IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH Satbir Singh ….Petitioner versus HDFC Bank Ltd. and another ….Respondents Date of Decision: January 29, 2026 Date of Uploading: January 29, 2026 CORAM: HON’BLE MR. JUSTICE SUMEET GOEL Present:- Mr. Bhupinder Singh, Advocate for the petitioners.

Mr. Dheeraj Gautam, Advocate for respondent No.1. Ms. Mahima Yashpal Singla, Senior DAG Haryana.

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SUMEET GOEL, J. (ORAL)

The present criminal revision petition has been filed impugning the judgment and sentence dated 10/11.07.2017 passed by learned Sub Divisional Judicial Magistrate, Assandh, in Complaint No.136/2014 titled as “HDFC Bank Ltd. versus Satbir Singh”, whereby the petitioner has been convicted and sentenced for offence under Section 138 of Negotiable Instruments Act, 1881 and was directed to pay a sum of Rs.15,00,000/-, as compensation and in case of default, to further undergo simple imprisonment for 04 months. Further, the petitioner has challenged the impugned judgment dated 01.10.2022 passed by the learned Additional Sessions Judge, Karnal, in Criminal Appeal No.CRA-161/2020, whereby appeal filed by the petitioner against the judgment and order dated 10/11.07.2017 was dismissed.

2. Learned counsel for the petitioner has submitted that during the pendency of proceedings, the petitioner and the complainant have entered into a settlement/agreement dated 20.08.2025 (copy whereof appended as Annexure P-A with the present petition). Learned counsel for the petitioner has further submitted that since the parties have amicably settled their dispute(s), the matter may be compounded and the petitioner be acquitted.

3. Learned counsel appearing for respondent No.1 has ratified the factum of settlement/agreement having been arrived at between the parties and has further vouched the genuineness of the compromise/settlement dated 20.08.2025 stated to be arrived between the parties. Learned counsel for respondent No.1 has also submitted that NOC has also been issued in favour of the petitioner. Accordingly, he has iterated that respondent No.1- complainant has no objection, in case, the offence is permitted to be compounded and the petitioner is ordered to be acquitted.

4. I have heard learned counsel for the rival parties and have perused the available record.

5. It would be apposite to refer herein to a judgment passed by three Judge Bench of the Hon’ble Supreme Court titled as Damodar S. Prabhu vs. Sayed Babalal H., AIR 2010(SC) 1907, relevant whereof reads thus:

“15. With regard to the progression of litigation in cheque bouncing cases, the learned Attorney General has urged this Court to frame guidelines for a graded scheme of imposing costs on parties who unduly delay compounding of the offence. It was submitted that the requirement of deposit of the costs will act as a deterrent for delayed composition, since at present, free and easy compounding of offences at any stage, however belated, gives an incentive to the drawer of the cheque to delay settling the cases for years. An application for compounding made after several years not only results in the system being burdened but the complainant is also deprived of effective justice. In view of this submission, we direct that the following guidelines be followed:-

THE GUIDELINES (i) In the circumstances, it is proposed as follows:

(a) That directions can be given that the Writ of Summons be suitably modified making it clear to the accused that he could make an application for compounding of the offences at the first or second hearing of the case and that if such an application is made, compounding may be allowed by the court without imposing any costs on the accused.

(b) If the accused does not make an application for compounding as aforesaid, then if an application for compounding is made before the Magistrate at a subsequent stage, compounding can be allowed subject to the condition that the accused will be required to pay 10% of the cheque amount to be deposited as a condition for