Allahabad High Court
Anil Kumar vs State Of U.P. And Another on 16 September, 2025
HIGH COURT OF JUDICATURE AT ALLAHABAD
Neutral Citation No. - 2025:AHC:164428
HIGH COURT OF JUDICATURE AT ALLAHABAD
APPLICATION U/S 528 BNSS No. - 35508 of 2025
Anil Kumar
.....Applicant(s)
Versus
State Of U.P. And Another
.....Opposite Party(s)
Counsel for Applicant(s)
:
Shailesh Pandey
Counsel for Opposite Party(s)
:
G.A.
Court No. - 75
HON'BLE VIKAS BUDHWAR, J.
1. Heard Sri Shailesh Pandey, learned counsel for the applicant as well as Sri Moti Lal, learned AGA for the State/opposite party no.1.
2. In view of the order, which is being proposed to be passed, notices are not being issued to O.P. No. 2.
3. This application under Section 528 of the B.N.S.S. has been filed by the applicant to quash the entire proceeding initiated by order dated 11.07.2025 passed by Additional Civil Judge (J.D.) Etah in Complaint Case No. 11331 of 2021 (Shivam Gupta Vs Anil Kumar) Under Section 138 N.I.Act Polici Station- Kotwali Nagar, District-Etah, by which the application 12-1 of Opposite Party No.2 has been allowed and also directed to the applicant to pay Rs. 20,000/- as Interim Compensation @ 10% o cheque amount, as well as Impugned Revisional Order date 04.08.2025 passed by Learned Session Judge, Etah in Crimina Revision No. 290 of 2025 (Anil Kumar Vs State of U.P. and Another) whereby the revision filed by the applicant has been dismissed.
4. The case of the applicant is that post lodging of a complaint under Section 138 of the N.I. Act on 29.9.2021 with regard to dishonouring of a cheque the applicant came to be summoned thereafter an application came to be preferred by the opposite party no.2 on 12.4.2024 for the grant of interim compensation on 20% out of the total amount of Rs.6,15,000/- on 12.4.2024 which came to be objected by the applicant on 4.2.2025 and the court of Additional Civil Judge, (S.D.),Etah in Complaint Case No.11331 0 2021 proceeded to accord interim compensation under Section 143A of the N.I. Act to the tune of 10% out of the total amount of Rs.2,00,000/- being Rs.20,000/-. Questioning the same a revision came to be preferred by the applicant being Criminal Revision No.290 of 2025 which came to be dismissed on 4.8.2025 by the court of Sessions Judge, Etah.
5. Questioning both the orders, the present application has been preferred.
6. Learned counsel for the applicant has submitted that the order according interim compensation to the tune of 105 being Rs.20,000/- out of the total amount of Rs.2,00,000/- and the revisional order cannot be sustained as they are not as per the mandate of the Hon'ble Apex Court in the case of Rakesh Ranjan Srivastava vs. State of Jharkhand 2024 INSC 205. Further submission is that both the courts below have not taken into account the crucial aspect of the matter being prima facie evaluation of the merits of the case of the complainant and the accused financial distress of the accused in case a decision is to be taken for grant of interim compensation then the quantum of the interim compensation vis-a-vis while bearing in mind the relationship of the parties and the nature of the transaction. He has further submitted that on mere asking interim compensation has been accorded. He has thus submitted the orders be set aside and the matter be remitted back to the court below to pass a fresh order.
7. Learned AGA on the other hand submits that once the cheques stood drawn then the presumption under Section 139 of the N.I.Act, however, he could not dispute the fact that the law in this regard is crystalized in Rakesh Ranjan Srivastava (Supra). He further submits that the order be set aside, matter be remitted back to the court below to pass a fresh order.
8. I have heard the submissions so made across the bar and perused the record carefully. The order passed by the Additional Civil Judge (J.D.) Etah under Section 143A of the N.I. Act dated 11.7.2025 reads as under:- "11.07.2025
1-???????? ??? ???? ??????? ???? ?????? ?? ?? ?? ???????? ????????????? ???? ??? 12 ? ??? ???? ????????????? ?? ??????? ??????? ?? ?? ?? ???? ???? ??? 18 ? ?? ???? ??????? ?????????? ?? ????? ???? ?? ???? ?? ???? ??? ???????? ???????? ???? ???
2-??????? ?? ?? ?? ????????????? ???? ??? 12 ? ?? ??? ?? ???????? ???? ??? ?? ?? "???????? ??????? ??? ?????? ??????? ?? ????????? ???????? ???????? ?? 6,50,000/- ??? ???? ???? ????? ??? ??? ?????? ??? ???????? ?? ???? 143 ? ?????????? ?? ??????? ??? ?????? ???? ?? ???????? ?? ????? ??? ?????? ?? 20% ????? ?????? ???? ???????? ??? ?????? ???" ??? ????????????? ?? ?????? ?? ???????? ?????? ??????? ??? ?????? ?? 20 ??????? ????? ??????? ?? ???? ??? ??????? ???? ???? ???? ????? ???? ???? ?? ????????? ?? ??? ???
