IN THE HIGH COURT AT CALCUTTA
Siddhartha Roy Chowdhury, J.
Arun Kumar Jhajharia - Appellant
Versus
State Of West Bengal & Ors. - Respondents
Criminal Revision No. 908 of 2009
Decided On : 12-12-2022
N.I. Act - Dishonour of Cheque - Section 138 - 138 - Summary
Fact of the Case:
The petitioner filed a complaint against the accused under Section 138 of the N.I. Act for dishonour of a cheque. The Trial Court convicted the accused and imposed a sentence of simple imprisonment and compensation. The petitioner sought enhancement of the sentence.
Finding of the Court:
The Court found that the sentence imposed by the Trial Court was inadequate and showed misplaced sympathy to the accused. The Court enhanced the compensation amount and directed the accused to pay within thirty days, failing which he would have to serve imprisonment.
Issues: The issues involved the adequacy of the sentence imposed by the Trial Court and the petitioner's request for enhancement of the compensation amount.
Ratio Decidendi: The Court held that the offence under Section 138 of the N.I. Act is primarily a civil wrong, and the object of the provision is compensatory. The Court also emphasized the need to enforce orders to pay compensation by imposing a sentence in default.
Final Decision: The criminal revision was disposed of, and the Court directed the accused to pay an enhanced compensation amount within thirty days, failing which he would have to serve imprisonment for a period of thirty days.
JUDGMENT
Siddhartha Roy Chowdhury, J. - The petitioner before this Court filed a petition of complaint against Raju Raheman under Section 138 of the N.I. Act alleging inter alia that Raju Raheman in discharge of his liability and to pay debt, issued an account payee cheque of Rs. 24,000/- vide no. 855091 dated 22nd September, 2006 drawn on Syndicate Bank, Dharmotala Branch in favour of the complainant which was presented and dishonoured for insufficient fund. Demand notice was sent to the accused person in terms of statutory provision but it was not adhered to. Learned Trial Court after considering the evidence on record both oral and documentary was pleased to hold the accused person liable to be convicted under Section 138 of the N.I. Act and sentenced him to suffer simple imprisonment till rising of the Court and directed the convict to pay a sum of Rs. 28,000/- in three installments as compensation. The complainant felt aggrieved by the said order of learned Trial Court which according to complainant was inadequate and contrary to the intention of the legislature. Hence filing the criminal revision the complainant is seeking enhancement of sentence.
2. Assailing the impugned order of learned Trial Court Mr. Pawan Kumar Gupta, learned Advocate for the petitioner submits that admittedly in discharge of his liability the Opposite Party Raju Raheman issued a cheque and he has found guilty by the learned Trial Court for committing an offence under Section 138 of the N.I. Act. He did not prefer any appeal rather accepted the verdict of learned Trial Court but learned Trial Court did not pass a sentence which is condign. Therefore, the impugned order of sentence should be altered.
3. To buttress his argument Mr. Gupta relies upon a judgement of Hon'ble Supreme Court pronounced in the case of Suganthi Suresh Kumar vs. Jagdeeshan reported in 2002 (10) SCR 269. According to Mr. Gupta learned Trial Court committed grave error by imposing flee bite sentence which does not give proper effect to the object of legislation. No drawer of the cheque should be allowed to take dishonour of the cheque issued by him light heartedly. The very object of enactment of provision like Section 138 of the Act would stand defeated if the sentence imposed by the learned Trial Court remains unaltered particularly when the cheque amount was not paid by the Opposite Party even during the pendency of the proceeding before the learned Trial Court.
4. Refuting such contention of Mr. Gupta, Mr. Swarup Banerjee, learned Counsel representing the Opposite Party No. 2 submits that the Opposite Party is a poor business man who does not have the means to fight the unequal duel with Arun Kumar Jhajharia, the petitioner before this Court. The Opposite Party Raju Raheman did not have the means to pay Rs. 24,000/- in one go and considering his financial capability learned Trial Court was kind enough to grant installment to pay the compensation. According to Mr. Banerjee the Opposite Party paid a sum of Rs. 28,000/- in compliance with the direction of learned Trial Court which has been withdrawn by the petitioner. Therefore, he is estopped from challenging the order of sentence passed by learned Trial Court. It is further adverted by Mr. Banerjee that enhancement of sentence can be considered in a proceeding under Section 386 of the Criminal Procedure Code in an appeal or under proviso to Section 372 of the Criminal Procedure Code. Revisional application cannot be entertained at the instance of victim or the complainant as the case may be, shall be relegated to prefer the appeal. To buttress his submission Mr. Banerjee relied upon a judgement of Hon'ble Supreme Court (unreported) pronounced in Criminal Appeal No. 90-93 of 2022, Joseph Stephen & Ors. vs. Santhanasamy & Ors. According to Mr. Banerjee the proceeding pending before this Court is not maintainable.
5. I have perused the judgement in Joseph Stephen (supra) Hon'ble Supreme Court in the said proceeding decided the foll
Hari Singh & Anr. vs. Sukhbir Singh & Ors. reported in AIR 1988 SC 2122
The offence under Section 138 of the N.I. Act is primarily a civil wrong, and the object of the provision is compensatory. Courts may enforce orders to pay compensation by imposing a sentence in defa....
Dishonour of cheque – When part payment has been made after debt was incurred and before cheque was encashed, entire cheque amount cannot be said to be legally enforceable debt.
The compensatory nature of the offense under Section 138 of the NI Act and the legislative intent to deter dishonour of cheques influenced the court's decision in setting aside the additional fine im....
The main legal point established in the judgment is that in cases of conviction under Section 138 of the Negotiable Instruments Act, unless there are special circumstances, fine up to twice the chequ....
(1) Reasons – Reasons are obvious inasmuch as if a cheque gets dishonored, the payee will suffer hardship in meeting his financial commitments. (2) Object and Reasons – The prime object of enacting t....
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.