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AMIT MAHAJAN
Ashok Kumar – Appellant
Versus
State – Respondent
JUDGMENT
The present petitions are filed under Section 482 of the Code of Criminal Procedure, 1973 (CrPC) seeking setting aside of common order dated 21.02.2019 (hereafter ‘impugned order’), passed by the learned Trial Court in Complaint Case Nos. 617263/2016 and 617264/2016 respectively.
Brief Facts
2. The learned Trial Court, by the impugned order, had directed the trial to proceed on merits. The petitioner is essentially aggrieved by the continuation of proceedings under the Negotiable Instruments Act, 1881 (‘NI Act’), since, according to the petitioner, the parties had settled their disputes before the Mediation Centre and the petitioner, pursuant to the settlement, had also paid the agreed amount to the Respondent No.2/complainant.
3. Respondent No.2 filed the Complaint Case Nos.617263/2016 and 617264/2016 on 08.05.2015 against the petitioner and certain other accused persons, under Sections 138/141/142 of NI Act.
4. The Complaint Case No. 617263/2016 was filed with respect to cheque bearing No. 381857 dated 05.02.2015 for an amount of Rs.20,00,000/- and cheque bearing No. 335813 dated 05.01.2015 for an amount of Rs.30,00,000. The cheques got dishonoured 07.03.2015.
5. The Com
Dishonour of cheques – After settlement between parties continuation of proceedings under N.I. Act would be abuse of process of Court.
Point of Law : Offences by companies - Cheque dishonoured - Mediation settlement - It is settled law and even otherwise settlement of Mediation Cell is deemed to be a decree and cannot be challenged.
Mediated settlements in criminal cases must receive judicial endorsement to be enforceable; otherwise, they remain private agreements with no legal effect. Breaches do not invalidate the original agr....
(1) Dishonour of cheque – Once a settlement agreement has been entered into by parties, proceedings in original complaint cannot be sustained and a fresh cause of action accrues to complainant under ....
A civil settlement does not discharge criminal liability under Section 138 unless the settlement terms are fulfilled; prosecution may continue if conditions remain unmet.
A power of attorney holder can file a complaint under Section 138 of the N.I. Act provided they assert personal knowledge; however, enforcing a compromise via criminal proceedings is not permitted.
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