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TMI Blog2024 (12) TMI 1089X X X X Extracts X X X X X X X X Extracts X X X X ..... o. 1543 Of 2003 With Criminal Application No. 1344 Of 2015, Criminal Revision Application No. 38 Of 2007, Criminal Application No. 413 Of 2016. - - - Indian Laws - Challenge to judgment of conviction for offence under Section 138 of the Negotiable Instruments Act, 1881 - compounding of offences - whether this Court can accept Consent Terms filed by parties to put an end to the lis between the parties and grant relief of compounding of the offence as a sequitur thereto and on what terms? HELD THAT:- In the backdrop of the provisions of Cr.P.C. and more specifically when present cases emanate from a conviction under Section 138 of the N.I. Act, the next most relevant statutory provision which comes to the aid of parties and permits them to make Application for seeking compounding of the offence is Section 147 of N.I. Act. Section 147 provides for offences to be compoundable. It was introduced by the Amendment Act 55 of 2002 in the statute. It starts with a non-obstante clause and states that notwithstanding anything contained in the Cr.P.C., every offence punishable under the N.I. Act shall be compoundable. There is one more statutory provision which is required to be quoted which i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Revision Application No. 158 Of 2015, Criminal Revision Application No. 380 Of 2002, Criminal Revision Application No. 380 Of 2002 Criminal Revision Application No. 585 OF 2002. M/s. AFX+Q Engineers and Anr., Dhananjay Digambar Bhagwat, Rajaram Ganpat Narvekar, Kailas Bapurao Gadge, Sheela Jagdish Katira, Ramesh Jagdishchandra Obhan, Sheela Jagdish Katira, Kashinath Pandurang Laykar and Anr., Manik Krushna Jadhav and Anr., Vinayak Achut Ghaisas, Sushila Ramji Singh and Anr., M/s. Shetkari Solvant (India) Ltd., Versus M/s. Nikita Udyog and Anr., Dilip Hanumant Keshkamant and Anr., Shree Santsena Maharaj Nagari Sahakari Pathasantha Maryadit Sinnar, Sudhir Dewon Sakpal (since deceased through legal heirs) Suhasini Sudhir Sakpal and Anr., State of Maharashtra and Anr., Ramesh Obhan and Anr., The State of Maharashtra and Anr., Ashok Tukaram Patil and Anr., Vinodkumar D. Palrecha and Anr., Maharashtra State Financial Corporation and Anr. For the Applicant: Ms. Rutuja S. Gholap, Advocate i/by Ms. Archana P. Gaikwad; For the Respondent No. 1: Mr. Gandhar Raikar a/w. Ms. Iyanaha Parbhoo, Ms. Anaaya Dalvie, Advocate in Revn. No.373 of 2016, Revn. No.374 of 2016, Revn. No.375 of 2016 and Rev ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... this Court would be empowered under Section 397 of Code of Criminal Procedure to accept Consent Terms as a sequitur of which it would lead to compounding of the offence is required to be decided by this Court. 3. In the present cases at serial Nos.15, 16, 17, 18, 21, 35, 47 and 49 it is seen that parties have referred to the decision in case of M /s Meters and Instruments Private Limited V/s. Kanchan Mehta 2018 (1) SCC 560., to contend that even in the absence of original Complainant before this Court, the Court would have power to close the proceeding and discharge the Accused in the absence of consent of Complainant in the interest of justice. Equally in the same breath, parties have also approached the Court by stating both the Accused and Complainant have after the entire trial is over and Appeal proceedings are over have now desired to compromise and file Consent Terms and they have urged the Court to take on record Consent Terms in the interest of justice and put a quietus to the matter by foregoing the conviction and the fine due to the compromise. 4. However, in the case of In Re Expeditious Trial of Cases under Section 138 of Negotiable Instruments Act, 1881 2023 SCC OnLin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... jurisdiction in the event of concurrent findings. 6.2. He would submit that the Courts have also held that the Revisional Court also enjoy power conferred upon the Appellate Court by virtue of powers contained in Section 401 of Cr.P.C. He would submit that Section 401 Cr.P.C. is a provision enabling the High Court to exercise all powers of Appellate Court. He would submit that the provision contained in Sections 395 to 401 of Cr.P.C. read together do not indicate that revisional powers can be exercised as second Appellate power. He would however submit that for limited purpose, the Revisional Court can be conferred with powers of the Appellate Court for the purpose of satisfying itself for the purpose of ascertaining the legality or propriety of any finding, sentence or order, recorded or passed, and as to the regularity of any proceeding of such inferior Court as held by the Supreme Court in the case of State of Maharashtra Vs. Jagmohan Singh and Ors. 2004 7 SCC 659. 