2023 (9) TMI 347 - HC - Indian Laws

Dishonour of Cheque - insufficient funds - compounding of offence exercising power under Section 147 of NI Act - HELD THAT - Having taken note of the fact that the entire amount of compensation, i.e., Rs.80,000/-, as awarded by the learned Trial Court, has been paid by the petitioner- accused to the complainant and the complainant has no objection in compounding the offence, therefore, this Court sees no impediment in accepting the prayer made on behalf of the accused-petitioner for compounding of offence while exercising power under Section 147 of the Act as well as in terms of guidelines issued by the Hon ble Apex Court in DAMODAR S. PRABHU VERSUS SAYED BABALAL H. 2010 (5) TMI 380 - SUPREME COURT , wherein the Hon ble Apex Court has held since Section 147 was inserted by way of an amendment to a special law, the same will override the effect of Section 320(9) of the CrPC, especially keeping in mind that Section 147 carries a non obstante clause. In K. SUBRAMANIAN VERSUS R. RAJATHI REP. BY P.O.A.P. KALIAPPAN 2009 (11) TMI 1013 - SUPREME COURT , it has been held by the Hon ble Apex Court that in view of the provisions contained in Section 147 of the Act read with Section 320 of Cr.P.C., compromise arrived at can be accepted even after recording of the judgment of conviction. Since, in the instant case, the petitioner-accused after being convicted under Section 138 of the Act, has paid the entire amount of compensation to the complainant, prayer for compounding the offence can be accepted in terms of the aforesaid judgments passed by the Hon ble Apex Court - the parties are permitted to get the matter compounded in light of the compromise arrived inter se them. The present matter is ordered to be compounded and the impugned judgment of conviction and order of sentence, dated 27.01.2017, passed by the learned Judicial Magistrate First Class, Baijnath, District Kangra, H.P., in Criminal Complaint No. 41-III/14, and affirmed by learned Additional Sessions Judge-III, Kangra at Dharamshala, camp at Baijnath, H.P., vide judgment dated 13.11.2018, are quashed and set-aside and the petitioneraccused is acquitted of the charge framed against him under Section 138 of the Act - Petition disposed off.

Summary

Issues Involved:
- Appeal against conviction under Section 138 of the Negotiable Instruments Act
- Prayer for quashing the impugned judgments and acquitting the accused-petitioner
- Joint application for compounding the offence under Section 138 of the Act

Summary:
The petitioner-accused filed a petition under Section 397 read with Section 401 of the Code of Criminal Procedure against the judgment convicting him under Section 138 of the Negotiable Instruments Act. The petitioner purchased utensils on credit, issued a dishonored cheque, and was convicted by the Trial Court. The appeal to the Lower Appellate Court was dismissed, leading to the current petition seeking to quash the judgments and acquit the accused. A joint application was filed to compound the offence during the petition's pendency.

The complainant, present in court, stated he no longer wished to pursue the complaint as he had received the compensation awarded. The Court, after hearing all parties and examining the records, accepted the prayer for compounding the offence under Section 147 of the Act. Citing relevant legal precedents, the Court quashed the impugned judgments, acquitted the accused, and ordered his release from custody. The Court also considered the petitioner's financial situation and directed a reduced compounding fee to be paid to the District Legal Services Authority. The petition was disposed of accordingly.