IN THE HIGH COURT OF HIMACHAL PRADESH AT SHIMLA
VIRENDER SINGH, J.
Bal Krishan Thakur - Appellant
Versus
Aseem Trading Company - Respondent
Cr. MMO No. 677 of 2024
Decided On : 13-05-2025
(A) Negotiable Instruments Act - Section 138 - Revision petition against conviction and sentence - Petitioner convicted for dishonor of cheque, sentenced to one year imprisonment and compensation - Appeal dismissed by Appellate Court - Matter settled between parties during revision, allowing compounding of offence - Judgment of conviction set aside, petitioner acquitted subject to compounding fee. (Paras 3, 16, 17)
(B) Compounding of Offences - Parties permitted to compound the offence under Section 138 NI Act, reflecting the principle that disputes arising from dishonored cheques can be amicably resolved. (Paras 15, 16)
Facts of the case:
The petitioner was convicted for the offence under Section 138 of the NI Act, sentenced to one year imprisonment and ordered to pay compensation. The appeal against this conviction was dismissed, but the parties later settled the matter, leading to the present revision petition. (Paras 3, 4, 10)
Findings of Court:
The court allowed the compounding of the offence based on the settlement between the parties and set aside the previous conviction and sentence. (Paras 15, 16)
Issues: The main issue was whether the offence under Section 138 NI Act could be compounded after conviction. (Paras 15, 16)
Ratio Decidendi: The court held that since the parties had settled their dispute, the conviction could be set aside, emphasizing the permissibility of compounding under the NI Act. (Paras 15, 16)
Result: Petition allowed, judgment of conviction set aside, petitioner acquitted.
JUDGMENT :
Virender Singh, J.
1. Petitioner-Bal Krishan Thakur has filed the present revision petition against the judgment dated 12.09.2024, passed by learned Sessions Judge, Shimla District Shimla, H.P. (hereinafter referred to as the ‘Appellate Court’), in Criminal Appeal No. RBT94-S/10 of 2024/22, titled as Bal Krishan Thakur vs. Aseem Trading Company.
2. By way of judgment dated 12.09.2024, the learned Appellate Court has dismissed the appeal filed, bythe petitioner, against the judgment of conviction dated 02.07.2022 and order of sentence dated 21.07.2022, passed by the Court of learned Judicial Magistrate First Class, Court No.3, Shimla, District Shimla, H.P., (hereinafter referred to as the ‘trial Court’), in Case No. 341-3 of 2016, titled as Aseem Trading Company vs. Bal Krishan Thakur.
3. Vide judgment of conviction dated 02.07.2022 and order of sentence dated 21.07.2022, learned trial Court has convicted the petitioner, for the offence, punishable under Section 138 of the Negotiable Instruments Act (hereinafter referred to as the ‘NI Act’) and sentenced him to undergo simple imprisonment, for a period of one year and to pay a compensation of Rs.2,46,176/- to the complainant.
4. After dismissal of the appeal by the learned Appellate Court, the present revision petition has been preferred.
5. During the pendency of the present petition, the parties have settled the matter. Thereafter, the petitioner has filed application bearing Cr.MP No.1834 of 2025, for permitting the parties to compound the offence, on the ground that the matter has been settled between the parties.
6. Statements of both the parties have been recorded, in which, they both have deposed that the dispute with regard to Cheque No.258532, dated28.06.2016, has been settled between the parties.
7. Today, the accused is present before this Court. He has deposed that he has been convicted and sentenced by the learned trial Court vide judgment of conviction dated 02.07.2022 and order of sentence dated 21.07.2022.
8. Against the said judgment of conviction and order of sentence, he had filed the appeal before the learned Appellate Court and the learned Appellate Court has also dismissed his appeal. Now, he is before this Court, in the present revision petition.
9. In addition to this, the accused has also submitted that during the pendency of the revision petition, the matter has been compromised between him and the complainant. He has also deposed that he has paid a sum of Rs.1,70,000/-, to the complainant during the pendency of the case before the learned trial Court. He has also deposed that he has deposited a sum of Rs.1,25,000/- before the learned trial Court. He has also deposed that today, he has paid a sum of Rs.40,000/-, in the account of the complainant, through Googlepay, as such, he has paid/deposited the settled amount of Rs.3,35,000/-.
10. The petitioner has also deposed that on the basis of the said compromise, the present petition may kindly be allowed by setting aside the judgment of conviction and order of sentence, referred to above, and he may kindly be acquitted of the charge.
11. Respondent has also made the similar statement and has prayed that the amount deposited by the petitioner before the learned trial Court, may kindly be released, in favour of complainant. He has also deposed that he has no objection, in case, the present petition is allowed and the accused is acquitted by setting aside the judgment of conviction dated 02.07.2022 and order of sentence dated 21.07.2022.
12. In addition to this, the petitioner has also put forward the indigent circumstances, by stating that he is a poor person and a lenient view may kindly be taken, in the matter of compounding fee.
13. On the basis of the statements, so made by the parties, one thing is clear that the matter has been settled between the parties and in pursuance of the said settlement, the petitioner has deposited the entire amount of compensation.
14. According to the respondent-complainant, the
AI
The court permitted the compounding of an offence under Section 138 of the Negotiable Instruments Act after the parties settled their dispute, allowing the petitioner to be acquitted.
The court permitted the compounding of an offence under Section 138 of the NI Act after the parties settled their dispute, leading to the acquittal of the petitioner.
Parties can compound offences under Section 138 of the Negotiable Instruments Act if settled amicably, leading to acquittal upon compliance with the compounding fee.
The court allowed the compounding of an offence under Section 138 of the Negotiable Instruments Act after the parties settled the matter, emphasizing the importance of amicable resolution.
The court allowed the compounding of the offence under Section 138 of the NI Act based on mutual settlement, leading to the acquittal of the petitioner.
Offences under Section 138 of the Negotiable Instruments Act can be compounded if the parties reach a mutual settlement.
The offence under Section 138 of the Negotiable Instruments Act can be compounded if the parties reach a mutual settlement, allowing for acquittal upon payment of a compounding fee.
The offence under Section 138 of the Negotiable Instruments Act can be compounded if the parties reach an amicable settlement.
The court allows compounding of an offence under Section 138 of the NI Act after the parties settle their dispute, provided the compounding fee is deposited as directed.
The court permitted the compounding of an offence under Section 138 of the NI Act after the parties settled the matter, leading to the acquittal of the petitioner.
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