The petition against Vijaywargiya, filed by defeated Congress leader Antar Singh Darbar was dismissed by the bench of Justice Alok Varma.
The court had reserved its judgement in September after completing hearing in the case.
Darbar had alleged in his petition that Vijaywargiya had violated the Model Code of Conduct and therefore, his election should be declared null and void.
The Congress leader had alleged in his petition that Vijayawargiya had distributed cash to lure women voters and also gave medals and trophy during the Moharram procession.
The opponents failed to prove charges against Vijaywargiya despite the hearing taking place in the matter on nearly 100 dates, his lawyer Shekhar Bhargava said.
Vijaywargiya had defeated Darbar with a margin of 12,216 votes in 2013 Assembly polls in Madhya Pradesh.
The BJP leader won the election for the sixth consecutive term from the different seats of Vidhan Sabha in Indore district.
In 2008 assembly polls also, Vijaywargiya had defeated Darbar by a margin of 9,791 votes.
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