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2019 (4) TMI 2077

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..... urts, directing the accused to deposit up to 20% of the cheque amount as interim compensation; are challenged, are allowed. Consequently, the Orders challenged in those petitions are set-aside. The point involved in the present case(s) has already been decided and the same is squarely covered by the judgment rendered in M/s Ginni Garments - petition disposed off.
Mahabir Singh Sindhu, J. CRM-M Nos. 3875 of 2019 (O&M), 3888 of 2019 (O&M), 3894 of 2019 (O&M), 3895 of 2019 (O&M), 3904 of 2019 (O&M), 3912 of 2019 (O&M), 3913 of 2019 (O&M), 3921 of 2019 (O&M), 3924 of 2019 (O&M), 3925 of 2019 (O&M), 3926 of 2019 (O&M), 3929 of 2019 (O&M), 3932 of 2019 (O&M), 3949 of 2019 (O&M), 4018 of 2019 (O&M), 3369 of 2019 (O&M), 10835 of 2019 (O&M), 50067 of 2018 (O&M), 6735 of 2019 (O&M), 10115 of 2019 (O&M), 14793 of 2019 (O&M) Mr. R.S. Rai, Senior Advocate assisted by Mr. Karan Sachdeva, Advocate for the Petitioner(s). Mr. Rose Gupta, Advocate for the petitioner (in CRM-M Nos.14793 and 50067 of 2019). Mr. Johan Kumar, Advocate for the petitioner (in CRM-M-10835-2019). Mr. Amit Kumar Jain, Advocate for the petitioners (in CRM-M No.6735 of 2019). Mr. Adish Gupta, Advocate for the peti .....

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..... . Consequently, statutory notice dated 06.05.2015 was issued to the petitioner(s) for making the payment, but of no avail and ultimately, that led to the filing of complaint dated 15.06.2015 under Section 138 of the Negotiable Instruments Act, 1881 (for short 'Act'). 4) Learned trial Court, after following the due procedure, taking into consideration the entire material available on record and upon hearing both sides, concluded that cheque in question was issued by the petitioner(s) in favour of the respondent/complainant for discharging their legal and enforceable liability and the same was dishonoured with the remarks "Funds Insufficient", but despite statutory notice, no payment was made. Hence, the petitioner(s) were held guilty under Section 138 of the Act, vide judgment dated 30.10.2018 and thereafter, on 13.11.2018, sentenced them to undergo simple imprisonment for a period of two years and to pay the fine equal to cheque amount plus 1% towards interest as well as litigation expenses jointly and severally within two months from the date of order i.e. 13.11.2018. 5) Aggrieved against the aforesaid judgment of conviction and order of sentence, petitioner(s) preferred .....

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..... (Saka) The following Act of Parliament received the assent of the President on the 2nd August, 2018, and is hereby published for general information:- THE NEGOTIABLE INSTRUMENTS (AMENDMENT) ACT, 2018 NO. 20 OF 2018 [2nd August, 2018.] An Act further to amend the Negotiable Instruments Act, 1881. BE it enacted by Parliament in the Sixty-ninth Year of the Republic of India as follows:- 1. (1) This Act may be called the Negotiable Instruments (Amendment) Act, 2018. (2) It shall come into force on such date as the Central Government may, by notification in the Official Gazette, appoint. 2. In the Negotiable Instruments Act, 1881 (hereinafter referred to as the principal Act), after section 143, the following section shall be inserted, namely:- ''143A. (1) Notwithstanding anything contained in the Code of Criminal Procedure, 1973, the Court trying an offence under section 138 may order the drawer of the cheque to pay interim compensation to the complainant- (a) in a summary trial or a summons case, where he pleads not guilty to the accusation made in the complaint; and (b) in any other case, upon framing of charge. (2) The interim compensation under su .....

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..... at the beginning of the relevant financial year, within sixty days from the date of the order, or within such further period not exceeding thirty days as may be directed by the Court on sufficient cause being shown by the complainant.''. DR. G. NARAYANA RAJU, Secretary to the Govt. of India. Thereafter, Ministry of Finance issued Gazette Notification dated 16.08.2018, appointing 1st day of September, 2018 as the date on which the provision of the above Act came into force and which reads as under:- MINISTRY OF FINANCE (Department of Financial Services) NOTIFICATION New Delhi, the 16th August, 2018 S.O.3995 (E). -- In exercise of the powers conferred by sub-section (2) of section 1 of The Negotiable Instruments (Amendment) Act, 2018 (20 of 2018), the Central Government hereby appoints the 1st day of September, 2018, as the date on which the provisions of the said Act shall come into force. [F.No.6/5/2016-BO.II] Dr. MADNESH KUMAR MISHRA, Jt. Secy. 12) A coordinate Bench of this Court in CRR No.9872 of 2018, titled as 'M/s Ginni Garments and another Versus M/s Sethi Garments' along with other connected matters, decided on 04.04.2019, after taking into consid .....

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..... is Court does not find any force in the argument of the learned counsels for the appellants that Appellate Court could not have made the suspension of sentence of the petitioners conditional upon deposit of amount of interim compensation as ordered by Appellate Court. It deserves to be noted here that even suspension of sentence is in the judicial discretion of the Appellate Court. If the Appellate Court makes such judicial discretion subject to a statutory provision relating to deposit of interim compensation, then no fault could be found with such exercise of discretion. Moreover such a course of action even forms part of procedure prescribed under Section 424 Cr.P.C, though relating to a different type of suspension of sentence. But it shows that if the Appellate Court makes suspension of sentence subject to payment of statutory interim compensation or fine then such an order is in commensurance with the statutory provisions contained in Cr.P.C and the intention of legislatures as contained in Section 148 of the Act. Accordingly all the petitions, wherein the order of the Trial Courts, directing the accused to deposit up to 20% of the cheque amount as interim compensation; ar .....

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