[Cites 4, Cited by 0]
Madras High Court
Nangaraja Gupta vs Jitesh Jain on 8 January, 2026
Author: M. Nirmal Kumar
Bench: M. Nirmal Kumar
CRL RC Nos.997, 998, 999 and
1000 of 2019
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 08-01-2026
CORAM
THE HONOURABLE MR JUSTICE M. NIRMAL KUMAR
CRL RC Nos.997, 998, 999 and 1000 of 2019
AND
CRL MP Nos.18901, 18907, 18908 and 18904 of 2025
Nangaraja Gupta
S/o.Prabakar Setru, Sri Areca Nut Plate
Industries, Banni Gannahalli,
M.N.Kote, Nittur Hobli, Gubbi Taluk,
Tumkur District-572 222.
Petitioner(s)
Vs
Jitesh Jain
S/o.Kantilal Jain, 174, Bhavani Main
Road, Old Ramraj Building,
Suriyampalayam, R.N.Pudur,
Erode-638 005.
Respondent(s)
CRL MP No. 18901 of 2025
1. Nangaraja Gupta
S/o. Prabakar Setru, Sri Areca Nut Plate
Industries, Banni Gannahalli,
M.N.Kote, Gubbi Taluk, Tumkur
District- 572 222.
Petitioner(s)
Vs
1. Jitesh Jain
S/o.Kantilal Jain, 174, Bhavani Main
road, Old Ramraj Building,
1/21
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CRL RC Nos.997, 998, 999 and
1000 of 2019
Suriyampalayam, R.N.Pudur, Erode-
638 005.
Respondent(s)
CRL RC No. 999 of 2019
Nangaraja Gupta
S/o.Prabakar Setru, Sri Areca Nut Plate
Industries, Banni Gannahalli,
M.N.Kote, Nittur Hobli, Gubbi Taluk,
Tumkur District-572 222.
Petitioner(s)
Vs
Jitesh Jain
S/o.Kantilal Jain, 174, Bhavani Main
Road, Old Ramraj Building,
Suriyampalayam, R.N.Pudur,
Erode-638 005.
Respondent(s)
CRL MP No. 18907 of 2025
1. Nangaraja Gupta
S/o. Prabakar Setru, Sri Areca Nut Plate
Industries, Banni Gannahalli,
M.N.Kote, Gubbi Taluk, Tumkur
District- 572 222.
Petitioner(s)
Vs
1. Jitesh Jain
S/o.Kantilal Jain, 174, Bhavani Main
road, Old Ramraj Building,
Suriyampalayam, R.N.Pudur, Erode-
638 005.
Respondent(s)
CRL MP No. 18908 of 2025
1. Nangaraja Gupta
S/o. Prabakar Setru, Sri Areca Nut Plate
Industries, Banni Gannahalli,
M.N.Kote, Gubbi Taluk, Tumkur
District- 572 222.
2/21
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CRL RC Nos.997, 998, 999 and
1000 of 2019
Petitioner(s)
Vs
1. Jitesh Jain
S/o.Kantilal Jain, 174, Bhavani Main
road, Old Ramraj Building,
Suriyampalayam, R.N.Pudur, Erode-
638 005.
Respondent(s)
CRL MP No. 18904 of 2025
1. Nangaraja Gupta
S/o. Prabakar Setru, Sri Areca Nut Plate
Industries, Banni Gannahalli,
M.N.Kote, Gubbi Taluk, Tumkur
District- 572 222.
Petitioner(s)
Vs
1. Jitesh Jain
S/o.Kantilal Jain, 174, Bhavani Main
road, Old Ramraj Building,
Suriyampalayam, R.N.Pudur, Erode-
638 005.
Respondent(s)
CRL RC No. 998 of 2019
Nangaraja Gupta
S/o.Prabakar Setru, Sri Areca Nut Plate
Industries, Banni Gannahalli,
M.N.Kote, Nittur Hobli, Gubbi Taluk,
Tumkur District-572 222.
Petitioner(s)
Vs
Jitesh Jain
S/o.Kantilal Jain, 174, Bhavani Main
Road, Old Ramraj Building,
Suriyampalayam, R.N.Pudur,
Erode-638 005.