6.3. He would submit that in view of the above judgements, the power to record a compromise in view of the settlement arrived at between the parties, and to take consent terms on record in its Revisional jurisdiction, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sed may not be applicable in all Criminal Revisions but for those cases where during the pendency of Appeals and Revisions, some sentence was served by the Accused and in view of the compromise it is possible for the Court of Revisional jurisdiction to modify the sentence without interfering with the impugned orders of conviction and modify the conviction orders by reducing the sentence to the period already undergone and record that this is in view of the settlement arrived at between the parties. This is also permissible since under Revisional jurisdiction the High Court is permitted to bring in the ends of justice as held by the Delhi High Court in the case of Vijay Kumar Vs. Anil Kumar Gupta 2018 SCC Online Del 12746. 7. In the above context, the provisions of Sections 397 and 401 of the Cr.P.C. and the power of revision of this Court will have to be seen and considered qua the provisions of saving of inherent power of High Court under Section 482 alongwith Section 401 (5) of the Cr.P.C. 8. Ms. Krishnaiyer has referred to and relied upon following three decisions in order to contend that in any Application filed under Section 397 of the Cr.P.C. inherently, the Court would have ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... individual even though an individual might have suffered thereby. It is, therefore, the duty of the State to take appropriate action against the offender. It is equally the duty of a Court of law administering criminal justice to punish a criminal. But there are offences and offences. Certain offences are very serious in which compromise or settlement is not permissible. Some other offences, on the other hand, are not too serious and the law may allow the parties to settle them by entering into a compromise. The compounding of an offence signifies that the person against whom an offence has been committed has received some gratification to an act as an inducement for his abstaining from proceeding further with the case. Earlier, an offence punishable under section 138 of the Negotiable Instruments Act was not compoundable and it was so held by the Courts. Parliament felt the necessity to make the offence compoundable and thus inserted section 147 by the Negotiable Instruments (Amendment and Miscellaneous Provisions) Act, 2002 (Act 55 of 2002). This clearly indicates that the power of compounding has to be exercised within its restricted scope. A crime being a public wrong in breac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... er Sections 326 and 307 IPC which are non-compoundable? Needless to say that offences which are non-compoundable cannot be compounded by the court. Courts draw the power of compounding offences from Section 320 of the Code. The said provision has to be strictly followed ( Gian Singh v. State of Punjab [Gian Singh v. State of Punjab, (2012) 10 SCC 303 : (2012) 4 SCC (Civ) 1188 :(2013) 1 SCC (Cri) 160 : (2012) 2 SCC (L S) 988]). However, in a given case, the High Court can quash a criminal proceeding in exercise of its power under Section 482 of the Code having regard to the fact that the parties have amicably settled their disputes and the victim has no objection, even though the offences are non-compoundable. In which cases the High Court can exercise its discretion to quash the proceedings will depend on facts and circumstances of each case. Offences which involve moral turpitude, grave offences like rape, murder, etc. cannot be effaced by quashing the proceedings because that will have harmful effect on the society. Such offences cannot be said to be restricted to two individuals or two groups. If such offences are quashed, it may send wrong signal to the society. However, when t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ordinarily and generally, almost invariably, barring a few exceptions, were set out by the Supreme Court in Madhu Limaye v. State of Maharashtra, (1977) 4 SCC 551 : AIR 1978 SC 47, 50 in the following terms: (1) That the power is not to be resorted to if there is a specific provision in the Code for the redress of the grievance of the aggrieved party; (2) That it should be exercised very sparingly to prevent abuse of process of any Court or otherwise to secure the ends of justice; (3) That it should not be exercised as against the express bar of law engrafted in any other provision of the Code. The question as to whether the bar contained in sub-section (3) of section 397 of the Cr. P.C. will in any way limit or affect the inherent powers of the High Court under section 482 is also no more res integra. This aspect of the matter was considered