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IN THE HIGH COURT OF JUDICATURE AT MADRAS
M.NIRMAL KUMAR
Nangaraja Gupta, S/o.Prabakar Setru – Appellant
Versus
Jitesh Jain, S/o.Kantilal Jain – Respondent
| Table of Content |
|---|
| 1. overview of the case background and prior judgments. (Para 5 , 6) |
| 2. compounding of offenses and settlement acknowledgment. (Para 10) |
| 3. final judgment to acquit the petitioner. (Para 11) |
ORDER :
M. NIRMAL KUMAR, J.
The petitioner was convicted by judgment dated 22.05.2018 by the learned Judicial Magistrate, Fast Track Court-II (Magisterial Level), Erode(trial Court) in S.T.C.Nos.459, 462, 461 & 460 of 2016 for offence under Section 138 of Negotiable Instruments Act, 1881 and sentenced to undergo one year Simple Imprisonment and to pay a fine of Rs.5,000/- in default to undergo Simple Imprisonment for two months. Challenging the same, the petitioner preferred an appeal before the learned II Additional Sessions Judge, Erode (lower appellate Court) in Crl.A.Nos.184, 187, 186 & 185 of 2018 and the same was dismissed by judgment dated 01.11.2018 confirming the conviction of the trial Court. Aggrieved over the same, the present Criminal Revision Cases are filed.
2.Gist of the case in S.T.C.No.459 of 2016 is that the respondent/complainant and the petitioner/accused are known to each other for several years. The respondent was doing business of manufacturing Nut Plates in th
Compounding of criminal complaints under Section 147 of the Negotiable Instruments Act is permissible, leading to acquittal if both parties mutually agree to settle the matter.
Point of law: Dishonour of Cheque – Compounding of offence on payment
The court confirmed the presumption of liability under Section 138 of the Negotiable Instruments Act, emphasizing the importance of establishing a legally enforceable debt in cheque dishonor cases.
Full payment of the cheque amount prior to appellate decision can negate conviction under Section 138 of the Negotiable Instruments Act.
(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.
Compounding of offences under Section 138 of the Negotiable Instruments Act can be permitted at any stage, including post-conviction, emphasizing compensatory justice over punitive measures.
A compromise can lead to the acquittal of an individual under the Negotiable Instruments Act when all parties agree to settle.
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