3-???? ????????????? ?? ??????? ??????? ?? ?? ?? ?????? ???? ??? 18 ? ???????? ?? ??? ???? ??? ?? ?? "????????????? ???????? 12.04.2024 ????? ???? ???? ????? ??? ??????? ?????? ????? ???????? 15.02.2021 ?? ?????? ?? ??????? ?? ??? 6,50,000/- ????? ?? ??? ???? ?? ??? ??? ??????? ?? ???? ????? ??? ?????? ?? ????? ????, ???? ??? ????? ???? ???? ??, ???? ?? ?????? ?? ?? ??????? ?????? ?????? ???? ???? ?? ???????? ???? ??? ??? ??? ?? ????????? ??? ??? ?? ???? ??? ?? ??? ?????? ? ?????? ??? ??? ?? ????? ??? ??????? ?????? ?????? ???? ???????? ???? ??? ?? ??? ???????? ?? ???????? ???? ??? ??, ????? ??? 2,00,000/- ????? ?????? ????? ?? ?? ??? ????????????? ???????? 12.04.2024 ??? ??? 6,50,000/- ????? ?? 20 ??????? ?????? ???? ?? ???? ?? ??, ?? ?? ???? ??????? ??? ????????????? ?????? ???? ???? ????? ???"
4-???? 143 (?) ?????????? ??? ?? ?????????? ???? ??? ?? ??
*143 ?. (1) ??? ????????? ??????, 1973 ??? ?????????? ???? ??? ?? ???? ??? ?? ???? 138 ?? ???? ???? ????? ?? ?????? ???? ???? ???????? ??? ?? ??????? ??-
(?) ????????? ?????? ?? ??? ????? ???, ???? ?????? ??? ???? ???? ??? ?????? ?? ???? ???? ???? ?? ?????? ???? ?? ???
(?) ???? ???? ????? ??? ???? ?????? ??? ???? ?? ??????? ?? ?????? ??????? ??? ?? ????? ???? ?? ???? ?? ??????
(2). ?????? (1) ?? ???? ?????? ??????? ??? ?? ??? ?? ??? ??????? ?? ???? ???? ????? (3). ?????? ??????? ?? ?????? (1) ?? ???? ???? ???? ?? ????? ?? ??? ??? ?? ???? ?? ??? ?? ??????? ?????? ???????? ???? ?????? ???? ???? ?? ??? ??? ?? ????? ?? ??? ?? ???? ?? ???? ????? ???????? ?????? ????? ???? ???, ????? ???? ??????
(4). ??? ??? ?? ??????? ?? ???????? ?? ???? ???? ??, ?? ???????? ??????? ?? ??????? ?? ?????? ??? ??????? ?? ???? ?? ????? ?? ??? ??? ?? ???? ?? ??????? ?????? ???????? ???? ?????? ???? ???? ?? ??? ??? ?? ?????? ?? ??? ?? ???? ?? ???? ????? ???????? ?????? ????? ???? ???, ?????? ??????? ???? ?? ??????? ?? ??????? ???? ?? ?? ????? ???? ?????????? ?? ????? ?????
(5). ?? ???? ?? ???? ????? ?????? ??????? ?? ?????? ???? ???? ?? ????? ???? ?? ??? ????????? ??????, 1973 ?? ???? 421 ?? ???? ??? ???????? ???
(6). ???? 138 ?? ???? ???????? ????? ?? ??? ?? ??? ????????? ??????, 1973 ?? ???? 357 ?? ???? ?????????? ??????? ?? ??? ??? ?? ?? ???? ?? ???? ?????? ??????? ?? ??? ??? ???? ?? ???? ?? ??? ??? ??? ?? ??????" 5-???????? ?? ??????? ?? ????? ?? ?? ??????? ???? ????? ?? ????? ????? ??? ???????? ?????? ??????? ?? ?? ???? ??? ?? ?? ????????? ?? ?? ??? ??????? ?? ???? ????? ??? ???????? ???? ???? ??, ?? ??? ?????? ??? ???? 143 (?) ?????????? ?? ?????? 4 ?? ??????? ??????? ??????? ?????? ?? ??????? ???? ?? ?? ?? ????? ?? ???? ?? ??????? ?? ???? ?????? ???? ?? ???????? ??? ??????? ?? ?????? ???????? ?? ??????? ?? ??? ?????? ???? ?? ?????? ???? ???? ??? ??, ???? ??? ?? ?????? 2,00,000/- ????? ??? ???? 143 (?) ?????????? ?? ?????? ??????? ?? ????? ?????? ???????? ?????? ??????? ??? ?? ???? ?? ?????? 20 ??????? ?????? ??????? ?? ??? ??? ?????? ?? ???? ??? ??? ????? ?? ???? ?????? ? ???????????? ?? ???????? ???? ?????? ???????? ????????????? ??????? ???? 143 (?) ?????? ???? ??????? ???? ???? ?? ???? ???????? ???? ????????????? ??????? ???? ???? ????? ???
