TMI Blog2021 (12) TMI 841X X X X Extracts X X X X X X X X Extracts X X X X ..... ble under the Act is compoundable notwithstanding anything contained in the Cr.P.C. While it is true that the offence is compoundable but a pivotal question, which has emerged for consideration, is whether revisional powers can be exercised by this Court to compound the offence under Section 138 of the Act after conviction of the petitioner by appellate Court. The instant revision petition is allowed. - S.B. Criminal Revision Petition No. 973/2021 - - - Dated:- 16-12-2021 - Hon'ble Mr. Justice Devendra Kachhawaha For the Petitioner(s) : Mr. Vikas Chouhan For the Respondent(s) : Mr. Mukhtiyaar Khan, P.P., Mr. Aqeel Ahmed, complainant ORDER Accused-petitioner has preferred this revision petition under Section 397 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d trial Court and confirmed by learned appellate Court be set aside. The copy of the compromise is already placed on record. With these submissions, it is prayed that the matter may be decided in the light of the judgment passed by Hon ble Apex Court in case of Damodar S. Prabhu Vs. Sayed Babulal H. reported in 2010 (5) SCC 663. Learned counsel for the complainant, while acknowledging the compromise arrived at between the parties, would urge that looking to the nature of offence and in the wake of settlement of dispute between rival parties, the conviction recorded by learned trial Court and upheld by the learned appellate Court merits annulment. I have heard learned counsel for the accused-petitioner and learned counsel for the com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... itutions and Negotiable Instruments Laws (Amendment) Act, 1988 (66 of 1988). The object of bringing Section 138 into the statute was to inculcate faith in the efficacy of banking operations and credibility in transacting business on negotiable instruments. It was to enhance the acceptability of cheques in settlement of liabilities by making the drawer liable for penalties in case of bouncing of cheques due to insufficient arrangements made by the drawer, with adequate safeguards to prevent harassment of honest drawers. If the cheque is dishonoured for insufficiency of funds in the drawer's account or if it exceeds the amount arranged to be paid from that account, the drawer is to be punished with imprisonment for a term which may extend ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ding of offences at later stage of litigation in cheque bouncing cases, and held: The compounding of the offence at later stages of litigation in cheque bouncing cases has also been held to be permissible in a recent decision of this Court, reported as K.M. Ibrahim v. K.P. Mohammed Anr., wherein Kabir, J. has noted (at SCC p. 802, paras 13- 14): 13. As far as the non-obstante clause included in Section 147 of the 1881 Act is concerned, the 1881 Act being a special statute, the provisions of Section 147 will have an overriding effect over the provisions of the Code relating to compounding of offences. ... 14. It is true that the application under Section 147 of the Negotiable Instruments Act was made by the parties after the pro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... able Instruments Act -Tackling an avalanche of cases (New Delhi: Universal Law Publishing Co. Pvt. Ltd., 2009) at p. 5] ... Unlike that for other forms of crime, the punishment here (in so far as the complainant is concerned) is not a means of seeking retribution, but is more a means to ensure payment of money. The complainant's interest lies primarily in recovering the money rather than seeing the drawer of the cheque in jail. The threat of jail is only a mode to ensure recovery. As against the accused who is willing to undergo a jail term, there is little available as remedy for the holder of the cheque. If we were to examine the number of complaints filed which were `compromised' or `settled' before the final judgment ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s 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 compounding with the Legal Services Authority, or such authority as the Court deems fit. (c) Similarly, if the application for compounding is made before the Sessions Court or a High Court in revision or appeal, such compounding may be allowed on the condition that the accused pays 15% of the cheque amount by way of costs. (d) Finally, if the application for compounding is made before the Supreme ..... X X X X Extracts X X X X X X X X Extracts X X X X
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