3/21
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CRL RC Nos.997, 998, 999 and
1000 of 2019
Respondent(s)
CRL RC No. 1000 of 2019
Nangaraja Gupta
S/o.Prabakar Setru, Sri Areca Nut Plate
Industries, Banni Gannahalli,
M.N.Kote, Nittur Hobli, Gubbi Taluk,
Tumkur District-572 222.
Petitioner(s)
Vs
Jitesh Jain
S/o.Kantilal Jain, 174, Bhavani Main
Road, Old Ramraj Building,
Suriyampalayam, R.N.Pudur,
Erode-638 005.
Respondent(s)
For Petitioner : Mr.L.Mouli
in all cases
For Respondent: Mr.V.Meenakshisundaram
in all cases
COMMON ORDER
Today, the case is listed today under the caption ‘For Bing Mentioned’ at
the instance of the learned counsel for petitioner.
2. Considering the submission of the learned counsel for petitioner,
paragraphs 8 and 10 of the order dated 14.10.2025 shall be replaced as follows:
“8. Both the learned counsel for petitioner as well as
respondent filed compounding petitions in Crl.M.P.Nos.18901,
18904, 18907 & 18908 of 2025 in Crl.R.C.Nos.997, 998, 999 &
1000 of 2019 invoking Section 147 of the Negotiable Instruments
Act, 1881 along with Joint Memo (in all cases), signed by the
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CRL RC Nos.997, 998, 999 and
1000 of 2019
petitioner and the respondent and by their respective counsel and
the same are ordered. For the purpose of clarity, one of the Joint
Compromise Memos is extracted hereunder:
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CRL RC Nos.997, 998, 999 and
1000 of 2019
10. The petitioner/accused already deposited a sum of
Rs.50,000/- each (In total Rs.2,00,000/-) to the credit of
S.T.C.Nos.459, 462, 461 & 460 of 2016 on the file of the
Metropolitan Magistrate, Fast Track Court No.II (Magisterial
Level), Erode at the time of filing appeals before the Lower Appellate
Court. The Trial Court is directed to return the deposited amount of
Rs.2,00,000/- lying in STC.Nos.459, 462, 461 & 460 of 2016 to the
petitioner/accused dispensing notice to the respondent/complainant.
The petitioner shall file a petition/Memo before the Trial Court for
return of such amount.”
3. Registry is directed to carry out the above corrections in the order
dated 14.10.2025 and issue a fresh copy of the order dated 14.10.2025.
4. The issue is clarified accordingly.
08.01.2026
rsi
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CRL RC Nos.997, 998, 999 and
1000 of 2019
M. NIRMAL KUMAR, J.
rsi
CRL RC Nos.997, 998, 999 and 1000 of 2019
08.01.2026
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 14.10.2025
CORAM
THE HONOURABLE MR.JUSTICE M.NIRMAL KUMAR
Crl.R.C.Nos.997, 998, 999 & 1000 of 2019 and
Crl.M.P.Nos.18901, 18904, 18907 & 18908 of 2025
Nangaraja Gupta, M.P., M/41 years,
S/o.Prabakar Setru,
Sri Areca Nut Plate Industries,
Banni Gannahalli,
M.N.Kote,
Nittur Hobli,
Gubbi Taluk,
Tumkur District – 575 222. ... Petitioner in all revisions
Vs.
Jitesh Jain, M/43 years,
Kantilal Jain,
174, Bhavani Main Road,
Old Ramraj Building,
Suriyampalayam,
R.N.Pudur, Erode – 638 005. ... Respondent in all revisions
PRAYER in Crl.R.C.No.997 of 2019: Criminal Revision Cases are filed under
Sections 397(1) and 401 of Code of Criminal Procedure, to set aside the
judgment dated 01.11.2018 passed by the learned II Additional District and
Sessions Judges, Erode in Crl.A.No.184 of 2018 confirming the conviction and
sentence of one year Simple Imprisonment and fine of Rs.5,000/- in default to
undergo two months Simple Imprisonment imposed by the learned Judicial
Magistrate, Fast Track Court-II, Erode by judgment dated 22.05.2018 in
S.T.C.No.459 of 2016.
