. After the bank initiated SARFAESI proceedings and the Debts Recovery Tribunal allowed the bank's application, the petitioner entered into a One-Time Settlement (OTS) of Rs. 1.20 crores with the bank, paid the full amount on 26.12.2023, and was issued a No Due Certificate on 12.02.2024. The petitioner filed a Criminal Original Petition under Section 528 of the Bharatiya Nagarik Suraksha Sanhita, 2023, before the Madras High Court seeking quashing of the criminal proceedings on the ground that the dispute had been fully settled between him and the bank. The petitioner relied on several Supreme Court precedents holding that when a loan dispute is comprehensively settled between a borrower and a bank through OTS and the loan account is closed, continuation of criminal proceedings is not justifiable and the possibility of conviction becomes remote. The court considered these precedents and the fact of the settlement, including the issuance of the No Due Certificate and closure of DRT proceedings.