IMPORTANT POINT
Offence under Section 138, N.I. Act must be compounded in case of compromise between parties.

H.R. Panwar, J.—By the instant criminal revision petition, the Judge and order dated 19.9.2008 passed by Additional Sessions Judge, Sri Karanpur (for short “the Appellate Court”) has been challenged by the petitioner.

2. I have heard learned counsel for the parties.

3. It appears that on a complaint filed by respondents Nos. 2 and 3 under Section 138 of the Negotiable Instruments Act, 1881 (for short “the Act of 1881”) before the Additional Chief Judicial Magistrate, Sri Karanpur (for short “the Trial Court”) being criminal case No. 631 of 2004, the trial was proceeded and by order dated 9.2.2007, the Trial Court convicted and sentenced the accused-petitioner. Against which, an appeal was filed by the petitioner. The appeal came to be dismissed by the Appellate Court vide judgment and order dated 19.9.2008. However, during the pendency of the revision the accused/petitioner and respondents Nos. 2 and 3 have entered into a compromise and they have filed a compromise compounding the offence punishable under Section 138 of the Act.

4. The offence punishable under Section 138 is compoundable under Section 147 of the NI Act, which provides that notwithstanding anything contained in Code of Criminal Procedure, 1973 (2 of 1974), every offence punishable under this Act shall be compoundable. Sub-section (5) of Section 320 of the Code of Criminal Procedure, 1973 (for short, “the Code”) provides that when the accused has been committed for trial or when he has been convicted and an appeal is pending, no composition for the offence shall be allowed without the leave of the Court to which he is committed, or, as the case may be, before which the appeal is to be heard. Sub-section (6) of Section 320 of the Code provides that a High Court or Court of Session acting in the exercise of its powers of revision under Section 401 may allow any person to compound any offence which such person is competent to compound under this Section. Sub-section (8) of Section 320 of the Code provides that the composition of an offence under this Section shall have the effect of an acquittal of the accused with whom the offence has been compounded.

5. In the instant case, the complainant-respondents Nos. 2 and 3 are persons competent to compound the offence and they have compounded the offence. The compromise compounding the offence as placed on recorded being Criminal Miscellaneous Application No.1538 of 2009. In the circumstances, therefore, the application filed by the complainant/respondents seeking compounding the offence is allowed and they are allowed to compound the offence under Section 138 of the Act.

6. Consequently, the criminal revision petition is allowed. The judgment and order dated 9.2.2007 passed by Additional Chief Judicial Magistrate, Sri Karanpur, District Sri Ganganagar in criminal case No. 631 of 2004 as affirmed by Additional Sessions Judge, Sri Karanpur, District Sri Ganganagar in criminal appeal No. 2 of 2007 vide judgment and order dated 19.9.2008 are hereby set aside. The petitioner Sardul Singh s/o Harnek Singh is acquitted of the offence under Section 138 of the Negotiable Instruments Act, 1881. By order dated 22.5.2009, the bail bonds of the petitioner were forfeited an the Trial Court was directed to issue arrest warrant and send the petitioner jail for serving of the awarded sentences but due to the compromise, the petitioner has not been arrested and therefore, now he need not to be arrested or surrender for in this case.

Petition allowed.

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