PRAYER in Crl.R.C.No.998 of 2019: Criminal Revision Cases are filed under
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
Sections 397(1) and 401 of Code of Criminal Procedure, to set aside the
judgment dated 01.11.2018 passed by the learned II Additional District and
Sessions Judges, Erode in Crl.A.No.187 of 2018 confirming the conviction and
sentence of one year Simple Imprisonment and fine of Rs.5,000/- in default to
undergo two months Simple Imprisonment imposed by the learned Judicial
Magistrate, Fast Track Court-II, Erode by judgment dated 22.05.2018 in
S.T.C.No.462 of 2016.
PRAYER in Crl.R.C.No.999 of 2019: Criminal Revision Cases are filed under
Sections 397(1) and 401 of Code of Criminal Procedure, to set aside the
judgment dated 01.11.2018 passed by the learned II Additional District and
Sessions Judges, Erode in Crl.A.No.186 of 2018 confirming the conviction and
sentence of one year Simple Imprisonment and fine of Rs.5,000/- in default to
undergo two months Simple Imprisonment imposed by the learned Judicial
Magistrate, Fast Track Court-II, Erode by judgment dated 22.05.2018 in
S.T.C.No.461 of 2016.
PRAYER in Crl.R.C.No.1000 of 2019: Criminal Revision Cases are filed
under Sections 397(1) and 401 of Code of Criminal Procedure, to set aside the
judgment dated 01.11.2018 passed by the learned II Additional District and
Sessions Judges, Erode in Crl.A.No.185 of 2018 confirming the conviction and
sentence of one year Simple Imprisonment and fine of Rs.5,000/- in default to
undergo two months Simple Imprisonment imposed by the learned Judicial
Magistrate, Fast Track Court-II, Erode by judgment dated 22.05.2018 in
S.T.C.No.460 of 2016.
For Petitioner : Mr.L.Mouli in all revisions
For Respondent : Mr.V.Meenakshisundaram in all revisions
COMMON ORDER
The petitioner was convicted by judgment dated 22.05.2018 by the
learned Judicial Magistrate, Fast Track Court-II (Magisterial Level), Erode
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
(trial Court) in S.T.C.Nos.459, 462, 461 & 460 of 2016 for offence under
Section 138 of Negotiable Instruments Act, 1881 and sentenced to undergo one
year Simple Imprisonment and to pay a fine of Rs.5,000/- in default to undergo
Simple Imprisonment for two months. Challenging the same, the petitioner
preferred an appeal before the learned II Additional Sessions Judge, Erode
(lower appellate Court) in Crl.A.Nos.184, 187, 186 & 185 of 2018 and the
same was dismissed by judgment dated 01.11.2018 confirming the conviction
of the trial Court. Aggrieved over the same, the present Criminal Revision
Cases are filed.
2.Gist of the case in S.T.C.No.459 of 2016 is that the
respondent/complainant and the petitioner/accused are known to each other for
several years. The respondent was doing business of manufacturing Nut Plates
in the name of M/s.Chandra Traders and the petitioner/accused was doing
same business in the name of M/s.Sri Areca Nut Plate Industries. In the month
of August 2013, the petitioner approached the respondent to support in all the
fields like funding, supply of machineries and supply of raw materials and the
petitioner induced the respondent and offered him to pay 30% of profit amount
and also agreed to repay the loan amount with interest at the rate of 18% per
annum. Believing the same, the respondent supplied nut plates manufacturing
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
machines and supplied raw materials to the worth of Rs.7,00,000/- to the
petitioner. The petitioner also borrowed money from the respondent in the
years 2013 & 2014 to the tune of Rs.6,53,000/-. Thereafter, the petitioner
failed to pay any percentage of profit amount to the respondent and also
dragged to repay the loan amount borrowed. After negotiation, the respondent
has agreed to receive a sum of Rs.12,00,000/- from the petitioner as full and
final settlement and in discharge of the same, the petitioner issued eight
cheques for Rs.1,00,000/- each and two cheques for Rs.2,00,000/- each (totally
Rs.12,00,000/-) drawn on Kaveri Grameena Bank, N.Kotte, Gubbi Taluk,
Tumkur, in favour of the respondent. When the respondent presented the
above said cheques for encashment in State Bank of Mysore, Erode, the same
got dishonoured on 24.06.2015 for the reason “Funds Insufficient” which was
informed to the respondent on 02.07.2015. The cheque pertaining to this case
is cheque No.065597 for Rs.1,00,000/- dated 20.05.2015. Thereafter, the
respondent issued a legal notice to the petitioner on 08.07.2015 to settle the
entire cheque amount within 15 days. But the petitioner neither made any
reply to the notice nor returned the cheque amount. Hence, the complaint
under Section 138 of Negotiable Instruments Act, 1881 was filed.
