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TMI Blog2022 (4) TMI 1147X X X X Extracts X X X X X X X X Extracts X X X X ..... tter of DAMODAR S. PRABHU VERSUS SAYED BABALAL H. [ 2010 (5) TMI 380 - SUPREME COURT] and KAUSHALYA DEVI MASSAND VERSUS ROOPKISHORE KHORE [ 2011 (3) TMI 1491 - SUPREME COURT] , to the effect that compromise in question would definitely go a long way to strengthen the mutual relationship between the parties and would serve as an ever-lasting tool in their favour. Such an exercise would be in consonance with the spirit of Section 147 of the Negotiable Instruments Act, 1881. In view of the parties having settled the matter and the amount having been deposited by the petitioner with the respondent-complainant and in the light of consent of the parties, it is deemed appropriate to invoke the power vested by virtue of Section 147 of the Negot ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... unsel for the petitioner conveyed his readiness to comply with the payment of compensation as well as the cheque amount. The relevant part of the order is extracted as under:- Learned counsel for the petitioner submits that the petitioner is ready to comply with the directions of the payment of the amount/compensation as directed by the Courts below to the complainant and the bona fide of the petitioner may be adjudged from the fact that out of ₹ 6,80,650/-, the petitioner had deposited a sum of Rs,1,20,000/- at the time of filing of the appeal before the Courts below which amount has already been released in favour of the complainant and for the rest, a DD of the amount of ₹ 5,55,000/- has already been prepared in the name ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pondent-complainant, hence, the case in hand be permitted to be compounded as per Section 147 of the Negotiable Instruments Act. The relevant provisions of the Act reads thus:- 147 Offences to be compoundable. -Notwithstanding anything contained in the Code of Criminal Procedure, 1973 (2 of 1974), every offence punishable under this Act shall be compoundable. 8. The issue regarding compounding under the Negotiable Instruments Act at the stage of appeal as well as revision has come before this court as well as before the Hon'ble Supreme Court and they have upheld that the powers under Section 147 of the Negotiable Instruments Act can be invoked at any stage of the proceedings i.e. at the stage of trial, appeal or at the revisional jur ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... olakia vs. State of Haryana Anr. [(2000) 1 SCC 762], wherein it was held that since the petitioner had already entered into a compromise with the complainant and the complainant had appeared through counsel and stated that the entire money had been received by him and he had no objection if the conviction already recorded under Section 138 of the Negotiable Instruments Act is set aside, the Hon'ble Judges thought it appropriate to grant permission, in the peculiar facts and circumstances of the case, to compound the offence. While doing so, this Court also indicated that necessarily the conviction and sentence under Section 138 of the Act stood annulled. 7A. The said view has been consistently followed in the case of (1) Anil Ku ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... was entitled to acquittal. Consequently, the order of conviction and sentence recorded by all the courts were set aside and the appellant was acquitted of the charge leveled against him. 9. The object of Section 320 Cr.P.C., which would not in the strict sense of the term apply to a proceeding under the Negotiable Instruments Act, 1881, gives the parties to the proceedings an opportunity to compound offences mentioned in the table contained in the said section, with or without the leave of the court, and also vests the court with jurisdiction to allow such compromise. By virtue of Sub-Section (8), the Legislature has taken one step further in vesting jurisdiction in the Court to also acquit the accused/convict of the offence on the sa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... proceeding under Article 136 of the Constitution. 10. Reference can also be made to the judgments in the matter of Chochin Hotels Co.(P) Ltd Ors Vs. Kairali Granites Ors, 2006 (2) RCR (Criminal) 333, and K. Subramanian Vs. R. Rajathi represented by PAOP Kalippan, 2010 (1) RCR (Criminal) 184, which held that the petitioner can resort to a compounding mechanism in terms of Section 147 of the Negotiable Instruments Act as offence related to dishonour of cheque has a compensatory profile and it should be given precedence to cumulative mechanism. The offence is almost a civil wrong which has been clothed in criminal overtones, therefore, priority should be given to compensatory mechanism. 11. It was also held in the matter of Damoda ..... X X X X Extracts X X X X X X X X Extracts X X X X
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