Judicial Magistrate of Utraula, Rakesh Singh yesterday rejected the application moved by police on the ground that wrong sections were invoked in the case.
An FIR was registered against Beni at Sahdullah Nagar police station on April 7 for calling Modi the biggest "gunda" (goon) of RSS.
The case was lodged by incharge of the flying squad Radhey Shyam.