by the Supreme Court in Madhu Limaye, Supra. It was observed that the bar operates only in exercise of the revisional power of the High Court meaning thereby that the High Court will have no power of revision under sub-section (1) of section 397. The bar will not operate to prevent the abuse of the process of the Court and/or to secure the end ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 7 and 8 reads thus :- 7. Moreover, this Court has ample power to treat the present petition under Section 482 Cr.PC, which gives inherent powers to the High Court to make such orders as may be necessary to give effect to any order under this Code or to prevent the abuse of process of any Court or otherwise to secure the ends of justice. If the present petition is not held to be maintainable at this stage, petitioner would be rendered remediless as she will not have any opportunity to assail the order dated 12.7.2007 passed by the learned Additional Sessions Judge exercising revisionary powers under Section 397 Cr.PC. 8. Undisputedly, powers under Section 482 Cr.PC are required to be used very sparingly, especially, in the circumstances, where court comes to the conclusion that order passed by the court below is perverse on the face of it and is a result of sheer abuse of the process of law. Keeping in view the fact that this petition has remained pending before this Court since 4th October, 2007, and same was admitted on 5th October, 2007, it would not be proper and just to dismiss the same on the ground of maintainability that too after nine years of the admission of the case. Ac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e following question framed by me in paragraph No. 2 of the above order in view of parties persuading me to take on record Consent Terms of compromise arrived between the parties in Revision Proceedings under Section 397 of the Code of Criminal Procedure, 1973 (for short Cr.P.C. ) and consequentially seek setting aside of the conviction and sentence and allow the Applicant to compound the offence:- Question :- In Revision Applications under Section 397 of the Code of Criminal Procedure, 1973 wherein challenge is maintained to judgment of conviction for offence under Section 138 of the Negotiable Instruments Act, 1881 passed by the learned Trial Court and/or upheld by the learned Sessions Court in Appeal, whether this Court can accept Consent Terms filed by parties to put an end to the lis between the parties and grant relief of compounding of the offence as a sequitur thereto and on what terms? 3. I heard the learned Advocates and learned Amicus Curiae on 29.11.2024 and 09.12.2024 at length. The learned Advocates relied upon several decisions / citations of the Supreme Court and various High Courts in addition to the citations referred to in the order dated 19.11.2024 and made thei ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he record of any proceeding before any inferior Criminal Court situate within its or his local jurisdiction for the purpose of satisfying itself or himself as to the correctness, legality or propriety of any finding. Sentence or order, recorded or passed, and as to the regularity of any proceedings of such inferior Court, and may, when calling, for such record, direct that the execution of any sentence or order be suspended, and if the accused is in confinement, that he be released on bail or on his own bond pending the examination of the record. Explanation . All Magistrates, whether Executive or Judicial, and whether exercising original or appellate jurisdiction, shall be deemed to be inferior to the Sessions Judge for the purposes of this sub-section and of section 398. (2) The powers of revision conferred by sub-section (1) shall not be exercised in relation to any interlocutory order passed in any appeal, inquiry, trial or other proceeding. (3) If an application under this section has been made by any person either to the High Court or to the Sessions Judge, no further application by the same person shall be entertained by the other of them. 9.1. The aforesaid provision empowe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... be necessary, shall record its reasons and may either take such evidence itself, or direct it to be taken by a Magistrate or, when the Appellate Court is a High Court, by a Court of Session or a Magistrate. (2) When the additional evidence is taken by the Court of Session or the Magistrate, it or he shall certify such evidence to the Appellate Court, and such Court shall thereupon proceed to dispose of the appeal. (3) The accused or his pleader shall have the right to be present when the additional evidence is taken. (4) The taking of evidence under this section shall be subject to the provisions of Chapter XXIII, as if it were an inquiry. 