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2026 Supreme(Ori) 387

IN THE HIGH COURT OF ORISSA AT CUTTACK
V.NARASINGH, J.
Gouri Prasad Das @ Gouri Das - Petitioner
Versus
State of Orissa - Respondent
CRLREV No.94 of 2026
Decided On : 31-03-2026

Advocates:
Advocate Appeared:
For the Petitioner:Mr. A. Ray, Advocate
For the Opposite Parties :Mr. S. Panigrahi, ASC Mr. A. Mishra, Advocate

The appellate court can impose a 20% deposit requirement from a convicted party, but exceptions may apply under specific and justified circumstances.

Headnote:(A) Negotiable Instruments Act, 1881 - Section 148 - Criminal Procedure Code, 1973 - Section 389 - Appellate Court's discretion in ordering deposit of compensation pending appeal - The Court upheld the imposition of a 20% deposit of the compensation as a standard but acknowledged the possibility of exceptions under specific circumstances. (Paras 1, 9).

(B) Judicial review - The appellate court should make a purposive interpretation of laws and must record reasons if it waives the deposit requirement due to exceptional circumstances. (Paras 8, 9).

Facts of the case:
The Petitioner challenged the order directing a deposit of compensation during the appeal against conviction under Section 138 of the N.I. Act, asserting the order would hinder his right to appeal due to financial constraints.

Findings of Court:
The court allowed modification of the deposit requirement to 10% of the cheque amount, recognizing the Petitioner's financial difficulties while still adhering to legal stipulations.

Issues: Whether the Appellate Court's order of a 20% deposit was unjust and whether the circumstances warranted a complete waiver.

Ratio Decidendi: The court concluded that while the 20% expectation is standard, exceptions are permitted, provided they are justified and recorded.

Result: The impugned order was modified to a 10% deposit of the cheque amount.

Table of Content
1. background of the case and prior judgment. (Para 1 , 2)
2. arguments regarding the deposit requirement. (Para 3 , 4 , 5)
3. court's review of evidence and avoidance of premature judgment. (Para 6 , 7)
4. legal principles regarding the condition of deposit. (Para 8 , 9)
5. modification of the deposit order and conclusion. (Para 10 , 11 , 12 , 13)

JUDGMENT :

V. Narasingh, J.

Heard learned counsel for the Petitioner and learned counsel for the Opposite Parties.

1. Assailing the order dated 02.12.2025 passed by the learned Addl. Sessions Judge, Jajpur Road in Criminal Appeal No.62 of 2025 arising out of 1C.C. Case No.71 of 2019 (Trl. No.75 of 2025) directing the Petitioner to deposit 20% of the compensation amount in terms of Section 148(1) [148. Power of Appellate Court to order payment pending appeal against conviction.— (1) Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974), in an appeal by the drawer against conviction under Section 138, the Appellate Court may order the appellant to deposit such sum which shall be a minimum of twenty per cent of the fine or compensation awarded by the trial Court:

Provided that the amount payable under this sub-section shall be in addition to any interim compensation paid by the appellant under Section 143-A.] of the Negotiable Instruments Act, 1881 (hereinafter referred to as ‘N.I. Act’), this criminal revision has been preferred.

2. It is apt to note that the Petitioner-accused was found guilty by the judgment dated 01.11.2025 by the learned Civil Judge-cum-JMFC, Jajpur Road in 1C.C. Case No.71 of 2019 (Trl. No.75 of 2025), instituted by the Opposite Party as the complainant.

3. It is submitted with vehemence by Mr. Ray, learned counsel relying on the judgment of the Apex Court in the case of Jamboo Bhandari vrs. Madhya Pradesh State Industrial Development Corporation Limited and Ors., [Jamboo Bhandari v. M.P. SIDC Ltd., (2023) 10 SCC 446] that in the factual matrix of the case at hand, the learned Appellate Court failed to appreciate that the said stipulation is not inflexible.

He also vehemently urged that the documents placed before the learned Trial Court were not taken into account and the appreciation of evidence and materials on record is ex facie perverse, which forms the subject matter of the appeal. The direction as per the impugned order to make a deposit of 20%, considering his present financial condition, would deprive him from prosecuting the appeal, in an effective manner.

4. Learned counsel for the complainant-Opposite Party opposes such submission, and in doing so, he also relies on the very judgment which has been cited by the Petitioner-accused.

5. One of the grounds which has been urged is that the cheque in question was inter alia issued as a security.

To fortify his submissions, learned counsel for the Petitioner also referred to the documents which were placed on record by way of memo, which read as under:-

”1. Copy of the cheque issued by the Opp. Party No. 2 bearing no. 089634 of State Bank of India, Jajpur Road Branch.

2. Copy of the letter for indemnification dated 21.12.2009 issued by the Opp. Party No. 2 to the Petitioner.

3. Copy of the deposition of the Petitioner.

4. Copy of the Evidence Affidavit of the Opp. Party No. 2 along with the cross examination.”

And, referring to the same, it is submitted that in recording an order of conviction the learned Trial Court failed to appreciate the evidence and materials on record in its proper perspective.

6. This Court carefully perused the materials on the basis of which the judgment of conviction has been recorded, as well as the materials, which have been produced by way of memo, which include the evidence as adduced before the learned Trial Court of the Petitioner as well as the Opposite Party No.2.

7. Keeping in view that the learned Trial Court is in seisin of the matter, this Court refrains from making any observation regarding the stand taken by the Petitioner-accused referred

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