We present near-infrared and optical observations of moderately fast FeII-class Nova Scuti 2009 (V496 Sct) covering various phases; pre-maximum, early decline and nebular, during the first 10 months after its discovery followed by limited observations up to 2011 April. In the initial phase the nova spectra show prominent P Cygni profiles and later all the lines are seen in emission. The notable feature of the near-IR spec- tra in the early decline phase is the rare presence of the first overtone bands of carbon monoxide (CO) in emission. The IR spectra show clear dust formation in the expand- ing ejecta at later phase about 150 days after the peak brightness. The presence of lines of elements with low ionization potentials like Na and Mg in the early IR spectra and the detection of CO bands in emission and the dust formation in V496 Sct represents a complete expected sequence in the dust formation in nova ejecta. The light curve shows a slow rise to the maximum and a slow decline indicating a prolonged mass loss. This is corroborated by the strengthening of P Cygni profiles during the first 30 days. The broad and single absorption components seen in many lines in the optical spectra at the time of discovery are replaced by two sharper components in the spectra taken close to the optical maximum brightness. These sharp dips seen in the P Cygni absorption components of Fe II and H I lines during the early decline phase show increasing outflow velocities. The onset of the nebular phase is evident from the optical spectra in 2010 March. During the nebular phase, several emission lines display saddle-like profiles. In the nebular stage, the observed fluxes of [O III] and H lines are used to estimate the electron number densities and the mass of the ejecta. The optical spectra show that the nova is evolved in the P_fe A_o spectral sequence.