11. The next relevant provision is Section 482 of Cr.P.C. It pertains to saving of inherent powers of the High Court. Section 482 of Cr.P.C. reads thus:- 482. Saving of inherent powers of High Court. Nothing in this Code shall be deemed to limit or affect the inherent powers of the High Court to make such orders as may be necessary to give effect to any order under this Code, or to prevent abuse of the process of any Court or otherwise to secure the ends of justice. 12. Section 320 of Cr.P.C. is also relevant as it deals with compounding of offe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... epted by Court and seek compounding of the offence. It is seen that the High Court Legal Services Committee receives Applications in various categories such as Civil Appeals, Family Court Appeals, Criminal Revisions, First Appeal (MACT) and Execution Petitions of Arbitral Award. When parties approach the High Court Legal Services Committee after effecting a compromise and urge that the said compromise to be accepted / taken on record, then in terms of Section 19(1) of the Legal Services Authority Act, 1987 and the Guidelines issued by this Court in Writ Petition No. 3743 of 2021 in the case of Madhukar Baburao Shete Vs. Yogesh Trimbak Shete and Ors. decided on 20.08.2024 , the High Court Legal Services Committee organizing the Lok Adalat is under obligation to follow the procedure prescribed under Section 20 of the said Act. This is because, cases pending in the respective categories in this Court are required to be listed and placed before the National Lok Adalat in view of possibility of an amicable Settlement / Compromise, inter se, between the parties. When such compromised / settled matters are placed before the Lok Adalat which also include CRAs and if they are settled by the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... re no award is made by the Lok Adalat on the ground that no compromise or settlement could be arrived at between the parties, in a matter referred to in sub-section (2), that Lok Adalat shall advice the parties to seek remedy in a Court. (7) Where the record of the case is returned under sub-section (5) to the court, such court shall proceed to deal with such case from the stage which was reached before such reference under sub-section (1). 14.1. From the above provision, it emerges that when the Lok Adalat makes an Award on the basis of a settlement or compromise arrived at between the parties, it proceeds to dispose of the case on the basis of the said Compromise / Consent Terms / Settlement which necessarily entails taking on record the Consent Terms and setting aside of the conviction and sentence, resultantly compounding of the offence. In these cases, consent of both parties is a condition precedent for passing of Award of Lok Adalat and such Award is final and binding on all parties. Sub-sections (3), (4) and (5) refer to two crucial terms namely compromise or settlement . Under Section 21, every Award of the Lok Adalat is deemed to be a decree of a Civil Court and no Appeal ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ntail that any rejection of a compromise request would come in the way of furthering the cause of justice, particularly where commission of offence in all these cases is between two private parties and not directly related to the Society at large. He would however express one reservation that though the flavour of settlement needs to be accepted by the Court, but in the larger interest considering the belated stage at which the compromise is effected, Court should consider the facts of each case with respect to its timeline and pass appropriate order as deemed fit for awarding costs, rather he would persuade the Court to award token costs. 16.3. He would submit that the Supreme Court in the case of Meters and Instruments Pvt. Ltd. (supra) after discussing the series of judgements observed that even in the absence of consent, Court can close criminal proceedings against an accused in cases of offence under the N.I. Act, if the accused has compensated the Complainant. He would submit that the though Supreme Court has time and again reiterated that in cases under Section 138 of N.I. Act, accused must try for compounding at the initial stages instead of a later stage, however, there ca ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... should be permitted by this Court to compound the offence committed under Section 138 of N.I. Act. 16.7. He would submit that the Supreme Court in the case of K. Subramanian Vs. R. Rajathi 2010 (1) RCR (Criminal) 183 held that in view of the provisions of Section 147 of N.I. Act readwith Section 320 of Cr.P.C., compromise arrived at between parties can be accepted even after recording of judgement of conviction. He would draw my attention to the Guidelines issued by Supreme Court in the case of Damodar S. Prabhu (supra) and would persuade the Court that there can be no impediment for this Court even in its Revision jurisdiction in accepting the Compromise / Consent Terms between parties. I shall advert to these Guidelines in my findings later herein below as they refer to award of costs in a graded manner to the Applicant / parties depending upon the stage at which compromise is effected. 