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2021 Supreme(All) 1553

IN THE HIGH COURT OF ALLAHABAD
Vivek Varma, J.
Iqrar Ahmad – Appellant
Versus
State of U.P. and Others – Respondents
Criminal Revision No. 144 of 2021
Decided On : 08-02-2021

Advocates:
Advocate Appeared:
For the Appellants : Ishwar Chandra Tyagi, Anmol Kumar Dubey.

Headnote:

Constitution of India,1950 - Article 142 and 136 - Negotiable Instruments Act - Sections 143, 136 and 147 - Criminal Procedure Code,1973 - Sections 258, 264 ,357 (3) , 320 and 431 - Indian Penal Code,1860 - Section 64 - Amount of cheque and he does not want to pursue the proceedings against revisionist - Compromise deed - Endeavour for compounding the offence - Allegation that cheque revisionist was dishonoured on account of insufficient funds. The opposite party No. 2 filed a complaint case before the Judicial Magistrate, under section 138 of the Negotiable Instruments Act. The proceedings of the case, ultimately resulted in order of conviction - Against the order of conviction an appeal was preferred and the Appellate Court dismissed the appeal of the revisionist and confirmed the judgment - Held, Complainant can be given on affidavit, subject to the Court summoning the person giving affidavit and examining him and the bank's slip being prima facie evidence of the dishonor of cheque, it is unnecessary for the Magistrate to record any further preliminary evidence. Such affidavit evidence can be read as evidence at all stages of trial or other proceedings. The manner of examination of the person giving affidavit can be as per section 264 Cr.P.C. The scheme is to follow summary procedure except where exercise of power under second proviso to' section 143 becomes necessary - Cheque amount with interest and cost as assessed by the Court is paid by a specified date, the Court is entitled to close the proceedings in exercise of its powers under section 143 of the Act read with section 258 Cr.P.C. As already observed, normal rule for trial of cases under Chapter XVII of the Act is to follow the summary procedure and summons trial procedure can be followed where sentence exceeding one year may be necessary taking into account the fact that compensation under section 357 (3) Cr.P.C - Opposite party No. 2 has already received the amount of cheque and he does not want to pursue the proceedings against the revisionist - Court deems it appropriate to compound the offence on the basis of compromise deed - Court deems it appropriate to permit compounding of offence subject to payment cost/interest to the opposite party No. 2 to be paid by the revisionist within a period of two weeks from today - amount towards cost/interest is paid to the opposite party No. 2 and 15% of the cheque amount is deposited by the revisionist - Revision is allowed

JUDGMENT :

Vivek Varma, J.

1. This revision has been filed against the judgment and order dated 9.12.2020 passed by Additional District and Sessions Judge/Special Judge (SC/ST Act), Amroha/J.P. Nagar in Criminal Appeal No. 18 of 2018 (Iqrar Ahmad v. State of U.P.), whereby the judgment and sentence dated 6.7.2018 passed by Judicial Magistrate, Hasanpur Amroha/J.P. Nagar has been confirmed.

2. The revisionist/applicant has been convicted under section 138 of Negotiable Instruments Act and awarded sentence to undergo simple imprisonment of three months and also to pay a fine of Rs. 1,35,000/-, in default, to suffer further simple imprisonment for three months.

3. In brief, the proceedings under section 138 of the Negotiable Instruments Act were initiated against the revisionist with the allegation that cheque No. 77163 dated 10.1.2012 for a sum of Rs. 1,35,000/- issued by the revisionist was dishonoured on account of insufficient funds. The opposite party No. 2 filed a complaint case before the Judicial Magistrate, Hasanpur Amroha/J.P. Nagar, under section 138 of the Negotiable Instruments Act. The proceedings of the case, ultimately resulted in order of conviction. Against the order of conviction an appeal was preferred and the Appellate Court dismissed the appeal of the revisionist and confirmed the judgment.

4. Learned Counsel for the revisionist submits that now the rival parties have sorted out their dispute and have arrived at a compromise. In this regard, a compromise deed dated 11.12.2020 has-been annexed as Annexure SA-1 to the supplementary affidavit.

5. Learned Counsel for the opposite party No. 2 has filed a short counter affidavit and stated that he had received the entire cheque amount of Rs. 1,35,000/- and does not want to continue the criminal proceedings and the matter may be decided in terms of the compromise deed.

6. Heard Sri Ishwar Chandra Tyagi, learned Counsel for the revisionist, Sri Anmol Kumar Dubey, learned Counsel for opposite party No. 2, Sri Nikhil Chiturvedi, learned AGA for the State and perused the record.

7. The law regarding compounding of offence under Negotiable Instruments Act is no more res integra and the offences under the said Act can be compounded on any stage of the proceedings.

8. The Hon'ble Supreme Court in the case of K.M. Ibrahim v. K.P. Mohammad and another, (2010) 1 SCC 798 has held as under:

    "7. Mr. Rohtagi submitted that the said position had been accepted by this Court in various decisions, such as in the case of O.P. Dholakia v. State of Haryana and another, (2000) 1 SCC 762 wherein it was held that since the petitioner had already entered into a compromise with the complainant and the complainant had appeared through Counsel and stated that the entire money had been received by him and he had no objection if the conviction already recorded under section 138 of the Negotiable Instruments Act is set aside, the Hon'ble Judges thought it appropriate to grant permission, in the peculiar facts and circumstances of the case, to compound the offence. While doing so, this Court also indicated that necessarily the conviction and sentence under section 138 of the Act stood annulled.

8. The said view has been consistently followed in the case of Anil Kumar Haritwal and another v. Alka Gupta and another; (2004) 4 SCC 366, B.C. Seshadri v. B.N. Suryanarayana Rao, (2004) 11 SCC 510; decided by a Three Judge Bench; G. Sivarajan v. Little Flower Kuries & Enterprises Ltd. and another, (2004) 11 SCC 400; Kishore Kumar v. J.K. Corporation Ltd. (2004) 13 SCC 494; Sailesh Shyam Parsekar v. Baban, (2005) 4 SCC 162; K. Gyansagar v. Ganesh Gupta and another, (2005) 7 SCC 54; K.J.B.L. Rama Reddy v. Annapurna Seeds and another, (2005) 10 SCC 632; Sayeed Ishaque Menon v. Ansari Naseer Ahmed, (2005) 12 SCC 140; Vinay Devanna Nayak v. Ryot Sewa Sahakari Bank Ltd. (2008) 2 SCC 305 wherein some of the earlier decisions have been noticed and Sudheer Kumar v. Manakkandi M.K. Kunhiraman and another, 2008 (1) KLJ 203 wh

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