IN THE HIGH COURT OF RAJASTHAN
Sanjeev Prakash Sharma, J.
Solar4max Com - Appellant
Versus
Oxide Power Product Pvt Ltd. - Respondent
Criminal Miscellaneous (Petition) No. 6765 of 2019
Decided On : 31-01-2020
NEGOTIABLE INSTRUMENTS ACT - SECTION 143A, 148 - EXTENSION OF TIME FOR DEPOSIT OF INTERIM COMPENSATION - COURT'S POWER TO EXTEND TIME - INTERPRETATION OF STATUTORY PROVISIONS.
Fact of the Case:
Petitioner sought extension of time to deposit 20% of the amount as per Section 148 of the Negotiable Instruments Act, 2018. The trial court rejected the application, and the appellate court upheld the decision. The petitioner challenged the appellate court's order.
Finding of the Court:
The court held that the provisions of Sections 143A and 148 of the Negotiable Instruments Act are directory and not mandatory. The court has the power to extend the time for depositing the interim compensation beyond the prescribed period of 60 days, provided that the purpose of the amendment, which is to grant relief to the aggrieved party, is served.
Issues: Whether the provisions of Sections 143A and 148 of the Negotiable Instruments Act are mandatory or directory.
Ratio Decidendi: The court relied on various Supreme Court judgments to interpret the provisions of Sections 143A and 148 of the Negotiable Instruments Act. The court held that the use of the word "shall" in these provisions does not necessarily make them mandatory. The court also considered the purpose of the amendment, which is to grant relief to the aggrieved party, and held that a strict interpretation of the provisions would defeat this purpose.
Final Decision: The court set aside the appellate court's order and directed the trial court to allow the petitioner to deposit the amount within 15 days from the date of receipt of the certified copy of the order. The court also directed that no coercive steps be taken against the petitioner if he deposits the amount.
JUDGMENT
Sanjeev Prakash Sharma, J. - The petitioner has preferred this petition against the order passed by the court below rejecting the application for extension of time for depositing 20 % amount as per Section 148 of the Negotiable Instruments Act(amended), 2018.
2. Learned counsel submits that the petitioner was asked to deposit 20% of the amount within two months vide order dated 8th May, 2019. However, the petitioner met with an accident and therefore, he could not comply with the order dated 8th May, 2019 and presented on 17.9.2019 himself before the court alongwith a draft of amount of 20% i.e. Rs.2,80,000/-(Rupees Two Lacs Eighty Thousand only). However, the court refused to accept the draft and directed him to deposited the amount in cash and listed the case on 23rd September, 2019. The petitioner brought the amount in cash on the date fixed but it was refused by the concerned court on the ground that the period prescribed in the limitation act has expired and observed that only the appellate court can extend the time. He therefore, filed an appeal for seeking extension of time which was rejected by the Additional Session Judge NO.2, Alwar vide order dated 24.9.2019 on the ground that the period provided u/s 148, after the amendment made in 2018 is 60 days can be extended by another 30 days and as 90 days period expired on 8.8.2019, therefore, time cannot be granted.
3. Learned counsel relies on the judgment passed by the High court of Punjab & Haryana at Chandigarh in the case of Baljinder Singh Vs. Harpinder Kaur (CRM-M-54105-2019)dated 10.1.2020 wherein 60 days time was further granted by the court in exercise of power under Section 482 Cr.P.C.
4. I have considered the submissions.
5. Section 148 was inserted vide amendment dated 16.8.2018 that apart Section 143A was also inserted by aforesaid Amendment Act. For the disposal of the case. It would be appropriate to quote the provisions of Section 143A & 148 which read as under:
2. Insertion of new section 143A. . In the Negotiable Instruments Act, 1881 (hereinafter referred to as the principal Act), after section 143, the following section shall be inserted, namely:- 143A. Power to direct interim compensation. (1) Notwithstanding anything contained in the Code of Criminal Procedure, 1973, the Court trying an offence under section 138 may order the drawer of the cheque to pay interim compensation to the complainant-
(a) in a summary trial or a summons case, where he pleads not guilty to the accusation made in the complaint; and
(b) in any other case, upon framing of charge.
(2) The interim compensation under sub-section (1) shall not exceed twenty per cent. of the amount of the cheque.
(3) The interim compensation shall be paid within sixty days from the date of the order under sub-section (1), or within such further period not exceeding thirty days as may be directed by the Court on sufficient cause being shown by the drawer of the cheque.
(4) If the drawer of the cheque is acquitted, the Court shall direct the complainant to repay to the drawer the amount of interim compensation, with interest at the bank rate as published by the Reserve Bank of India, prevalent at the beginning of the relevant financial year, within sixty days from the date of the order, or within such further period not exceeding thirty days as may be directed by the Court on sufficient cause being shown by the complainant.
(5) The interim compensation payable under this section may be recovered as if it were a fine under section 421 of the Code of Criminal Procedure, 1973.
(6) The amount of fine imposed under section 138 or the amount of compensation awarded under section 357 of the Code of Criminal Procedure, 1973, shall be reduced by the amount paid or recovered as interim compensation under this section.''.
3. Insertion of new section 148. In the principal Act, after section 147, the following section shall be inserted, namely:-
148. Power of Appellate Court to order payment pending appeal
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