16.8. He would argue that even in Revision proceedings, this Court being the High Court under Section 482 of Cr.P.C. will have suo motu power to interfere and accept the compromise and allow compounding of the offence. He would submit that provisions of Section 147 of N.I. Act readwith Sections 39 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (xiv) Bhai Lal Patel Vs. State of Uttarakhand and Ors. 2024 SCC OnLine Utt 1290 (Uttarakhand HC); (xv) Kamal Singh Bisht Vs. State of Uttarakhand and Anr. 2024 SCC OnLine Utt 1138 (Uttarakhand HC); (xvi) Devender Sharma Vs. State NCT of Delhi and Anr. 2024 SCC OnLine Del 2064 (Delhi HC); (xvii) Shyam Sundar Vs. State NCT of Delhi and Anr. 2024 SCC OnLine Del 1168 (Delhi HC); (xviii)Joseph Vs. State of Kerala 2023 SCC OnLine Ker 7671 (Kerala HC); (xix) Vedu Vs. State of Punjab and Anr. CRR-1437-2015(O M) Decided on 11.04.2023. (Punjab Haryana HC); (xx) Lydia Vinita Pais Pinto Vs. State of Goa 2022 SCC OnLine Bom 2293 (Bombay HC); (xxi) Mohd. Aftab Vs. State NCT of Delhi Anr. 2021 SCC OnLine Del 5338 (Delhi HC); (xxii) Ajay Shendge Vs. State of Maharashtra and Anr. 2018 SCC OnLine Bom 13270 (Bombay HC); (xxiii) Jiya Ahmad Abdul Rajjak Mulla Vs. State of Maharashtra and Anr. 2018 SCC OnLine Bom 5906 (Bombay HC); (xxiv) Prema w/o Dalbahadur Mall Vs. State of Maharashtra and Anr. 2011 SCC OnLine Bom 1004 (Bombay HC); (xxv) Santosh s/o Namdevrao Patait Vs. State of Maharashtra and Anr. Cri. Revn. No. 151 of 2011 Decided on 20.07.2011. (Bombay HC); (xxvi) Balakrishnan Vs. Damodaran 2008 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ave held that Revisional Court has all powers conferred upon the Appellate Court by virtue of powers contained in Section 397 of Cr.P.C. readwith Section 401 of Cr.P.C. which are provisions enabling the High Court to exercise all powers of Appellate Court. He would submit that provisions of Sections 395 to 401 of Cr.P.C. read together do not indicate that Revisional power can be exercised as second Appellate power. However for limited purpose, Revisional Court can be conferred with powers of an Appellate Court for the purpose of satisfying itself of the legality or propriety of any finding, sentence or order, recorded or passed, and as to the regularity of any proceeding in the inferior Court. 17.2. He would submit that when Revision Applications are pending before High Court and parties decide to compromise, one of the following three approaches are open to the Applicant Accused to be adopted in case of a compromise which are as under:- (i) Firstly, to challenge the conviction order under Section 482 of Cr.P.C. and file a Criminal Writ Petition for quashing of the impugned order, however this involves re-filing of Revision Application as Quashing Petition since compromise can only ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... educing the sentence to the period already undergone / suffered and record that in view of the settlement arrived at between parties, the case is disposed of. This he would submit is permissible since under its Revisional jurisdiction, High Court is permitted to secure ends of justice as held by the Delhi High Court in the case of Vijay Kumar Vs. Anil Kumar Gupta 2018 SCC OnLine Del 12746 . 17.3. He would submit that even while exercising Revisional powers, Supreme Court has held that if necessary the High Court or Sessions Court can exercise all appellate powers in view of the wordings of Section 397 of Cr.P.C. readwith the enabling provision of Section 401 of Cr.P.C.. Hence, while supporting the submissions advanced by the learned Amicus, he would urge the Court to take the Consent Terms arrived at between parties in CRA Nos. 373 of 2016 to 376 of 2016 and Civil Contempt Petition No. 510 of 2017, wherein he represents the Complainant and in view thereof allow compounding of the offence and set aside conviction of Revision Applicant therein and put a quietus to the matters. He would submit that in Revision Applications wherein he represents the Respondent (Complainant), if the Com ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pra) where endeavour is made to undo the legal vacuum. He would submit that in the said case, Supreme Court in paragraph No. 21 has issued Guidelines required to be followed while compounding offence under N.I. Act. He would submit that as elucidated in Guideline 1(c) laid down therein, it is held that it is well within the jurisdiction of this Court to exercise its powers to effect compounding of offence under N.I. Act while entertaining a