The observation was made by Justice Harun Al Rashid while considering petitions filed by the two accused, seeking to quash the cases against them in the scam. They contended that they were settling the matter out of court.
Earlier, they had approached the court to quash cases registered against them by Ernakulam Town police station on the ground that amounts payable to the victims have been settled out of court.
They were arrested this year and are currently in jail.
The case took a political turn after the names of some personal staff of Chief Minister Oommen Chandy cropped up following which the opposition LDF has been demanding Chandy's resignation.