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2025 Supreme(Raj) 1827

IN THE HIGH COURT OF JUDICATURE FOR RAJASTHAN AT JODHPUR 
FARJAND ALI, J.
Firm Kanak Export, Through Proprietor Dheeraj Daga, R/o Parshavnath City - Petitioner
Vs.
State Of Rajasthan, Through Pp - Respondent 
S.B. Criminal Misc(Pet.) No. 449 Of 2025
Decided On : 29-01-2025


Advocates:
Advocate Appeared:
For the Petitioners: Mr. Vijendra
For the Respondents: Mr. N.K. Gurjar, AAG assisted by Mr. Sri Ram Choudhary, AGA Mr. Mayank Khatri

The High Court can quash criminal proceedings post-conviction for compoundable offenses if there is a compromise between the parties, serving the ends of justice.

Headnote:

(A) Negotiable Instruments Act, 1881 - Section 138 - Code of Criminal Procedure, 1973 - Section 482 - Petitioner convicted of cheque dishonor, sentenced to six months imprisonment and fine - Appeal dismissed - Misc. Petition filed for setting aside conviction based on compromise - Court finds the offense compoundable and allows the petition in light of compromise, subject to conditions - The inherent powers of the High Court allow quashing of proceedings post-conviction if it serves justice. (Paras 1, 5, 6, 7, 9)

(B) Compounding of Offenses - The court emphasizes that certain offenses, particularly those of a private nature, may be quashed if the parties have settled their disputes, as continuing proceedings would cause injustice. (Paras 5, 6)

(C) Judicial Economy - The court acknowledges the burden on the judicial system due to unresolved disputes and the importance of amicable settlements. (Paras 3, 6)

Order :

FARJAND ALI, J.

1. The petitioner was tried for committing an offence under Section 138 of the NI Act Act and vide judgment dated 16.06.2023 passed by the learned Special Magistrate (NI Act Cases) No.9, Jodhpur Metropolitan in Criminal Regular Case No.43/2019. He was sentenced to suffer six months simple imprisonment along with a fine of Rs.8,93,848/-. The appeal preferred by him bearing Appeal No.37/2023 has also been dismissed by the learned Additional Sessions Judge No.1, Jodhpur Metropolitan vide judgment dated 26.11.2024.

2. The legal and factual aspects of the matter have thoroughly been considered. Now, the instant Misc. Petition has been preferred seeking setting aside of the judgment of conviction and order of sentence passed by the trial Court affirmed by the Court of appeal on the ground of compromise. A copy of compromise and the affidavit of complainant Daulat Jain S/o Champa Lal Jain duly notorised is filed and annexed with the petition.

3. Since the matter relates to an offence under Section 138 of NI Act and it’s a dispute inter-se between the parties which does not effect the societal interest, maintaining peace and tranquility and the offence is compoundable one, therefore, the instant Misc. Petition can be allowed in light of the compromise. When an objection was raised by the learned Public Prosecutor that the parties had an occasion to resolve the dispute at the first occasion when the cheque was dishonoured and then when the notices were served and when cognizance was taken by the Court but the legal remedy was not availed of rather, their battle had consumed the energy of judicial officers and employees working in there so also the police officers to serve notices upon the parties and, therefore, the parties cannot be allowed to compound the offence at this belated stage when the conviction has been affirmed by the Court of appeal.

4. At this juncture, the learned counsel for the petitioner concedes that of course, the judicial machinery was set in motion because of the act of the petitioner and he did not avail the several opportunities provided to him to resolve the matter amicably and which certainly cause inconvenience to the other party as well as to the judicial machinery. He is ready and wiling to pay the cost of proceedings for the inconvenience caused.

5. Upon thorough consideration of the facts and circumstances of the case, this Court observes that the matter pertains to a bailable and compoundable offense. The parties have reached a compromise, and there exists no legal impediment to quashing the proceedings at this stage. In the landmark judgment of Gian Singh v. State of Punjab reported in (2012) 10 SCC 303, Hon’ble the Supreme Court elucidated that:

“57. The position that emerges from the above discussion can be summarised thus: the power of the High Court in quashing a criminal proceeding or FIR or complaint in exercise of its inherent jurisdiction is distinct and different from the power given to a criminal court for compounding the offences Under Section 320 of the Code. Inherent power is of wide plenitude with no statutory limitation but it has to be exercised in accord with the guideline engrafted in such power viz; (i) to secure the ends of justice or (ii) to prevent abuse of the process of any Court. In what cases power to quash the criminal proceeding or complaint or F.I.R may be exercised where the offender and victim have settled their dispute would depend on the facts and circumstances of each case and no category can be prescribed. However, before exercise of such power, the High Court must have due regard to the nature and gravity of the crime. Heinous and serious offences of mental depravity or offences like murder, rape, dacoity, etc. cannot be fittingly quashed even though the victim or victim's family and the offender have settled the dispute. Such offences are not private in nature and have serious impact on society. Similarly, any compromise between the victim and offe

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