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SURENDRA SINGH I
Avanish Kumar Gaur – Appellant
Versus
State of U. P. – Respondent
JUDGMENT
Surendra Singh-I, J.
The instant petition under Article 227 of the Constitution has been preferred with a prayer to set aside the order dated 24.07.2023 passed by the Sessions Judge, Ghaziabad in Criminal Revision No. 463 of 2023, Avnish Kumar Gaur v. State of U.P. and another as well as order dated 23.05.2023 passed by the Presiding Officer, Additional Court, Court No. 2, Ghaziabad in Complaint Case No. 1179 of 2022, Samleshwar v. Avnish Kumar and others, under section 138 of Negotiable Instruments Act, 1881 (hereinafter referred to as "N.I. Act"), Police Station Sahibabad, District Ghaziabad.
2. Heard Shri Santosh Kumra Dubey, learned counsel for petitioners, Shri Dheeraj Kumar Singh, learned counsel appearing on behalf of opposite party no. 2 and the learned A.G.A. appearing on behalf of the State.
3. As per averments made in the petition, the above mentioned complaint case was filed by respondent no. 2 against the petitioner under section 138 of N.I. Act about dishonouring of cheque. The petitioner was summoned vide order dated 30.11.2021 for trial under Section 138 N.I. Act. The Trial Court vide order dated 23.05.2023 directed the petitioner/accused, under section
The discretion to grant interim compensation under Section 143-A of the NI Act must be supported by reasons and should be based on well-recognized principles.
Whenever a discretionary power is to be exercised by Court, same has to be exercised on well-recognized principles supported by reasons.
Discretionary orders under Section 143 A (1) of the Negotiable Instruments Act must be supported by reasons, as orders without reasons are illegal and subject to being set aside.
Interim compensation under Section 143-A of the NI Act is discretionary, requiring consideration of both parties' merits and the opportunity for a defense, which was not provided in this case.
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