Vijaywargiya was a minister in the previous Shivraj Singh Chouhan government.
Judge D N Mishra cited probe report of Lokayukta Police and statements of witnesses while stating that at this stage no case can be made out against Vijaywargiya.
Complainant Suresh Seth, a veteran Congress leader, had opposed the clean chit given to Vijaywargiya by the Lokayukta Police in the alleged scam related to allotment of three acres of prime land in Pardeshipura area here to Nandanagar Credit Cooperative Society.
The initial complaint was filed by Seth in 2010, following which the court ordered the Lokayukta Police to probe the matter. Afterwards, police filed a chargesheet against Mendola and 17 others, but not Vijaywargiya.
According to Lokayukta Police, the transfer of land to the society caused a loss of Rs 1.58 crore to the exchequer.