3.Gist of the case in S.T.C.No.462 of 2016 is that the
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
respondent/complainant and the petitioner/accused are known to each other for
several years. The respondent was doing business of manufacturing Nut Plates
in the name of M/s.Chandra Traders and the petitioner/accused was doing
same business in the name of M/s.Sri Areca Nut Plate Industries. In the month
of August 2013, the petitioner approached the respondent to support in all the
fields like funding, supply of machineries and supply of raw materials and the
petitioner induced the respondent and offered him to pay 30% of profit amount
and also agreed to repay the loan amount with interest at the rate of 18% per
annum. Believing the same, the respondent supplied nut plates manufacturing
machines and supplied raw materials to the worth of Rs.7,00,000/- to the
petitioner. The petitioner also borrowed money from the respondent in the
years 2013 & 2014 to the tune of Rs.6,53,000/-. Thereafter, the petitioner
failed to pay any percentage of profit amount to the respondent and also
dragged to repay the loan amount borrowed. After negotiation, the respondent
has agreed to receive a sum of Rs.12,00,000/- from the petitioner as full and
final settlement and in discharge of the same, the petitioner issued eight
cheques for Rs.1,00,000/- each and two cheques for Rs.2,00,000/- each (totally
Rs.12,00,000/-) drawn on Kaveri Grameena Bank, N.Kotte, Gubbi Taluk,
Tumkur, in favour of the respondent. When the respondent presented the
above said cheques for encashment in State Bank of Mysore, Erode, the same
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
got dishonoured on 24.06.2015 for the reason “Funds Insufficient” which was
informed to the respondent on 02.07.2015. The cheque pertaining to this case
is cheque No.065593 for Rs.1,00,000/- dated 20.05.2015. Thereafter, the
respondent issued a legal notice to the petitioner on 06.07.2015 to settle the
entire cheque amount within 15 days. But the petitioner neither made any
reply to the notice nor returned the cheque amount. Hence, the complaint
under Section 138 of Negotiable Instruments Act, 1881 was filed.
4.Gist of the case in S.T.C.No.461 of 2016 is that the
respondent/complainant and the petitioner/accused are known to each other for
several years. The respondent was doing business of manufacturing Nut Plates
in the name of M/s.Chandra Traders and the petitioner/accused was doing
same business in the name of M/s.Sri Areca Nut Plate Industries. In the month
of August 2013, the petitioner approached the respondent to support in all the
fields like funding, supply of machineries and supply of raw materials and the
petitioner induced the respondent and offered him to pay 30% of profit amount
and also agreed to repay the loan amount with interest at the rate of 18% per
annum. Believing the same, the respondent supplied nut plates manufacturing
machines and supplied raw materials to the worth of Rs.7,00,000/- to the
petitioner. The petitioner also borrowed money from the respondent in the
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
years 2013 & 2014 to the tune of Rs.6,53,000/-. Thereafter, the petitioner
failed to pay any percentage of profit amount to the respondent and also
dragged to repay the loan amount borrowed. After negotiation, the respondent
has agreed to receive a sum of Rs.12,00,000/- from the petitioner as full and
final settlement and in discharge of the same, the petitioner issued eight
cheques for Rs.1,00,000/- each and two cheques for Rs.2,00,000/- each (totally
Rs.12,00,000/-) drawn on Kaveri Grameena Bank, N.Kotte, Gubbi Taluk,
Tumkur, in favour of the respondent. When the respondent presented the
above said cheques for encashment in State Bank of Mysore, Erode, the same
got dishonoured on 24.06.2015 for the reason “Funds Insufficient” which was
informed to the respondent on 02.07.2015. The cheque pertaining to this case
is cheque No.065596 for Rs.1,00,000/- dated 20.04.2015. Thereafter, the
respondent issued a legal notice to the petitioner on 07.07.2015 to settle the
entire cheque amount within 15 days. But the petitioner neither made any
reply to the notice nor returned the cheque amount. Hence, the complaint
under Section 138 of Negotiable Instruments Act, 1881 was filed.