Revision Application under Section 397 or Section 401 of Cr.P.C. 18.2. He would submit that the Allahabad High Court in the case of Hari Om Vs. State of U.P. and Anr. 2022 SCC OnLine All 263 while referring to the decision in the case of Damodar S. Prabhu (supra) has taken a similar view and permitted compounding of offence committed under N.I. Act in its Revisional jurisdiction. Paragraph Nos. 20 to 22 of the said decision are relevant and are reproduced below for immediate reference:- 20. Having regard to the aforesaid position of law, even though the parties have arrived at a settlement after the Appellate Court had upheld the conviction of the petitioner, yet keeping in view the spirit of Section 147 of the NI Act, the offence under Section ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat in their case, transaction between parties was on account of a friendly loan between them and that it was an insignificantly small amount and Complainant has expired in the interregnum whereas the Applicant Accused is a senior citizen. Hence, they would submit that looking into the Guidelines laid by the Supreme Court in the case of Damodar S. Prabhu (supra) while taking on record the compromise, Court should consider the facts and circumstances of each case so as to resultantly do complete justice and put a quietus to the matter and in so far as the facts of their case are concerned should not award costs or in the alternate award token costs. 20. Mr. Anand Patil, learned Advocate has requested the Court to permit him to address and assist the Court. He does not appear in any of the matters, but has listened to the debate. He would place on record the most recent order of the Supreme Court passed in the case of Akanksha Arora Vs. Tanay Maben Cri. Appeal arising out of SLP (Cri.) No(s).15909 of 2023 Decided on 04.12.2024., on 04.12.2024 and would contend that this Court will have to apply a judicious approach while hearing a Revision Application under Section 397 of Cr.P.C. vis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the bar, it is seen that provisions of Sections 397, 401 and 320 of Cr.P.C. read alongwith Section 147 of N.I. Act would without doubt enable this Court to utilise its discretion in the given facts and circumstances of the present cases to accept the Consent Terms / Compromise even at this stage much belatedly after conviction. There can be no bar or impediment on this Court exercising its Revisional power alongwith its discretionary power under Section 401 of Cr.P.C. readwith the inherent powers of the High Court under Section 482 of Cr.P.C. to take on record the compromise arrived at between parties in matters which are compoundable having regard to the provisions of Section 147 of N.I. Act. 24. After perusing the above judgements, I have no doubt in coming to the conclusion that in view of the extant power under Section 397 of Cr.P.C., if parties approach the Court with Compromise / Settlement / Consent Terms, the same can be accepted, Applicant Accused can be allowed to compound the offence and the conviction can be set aside. However, there is one issue regarding directions to the Applicant to deposit costs in a given case which needs to be addressed by me. 25. In the case of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at any stage, however belated it may be, even after conviction otherwise it will give an incentive to the drawer of the cheque for delay in settling the case for years together. This will not only overburden the legal system, but give an unfair advantage to the Accused to tire out the Complainant and then at a much belated stage agree to compromise. The Supreme Court considered the submission of the learned Attorney General that Application for compounding made after several years post conviction by way of filing Consent Terms not only results in a burden on the system but the Complainant is also deprived of effective justice. The adage Justice delayed is Justice denied therefore holds true in such circumstances. The Supreme Court therefore framed the Guidelines by stating that if such Application for compounding of the offence is made at the first or second hearing of the case, it may be allowed by the Court without imposing any costs on the Accused, but if it is made at any subsequent stage thereafter, compounding can be allowed subject to condition that Accused will be required to pay 10% of the cheque amount to be deposited as a condition precedent for compounding with the Lega ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in this manner by filing Consent Terms, payment of costs is circumvented. In most of the cases of various High Courts cited at the bar, without reference to the Guidelines, parties have been allowed to settle and Consent Terms are taken on record and the lis is ended. 