-????-
????????????? 12 ? ??????? ???? ???? ??? ??????? ?? ?????? ???? ???? ?? ?? ???? 143 (?) ?????????? ?? ??????? ???? ?? ?????? ?? 30 ??? ?? ???? ??? ??? 000007 ??? ?????? ?????? ???? 2,00,000/- ????? ?? 10 ??????? ?????? ???? 20,000/- ????? ???? ?? ?????? ??????? ?? ??? ??? ???? ????????? ????? ???????? ?????? ??????? ???? ?????? 19.08.2025 ?? ??? ??? "
9. The order dated 04.08.2025 passed by the revisional court in Criminal Revision 290 of 2025 which reads as under:- "04.08.2025 This Criminal Revision u/s 438 B.N.S.S., 2023 has been preferred by the accused/revisionist against the impugned order dated: 11.07.2025 passed by Id. A.C.J.(S.D.), Etah, whereby Id. Trial court has allowed the application 12-B moved by complainant and directed the accused/revisionist to pay 10% of cheque amount to the complainant withia one month. Revisionist has stated in his revision that Id. Trial court has wrongly imposed the condition to deposit 10% of the cheque amount within one month because provisions of section 143-A of N.I. Act are not mandatory, it is directory provision as held by the Hon'ble Supreme Court in cose law of Rakesh Ranjan Shrivastava Vs. State of Jharkhand, judgment dated: 15.03.2025, 2024 INSC 205. Heard on the point of admission. This complaint case no. 11331/2021 u/s 138 N.1. Act, was instituted before the trial court in which complainant moved an application 12-B, which was allowed by the Id.. Trial Court by the impugned order. Ld. Trial Court has directed the accused/revisionist to pay 10% of cheque amount to the complainant within one month. The provisions of section 143-A are read under:-Section 143-A Power to direct interim compensation- (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 sub-section (1) shall not exceed twenty percent of the cheque amount. (3) The interim compensation shall be paid within sixty days from the date of the order under sub-section (1), or within such further period not exceeding thirty days as may be directed by the Court on sufficient cause being shown by the drawer of the cheque. (4) If the drawer of the cheque is acquitted, the Court shall direct the complainant to repay to the drawer the amount of interim compensation, with interest at the bank rate as published by the Reserve Bank of India, prevalent 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. (5) The interim compensation payable under this section may be recovered as if it were a fine under section 421 of the Code of Criminal Procedure, 1973. (6) The amount of fine imposed under section 138 or the amount of compensation awarded under section 357 of the Code of Criminal Procedure, 1973, shall be reduced by the amount paid or recovered as interim compensation under this section. It is well settled law that Trial Court has power to give direction. to accused to deposit maximum 20% of the cheque amount at the time of bail or framing of charge. However, it is not mandatory but depends on the facts of the case and Magistrate is empowered to pass such order at the time of deciding bail or framing of charge. Therefore, lo. Trial Court has not commited any iregularity and improperity in the impugned order. Therefore, this revision is liable to be dismissed summarily. Let a copy of this order be sent to the ld. Trial court for necessary action."
10. A bare look of the aforesaid orders would reveal that the same are not in consonance and in conformity of the mandate of the Hon'ble Apex Court in the case of Rakesh Ranjan Srivastava (supra).
11. In the present case in hand, the Court finds that there has been no consideration of the parameter pertaining to the financial distress of the accused which is one of the consideration when a decision is to be taken for payment of interim compensation post evaluation on the merits on prima facie basis of the case of the complainant and the accused. The quantum of compensation has also not been taken note of and further the Court finds that there is no consideration with regard to the several factors such as nature of the transaction relationship between the accused and the complainant.
12. Accordingly, the present application stands disposed of.
13. The order dated 11.07.2025 passed by Additional Civil Judge (J.D.) Etah in Complaint Case No. 11331 of 2021 (Shivam Gupta Vs Anil Kumar) and order dated 4.8.2025 Criminal Revision No.290 of 2025, Anil Kumar Vs. State of U.P. and another are set aside.
14. The matter is remitted to back to the court below to pass fresh order with most expedition.
15. In order to facilitate expeditious disposal of the matter, the applicant is to furnish the certified copy of the order by 09.10.2025.
16. The Trial Court below post remand shall pass a fresh order strictly in accordance with law principle laid down in the case of Rakesh Ranjan Srivastava (supra).
17. The applicant is represented before this Court through his counsel, thus, the applicant shall not take any adjournment, in case, adjournment is being granted for any eventuality then the same should be on the genuine reasons and not more than ten days at a stretch.
(Vikas Budhwar,J.)
September 16, 2025
piyush
