RAJASTHAN HIGH COURT
Manoj Kumar Garg, J.
Omprakash Sunda – Petitioner
versus
Pawan Kumar – Respondent
S.B. Criminal Revision Petition No.1399 of 2024
Decided on 3.1.2025
Negotiable Instruments Act, 1881 – Sections 138 and 147 – Settlement between parties – Conviction set aside – On facts, the parties have settled the dispute and complainant/respondent has accepted the sum towards full and final settlement of dispute on the satisfaction of the complainant and in the light of provisions of Section 147 of Negotiable Instruments Act – Also, the compromise has been arrived at after rejection of the appeal preferred by the petitioner, a cost of 15% of the cheque amount deserves to be imposed upon the petitioner – Accordingly, the conviction and sentence of imprisonment awarded to the petitioner for offence under Section 138 of Negotiable Instruments Act vide judgments dated 09.06.2022 and 23.07.2024 is hereby set aside on the basis of the aforesaid compromise subject to deposition of cost of 15% of the cheque amount. [Paras 3 to 8]
Result: Petition allowed.
ORDER
This revision petition has been filed by the petitioner against the judgment dated 23.07.2024 passed by the learned Additional Sessions Judge, Deedwana whereby the learned Judge dismissed the appeal of the petitioner and affirmed the judgment dated 09.06.2022 passed by the learned Additional Chief Judicial Magistrate, Deedwana whereby the petitioner was convicted for offence under Section 138 of N.I. Act and sentenced to undergo one year simple imprisonment along with fine in the sum of Rs.6,90,000/- and in default of payment of fine, to further undergo three months SI.
2. Counsel for the petitioner submits that during the pendency of the revision petition, the petitioner and complainant/respondent have entered into a compromise in the spirit of Lok Adalat and the respondent has received all the amount from the petitioner and does not want to proceed in the matter. It is stated that since the parties have entered into compromise and amicably settled their dispute, therefore, the sentence of imprisonment awarded to the petitioner may be set aside. A copy of compromise is already available on record.
3. Counsel for the respondent concurs the fact of compromise arrived at between the parties.
4. Having considered the facts and circumstances of the case, since the parties have settled the dispute and complainant/respondent has accepted the sum towards full and final settlement of dispute on the satisfaction of the complainant and in the light of provisions of Section 147 of NI Act and in view of law laid down by the Hon’ble Apex Court in the case of Damodar S. Prabhu Vs. Sayed Babalal H. reported in 2010 (5) SCC 663, the sentence awarded to the petitioner for offence under Section 138 NI Act is liable to be set aside. However, since the compromise has been arrived at after rejection of the appeal preferred by the petitioner, a cost of 15% of the cheque amount deserves to be imposed upon the petitioner in the light of the decision rendered by the Hon’ble Apex court in the case of Damodar S. Prabhu (Supra).
5. Accordingly, the conviction and sentence of imprisonment awarded to the petitioner for offence under Section 138 NI Act vide judgments dated 09.06.2022 and 23.07.2024 is hereby set aside on the basis of the aforesaid compromise subject to deposition of cost of 15% of the cheque amount. The cost shall be deposited by the petitioner with the Rajasthan State Legal Services Authority, Jodhpur within a period of one month from today. In case the cost is not deposited by the petitioner within the stipulated period, the revision petition may be listed before this Court for passing appropriate orders.
6. The revision petition is disposed of accordingly.
7. Application for suspension of sentence is also decided.
8. A copy of this order be sent to the office of Rajasthan State Legal Services Authority at Jodhpur.
A compromise between parties in a Section 138 NI Act case can lead to the setting aside of conviction and sentence, provided the complainant is satisfied with the settlement.
A compromise in a Section 138 NI Act case can lead to the setting aside of conviction if it complies with statutory provisions and judicial precedents.
A compromise under Section 147 of the NI Act allows for setting aside a conviction for dishonor of cheque, provided the complainant does not wish to proceed and costs are deposited.
A compromise between parties in a Section 138 N.I. Act case can lead to the setting aside of a conviction and sentence, provided that a cost is imposed, as per Section 147 of the N.I. Act and relevan....
Compromise in criminal cases under Section 138 NI Act can lead to setting aside of conviction if the complainant is satisfied and has received full payment.
The court can set aside the sentence of imprisonment for an offence under Section 138 of the NI Act based on a compromise between the parties, in accordance with the provisions of Section 147 of the ....
Compromise between parties under Section 147 of the N.I. Act allows for setting aside of conviction, subject to costs as per Supreme Court guidelines.
The court can set aside the sentence of imprisonment based on a compromise between the parties and the relevant provisions of the NI Act and legal precedents.
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.