Chandra Shekhar Agarwal v. Gulzar Singh (Dead) - 2018 Supreme(Online)(SC) 3434

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2018 Supreme(Online)(SC) 3434

SUPREME COURT
Arun Mishra, Mohan M. Shantanagoudar, JJ.
Chandra Shekhar Agarwal v. Gulzar Singh (Dead)
S. L. P. (Crl.) No. 2569 of 2008

Important Points

The court allows room for the trial court to evaluate the implications of a settlement while acknowledging the petitioner's right for future appeal.

Subject

Civil - Negotiable Instruments

Act Referred

Negotiable Instruments Act: S.138

Headnote

The judgment addresses a special leave petition concerning a complaint under S.138 of the Negotiable Instruments Act, 1881. The petitioner argues for quashing the complaint based on a prior settlement, asserting that Rs.2.5 crores was paid and encashed. The court refrains from delving into the disputed facts surrounding the compromise, allowing the trial court to consider its implications. The court disposes of the petition with observations allowing for further appeal and bail considerations.

Table of Content
1. compromise settlement impact. (Para 2)
2. court's non-involvement in disputed facts. (Para 3 , 4)
3. consideration of bail application. (Para 5)

1. Heard learned counsel for the petitioner.

2. It is submitted by learned counsel for the petitioner that the complaint ought to have been quashed by the High Court. The complaint had been filed under S.138 of the Negotiable Instruments Act , 1881 and is pending before the trial court.

3. It was submitted by learned counsel for the petitioner that compromise had been entered into and a settlement has accordingly been worked out and a sum of Rs.2,50,00,00/- (Rs.Two Crores Fifty Lakhs) was paid by way of cheque and same has been encashed.

4. We do not want to go into various disputed questions of fact whether compromise has been entered into and what is the effect of the same. It would be open to the petitioner to raise question of effect of compromise deed and it would be open to the trial court to take into consideration the effect of the said compromise, and receipt of the consideration if any as submitted by the learned counsel for the petitioner, accordingly, we dispose of this special leave petition with the aforesaid observation. The observations made by the High Court shall not come in the way of the trial court to consider the aforesaid aspect.

5. The petitioner may appeal before the court and make a prayer for releasing him on bail. The court shall consider the prayer as expeditiously as possible.