28. Keeping in view the above imprimatur of the Supreme Court, in the case of Damodar S. Prabhu (supra), I am of the opinion that as held by the Supreme Court and submissions made by the learned Amicus Curiae, Mr. Raikar and the learned APP, costs can undoubtedly be directed to be deposited in cases where Consent Terms are filed at a belated stage, and I am of the opinion that deposit of costs cannot be ignored or over-looked if parties approach the Court to put an end to the lis. However, as held by the Supreme Court in the same decisions, the Court hearing the matter can reduce the costs with regard to the specific facts of each case by recording the reasons in writing for such variance. Parties before me have urged the Court to therefore award nominal or token costs. This is so because when parties compromise and enter into a settlement, it is suggested that the Court should consider and also ensure that the settl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... lve their longstanding dispute despite their conviction. However, if the parties apply to the Court, then in the facts of the given case, if the Court has to award lesser costs as suggested in the Guidelines alluded to herein above, then it would be at the discretion of the Court, provided appropriate reasons are given for the same. 31. From the above, it is derivated that the N.I. Act provides no explicit procedure and Guidelines as to when such compounding can or cannot be done and whether compounding can be done at the instance of the Complainant or with leave of the Court. Further the Court can reduce the costs having regard to the facts and circumstances of each case by recording appropriate reasons on hearing the parties. 32. In this regard, the decision of the Supreme Court in the case of Ajay Kumar Radheyshyam Goenka (supra) can be fruitfully referred to. Paragraph Nos.94, 95 and 96 are relevant and are quoted herein below:- 94. Compounding and quashing are not synonymous terms. In law, they have different meanings and consequences. They arise from different situations and operate in different fields and stages. There is no apparent legal interdependence or interlink to the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... h Courts, I answer the question framed by me in paragraph No. 2 of this judgement in the affirmative, subject to deciding the deposit of costs by the Applicants as urged before me in each of the matters on their own merits and the submissions made by the learned Advocates for the parties before me. 36. In the present set of cases before me, learned Advocates for all parties have urged that the facts and circumstances be considered by the Court in each of the cases and on their own merits and the timeline involved, appropriate token costs be levied on the Applicants if the Court is of the view that costs should be directed to be deposited. Hence, I have heard the learned Advocates on the facts and circumstances of their respective cases separately as they have chosen to address the Court on the issue of deposit of costs and findings in each of the above cases and my findings are given herein below:- Criminal Revision Application Nos. 373 of 2016, 374 of 2016, 375 of 2016, 376 of 2016 and Civil Contempt Petition No. 510 of 2017:- 37. In view of the above, the common Consent Terms given by parties in CRA Nos. 373 of 2016, 374 of 2016, 375 of 2016, 376 of 2016 and Civil Contempt Petiti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd conviction and sentence imposed by the impugned orders on the Applicant is quashed and set aside. Considering the facts in the case, I am inclined to direct the Revision Applicant to deposit costs of Rs. 2,000/- with the Maharashtra State Legal Services Authority to be paid within a period of four weeks from today. 38.2. CRA No. 369 of 2023 is allowed in terms of Consent Terms. Accordingly, CRA No. 369 of 2023 is disposed. Criminal Revision Application No. 152 of 2007 alongwith Interim Application No. 3830 of 2024:- 39. In this CRA, Interim Application No. 3830 of 2024 is filed for bringing legal heirs of Respondent No. 2 Complainant who expired on 16.08.2023 on record. The death certificate is appended to the Interim Application. Respondent Nos.2(a) and 2(b) are original Complainant's widow and son. Though there is a slight delay in filing the Interim Application, in the interest of justice, delay deserves to be condoned and legal heirs are required to be brought on record for continuation of the Revision proceedings. Interim Application No. 3830 of 2024 is a composite Application seeking condonation of delay for approaching the Court, setting aside abatement if any, and br ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... matters, parties have amicably settled the matter and filed Consent Terms dated 16.12.2024. The Consent Terms are taken on record and marked X-3 for identification. It is seen that the dispute between the parties dates back to 1999. The amount of cheque was Rs. 4,00,000/-. It is stated that the cheque amount alongwith the fine amount has been deposited in 2007 as stated in Consent Terms. Parties have agreed that Complainant shall receive the said deposited amount of Rs.4,05,000/- alongwith all accrued interest thereon. Both the above matters are disposed of in terms of the Consent Terms between the parties. 