IN THE HIGH COURT OF GUJARAT AT AHMEDABAD
S.V. Pinto, J.
Kunal Kiritbhai Patel – Applicant
Versus
State Of Gujarat & Anr. – Respondents
R/Criminal Misc.Application (For Leave To Appeal) No. 19870 of 2025 In F/Criminal Appeal No. 37963 of 2025
Decided On : 26-09-2025
| Table of Content |
|---|
| 1. overview of application seeking leave to appeal. (Para 1 , 2) |
| 2. arguments regarding consent for compounding under ni act. (Para 3 , 4 , 5) |
| 3. court's observations on the proceedings and case facts. (Para 6 , 8) |
| 4. guidelines for compounding and expediting cheque bounce cases. (Para 7) |
| 5. rejection of the application for leave to appeal. (Para 9) |
ORDER :
S.V. Pinto, J.
1. The applicant has filed the present application seeking leave to appeal under Section 419(4) of the Bhartiya Nagarik Suraksha Sanhita, 2023 (for short “BNSS”) against the judgment and order passed by the learned Additional Sessions Judge, Vadodara in Criminal Appeal No. 578 of 2024, whereby, the learned Sessions Judge, Junagadh has set aside the allowed the appeal of the respondent No. 2 and remanded the matter back to the leaned Trial Court.
2. The brief facts of the present appeal are as under;-
2.1 The applicant and the respondent No. 2 were known to each other and the respondent No. 2 was in need of some finance to start business of sand and requested for loan of Rs.15,00,000/- from the applicant. The applicant gave an amount of Rs.9,00,000/- by transfer in the account of the accused and an amount of Rs.6,00,000/- in cash in parts and in all an amount of Rs.15,00,000/-was given. The respondent No. 2 returned an amount of Rs.3,00,000/- and towards the outstanding amount of Rs.12,00,000/- issued cheque No. “039591’ dated 15-11-2022 from his account with IDBI Bank Bodeli Branch. The cheque was deposited by the applicant in his account with the Kalupur Commercial Cooperative Bank Limited Manjalpur branch but the cheque returned unpaid with the endorsement “Funds Insufficient”. The demand statutory notice was given, which was refused by the respondent No. 2 and the amount was not paid within the stipulated period and hence the applicant filed a criminal complaint under Section 138 of the Negotiable Instruments Act,1881 before the Court of the Chief Judicial Magistrate, Vadodara which came to be registered as Criminal Case No. 1453 of 2023. The learned Trial Court took cognizance of the offence and issued summons to the respondent No. 2 and after the respondent No. 2 appeared, his plea was recorded at Exh. 7. The applicant filed his affidavit of examination- in-chief at Exh. 4 and produced seven documentary evidences in support of his case. The respondent No. 2 did not appear to cross-examine the applicant and the evidence produced by the applicant remained unchallenged and warrants were issued to the respondent No. 2, which could not be served. The further statement of the respondent No. 2 under Section 313 of the Code of Criminal Procedure, 1973 was not recorded and the learned Trial Court closed the stage of cross-examination as well as the stage of recording of 313 of the Cr.P.C. of the respondent No. 2 and in the absence of the respondent No. 2, was pleased to pass a judgment in order of conviction and sentenced the respondent No. 2 to simple imprisonment of 6 months and ordered the respondent No. 2 to pay an amount of Rs.11,50,000/- as compensation to the applicant within a period of 1 month and fine of Rs.10,000/- and in default, simple imprisonment for one and a half months. The learned Trial Court was pleased to issue a non-bailable warrant against the respondent No. 2 for execution of the sentence.
2.2 Being aggrieved and dissatisfied with the said judgment and order of conviction, the respondent No. 2 filed Criminal Appeal No. 578 of 2022 before the Sessions Court, Vadodara and after hearing the learned advocates for the parties, the learned Trial Court was pleased to quash and set aside the judgment and order of conviction passed by the learned Trial Court and discharge the respondent No. 2 from the charges levelled against him under Section 138 of the Negotiable Instruments Act.
2.3. Being aggrieved and dissatisfied with the said judgment and order of acquittal, the applicant has filed a present application seeking leave to appeal mainly st
Consent of the complainant is necessary for quashing conviction under Section 138 of the Negotiable Instruments Act, reaffirming its quasi-criminal nature and the court's duty to uphold procedural le....
(1) Dishonour of cheque – Any violation of Section 269SS of Income Tax Act, 1961 would not render transaction unenforceable under Section 138 of NI Act.(2) Dishonour of cheque – When statutory notice....
Protracted delay in complaints under Section 138 of the N.I. Act constitutes abuse of process, violating the right to a speedy trial.
Generally the powers available under Section 482 of the Code would not have been exercised when a statutory remedy under the law is available, however considering the peculiar set of facts and circum....
(1) Offence of dishonour of cheque is fully compoundable.(2) Generally, powers available under Section 482 of Cr.P.C. would not be exercised when a statutory remedy under law is available.
Point of law: Dishonour of Cheque – Compounding of offence on payment
The compounding of the offence under Section 138 N.I. Act is permissible without the consent of the complainant if the accused has been duly compensated, and the Court can use its inherent powers und....
The main legal point established in the judgment is that the accused's failure to adhere to the terms of settlement amounted to playing fraud on the Court, leading to the unravelling of the settlemen....
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.