The court established guidelines for compounding offences under Section 138 of the N.I. Act, emphasizing early resolution and payment structures.

ORAL COMMON ORDER

1. The above-captioned four criminal revision petitions arise between the same parties and from the same transaction and therefore, they are heard together with the consent of the learned counsel appearing for the parties and are disposed of by this common order.

2. Heard the learned counsel for the parties.

3. Respondent herein had initiated four separate proceedings against Company known as "Fortune Graphics Ltd," and the petitioner herein, who is the Director of the aforesaid Company for offence punishable under Section 138 of Negotiable Instruments Act, 1881 (for short, 'N.I. Act') before the jurisdictional Court of Magistrate at Bangalore in C.CNo.17202 of 2012, 17203 of 2012, 17204 of 2012 and 17205 of 2012. It is the case of the respondent complainant that in the month of July 2011, petitioner herein had approached the respondent, representing himself to be the Director of the accused no.1 Company and had placed orders for purchase of silk fabric. Accordingly, complainant had supplied goods worth ₹.58,01,162.25 paisa to the accused and on receipt of the goods, an amount of ₹.15,50,455.25 paisa was paid and towards balance amount of ₹.42,50,707/-, accused had issued the cheques in question, which are subject matter of proceedings in C.C.No.17202 of 2012, 17203 of 2012, 17204 of 2012 and 17205 of 2012 and the said cheques when presented for realisation were dishonoured by the drawee bank with a shara "insufficient funds" in the bank account of the accused. The legal notice that was got issued on behalf of the respondent to the accused thereafter was served and since accused had failed to repay the amount covered under the cheques in question, in spite of service of legal notice, proceedings were initiated against accused nos.1 and 2 by the respondent in the aforesaid four cases for offence punishable under of the N.I. Act.

4. In the said proceedings, by a common judgment and order, the accused were convicted for offence punishable under Section 138 of N.I. Act and sentenced to pay ₹.40,00,000/-, ₹.9,40,000/-, ₹.20,00,000/- and ₹.12,00,000/- in C.C.No.17202 of 2012, CC No. 17203 of 2012, 17204 of 2012 and 17205 of 2012 respectively with interest at 9% per annum from the date of cheque till payment of the entire amount. The said judgment and order of conviction and sentence passed by the Trial Court in the aforesaid four cases was confirmed by the Appellate Court by separate judgment and order dated 27.02.2019 passed in Criminal Appeal No.361 of 2016, 362 of 2016, 363 of 2016 and 364 of 2016. Assailing the judgment and order of conviction and sentence passed in the aforesaid four cases, accused no. 2 is before this Court in these four revision petitions.

5. Learned counsel for the petitioner after arguing the matter for sometime submits that, as against accused no.1 Company, liquidation proceedings has been initiated by the respondent company herein which is pending consideration before the National Company Law Tribunal, New Delhi, Special Bench in Company Petition No. (IB) 245 (PB) / 2018. He submits that, petitioner, who is accused no.2 is one of the Director of the accused no.1 Company and is ready and willing to pay the cheque amount to the respondent Company, if some reasonable time is granted. He submits that, 50% of the cheque amount, which is deposited by the petitioner has been already withdrawn by the respondent Company. He has placed rel