41.1. In the facts and circumstances of the present case, I am inclined to direct Applicant to deposit costs of Rs. 3,000/- with the Maharashtra State Legal Services Authority to be paid within a period of four weeks from today. Accordingly, compounding of the matter is allowed. Conviction and sentence of the Applicant is quashed and set aside. 41.2. The deposited amount of Rs. 4,05,000/- alongwith all accrued interest shall be paid over to the Complainant by the Registry of this Court / Court where the amount is deposited on production of a server copy of this judgement. Regis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... week from the date of presentation of this judgement / order. 42.2. CRA No.625 of 2015 is allowed and disposed in the above terms. Criminal Revision Application Nos. 474 of 2007 and 475 of 2007. 43. Mr. Ingawale, learned Advocate appears for the Applicants, who are original Accused in CRA Nos. 474 of 2007 and 475 of 2007. He would submit that pursuant to the twin orders dated 07.08.2024 in the above CRAs, the matter between the parties was referred to the District Legal Services Authority, Kolhapur for mediation. He would submit that the Civil Judge Senior Division has successfully completed mediation between the parties and placed on record two separate Mediation Reports, both dated 04/05.10.2024 stating that the matters have been amicably settled between the parties and parties have submitted a Compromise Pursis. I have perused the Compromise Pursis appended to the Mediation Reports. 43.1. Mr. Ingawale would submit that if the common Compromise Pursis dated 04.10.2024 is seen, it is stated therein that parties have agreed to settle the matter on terms mentioned therein. It is seen that conviction of sentence is rigorous imprisonment for 3 months and to pay fine of Rs. 3,000/-. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Services Authority as costs for considering the request of the Applicant / both parties to take the common Consent Terms on record and allow Applicant to compound the offence. Subject to payment of costs as directed above which shall be paid within a period of four weeks from today, the conviction and sentence of the Applicant in CRA Nos. 156 of 2015 and 158 of 2015 is quashed and set aside. Liberty to withdraw the amount of Rs. 3,00,000/- as stated in clause 3(b) of the Consent Terms from this Court alongwith all accrued interest. Registry shall act on a server copy of this judgement. 45. Accordingly, CRA Nos. 156 of 2015 and 158 of 2015 are allowed and disposed in the above terms. Criminal Revision Application No. 380 of 2002:- 46. In so far as CRA No. 380 of 2002 is concerned, on 07.10.2024, after hearing Mr. More a detailed order was passed by this Court. He would submit that Complainant i.e. private Respondent in this Application is not traceable and all attempts made by Applicant / his Advocate to serve Complainant have been futile. The remark returned on the service effected through Court states that Complainant is not found at the given address and he has sold his premises ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... plainant by way of compensation and in default suffer simple rigorous imprisonment for one year. Accused filed Criminal Appeal No. 125 of 2002 before Sessions Court. By order dated 17.10.2002, Appeal was dismissed. Against the said dismissal order dated 17.10.2002 Applicant has filed the present CRA. In view of the judgement passed today and absence of Complainant i.e. private Respondent No. 2 before Court, this CRA will have to be considered separately on its own merits and facts. It cannot be allowed to be settled or compromised in the absence of the Complainant. 48.2. Hence, in view of the above distinct facts, CRA No. 585 of 2002 shall be listed separately for hearing on 14th January 2025. 49. This Court appreciates the assistance rendered by Mr. Faiz Merchant, learned Amicus Curiae alongwith Mr. Faizal Shaikh, learned Advocate, Mr. Raikar, Mr. Raut and Dr. Krishnaiyer, who have ably assisted this Court for deciding the above question of law. 50. In view of the above judgement, CRA Nos. 373 of 2016, 374 of 2016, 375 of 2016, 376 of 2016 and Civil Contempt Petition No. 510 of 2017; CRA No. 369 of 2023; CRA No.625 of 2015; CRA No. 152 of 2007 with IA No. 3830 of 2024; Criminal Ap ..... X X X X Extracts X X X X X X X X Extracts X X X X
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