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2025 Supreme(SC) 1457
SUPREME COURT OF INDIA
PANKAJ MITHAL AND AHSANUDDIN AMANULLAH, JJ.
Rajinder Singh - Appellant
Versus
Krishan Dutt - Respondent
Criminal Appeal No.73 of 2025 (Arising out of SLP(Crl.) No.255 of 2025) (@ Diary No. 41934 of 2024)
Decided on : 06-01-2025
Headnote:(A) Negotiable Instruments Act, 1881 - Section 138 - Dishonor of cheque - Conviction and sentencing by Additional Chief Judicial Magistrate - Compromise between parties after conviction resulting in the setting aside of the judgment - The appellant sought to set aside the conviction based on a compromise where the respondent agreed to have no objections if the conviction was set aside. (Paras 1-4)
(B) Compromise in criminal matters - A compromise can be valid in cases of offenses under Section 138 if agreed by both parties, particularly when the complainant has received the amount due. (Para 1)
Facts of the case:
The appellant was convicted for dishonoring a cheque of Rs. 2,00,000/- and sentenced to one year imprisonment with a compensation order of Rs. 4,00,000/-. The parties later reached a compromise providing for payment to the complainant and seeking the setting aside of the conviction.
Findings of Court:
The court acknowledged the compromise agreement and set aside the previous judgment of conviction and sentence.
Issues: The main issue was whether the judgment of conviction could be set aside based on the compromise between the parties.
Ratio Decidendi: The court emphasized that finality of a conviction can be revisited upon the agreement of both parties in criminal matters under Section 138, provided consideration is fulfilled.
Result: The appeal is allowed and the conviction is set aside.
| Table of Content |
|---|
| 1. dishonor of cheque and conviction details. (Para 1 , 2) |
| 2. submission for setting aside judgment. (Para 3) |
| 3. court's decision to set aside conviction. (Para 4) |
| 4. disposition of funds and final order. (Para 5 , 6 , 7) |
ORDER :
1. Delay condoned. Leave granted. Heard learned counsel for the appellant. On account of dishonor of cheque of Rs. 2,00,000/-(Rupees two lakh), proceedings under Section 138 of the Negotiable Instruments Act, 1881 were drawn against the appellant. The Additional Chief Judicial Magistrate vide its order dated 28.12.2021 convicted the appellant and sentenced him to undergo one year simple imprisonment and directed him to pay compensation of Rs. 4,00,000/-(Rupees four lakh). After the aforesaid judgment and order has attained finality, it appears that the parties entered into a compromise on 27.05.2024 whereunder the appellant undertook to pay a sum of Rs.4,00,000/-(Rupees four lakh), out of which Rs.2,00,000/-(Rupees two lakh) was deposited before the Trial Court and a sum of Rs.2,00,000/-(Rupees two lakh) was paid in cash to the first party on the date of the Compromise Deed itself. It was also agreed in the compromise that the first party will have no objection if the judgment of conviction and order of sentence against the appellant is set aside.
2. In pursuance to the aforesaid compromise, the amount of Rs.2,00,000/- (Rupees two lakh) deposited by the appellant before the Trial Court is said to have been released in favour of the first party and the balance amount of Rs. 2,00,000/-(Rupees two lakh) has also been paid.
3. Accordingly, the submission is that the judgment of conviction and order of sentence be set aside, as agreed between the parties.
4. In the facts and circumstances of the case, on the appellant's offering to deposit a further sum of Rs. 1,00,000/-(Rupees one lakh) before the Registry of this Court within a period of four weeks, the judgment of conviction and order of sentence passed on 28.12.2021 by the Additional Chief Judicial Magistrate, Theog, Shimla, Himachal Pradesh is hereby set aside.
5. Out of the amount so deposited, Rs. 50,000/-(Rupees fifty thousand) shall be released in favour of the Advocates' Welfare Fund and the remaining Rs.50,000/-(Rupees fifty thousand) to the Supreme Court Advocates-on-Record Association.
6. The present appeal is allowed in the above terms.
7. Pending application(s), if any, shall stand disposed of.