5.Gist of the case in S.T.C.No.460 of 2016 is that the
respondent/complainant and the petitioner/accused are known to each other for
several years. The respondent was doing business of manufacturing Nut Plates
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
in the name of M/s.Chandra Traders and the petitioner/accused was doing
same business in the name of M/s.Sri Areca Nut Plate Industries. In the month
of August 2013, the petitioner approached the respondent to support in all the
fields like funding, supply of machineries and supply of raw materials and the
petitioner induced the respondent and offered him to pay 30% of profit amount
and also agreed to repay the loan amount with interest at the rate of 18% per
annum. Believing the same, the respondent supplied nut plates manufacturing
machines and supplied raw materials to the worth of Rs.7,00,000/- to the
petitioner. The petitioner also borrowed money from the respondent in the
years 2013 & 2014 to the tune of Rs.6,53,000/-. Thereafter, the petitioner
failed to pay any percentage of profit amount to the respondent and also
dragged to repay the loan amount borrowed. After negotiation, the respondent
has agreed to receive a sum of Rs.12,00,000/- from the petitioner as full and
final settlement and in discharge of the same, the petitioner issued eight
cheques for Rs.1,00,000/- each and two cheques for Rs.2,00,000/- each (totally
Rs.12,00,000/-) drawn on Kaveri Grameena Bank, N.Kotte, Gubbi Taluk,
Tumkur, in favour of the respondent. When the respondent presented the
above said cheques for encashment in State Bank of Mysore, Erode, the same
got dishonoured on 24.06.2015 for the reason “Funds Insufficient” which was
informed to the respondent on 02.07.2015. The cheque pertaining to this case
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
is cheque No.065598 for Rs.1,00,000/- dated 20.06.2015. Thereafter, the
respondent issued a legal notice to the petitioner on 09.07.2015 to settle the
entire cheque amount within 15 days. But the petitioner neither made any
reply to the notice nor returned the cheque amount. Hence, the complaint
under Section 138 of Negotiable Instruments Act, 1881 was filed.
6.This Court by orders dated 26.09.2025 & 10.10.2025 had passed the
following order:
Order dated 26.09.2025:
“The Criminal Revision Petitions challenges the conviction
of the petitioner for the offence under Section 138 of the
Negotiable Instruments Act and sentence imposed on the
petitioner to undergo simple imprisonment for one year and fine
amount of Rs.5,000/-, in default to undergo simple imprisonment
for a further period of two months.
2.The petitioner/accused was prosecuted by the respondent
for offence under Section 138 of the Negotiable Instruments Act
in S.T.C.Nos.459, 462, 461 and 460 of 2016. The trial Court, by
the judgment dated 22.05.2018, convicted the petitioner and
sentenced him to undergo one year simple imprisonment and to
pay a fine of Rs.5,000/-. Aggrieved against the same, the
petitioner preferred an appeal in Crl.A.No.184, 187, 186 and 185
of 2018 respectively before the learned II Additional District and
Sessions Judge, Erode. The learned Sessions Judge, by the
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
judgment dated 01.11.2018, dismissed the appeals confirming the
conviction and sentence passed by the trial Court, against which,
the present revisions.
3.Today, a joint memo filed by both parties, dated
18.08.2025 is taken on file. Both the petitioner and the
respondent have signed the joint memo through their respective
counsel. The learned counsel for the petitioner also produced the
receipt and submitted that the cheque amounts of Rs.1,00,000/-
each, in total Rs.4,00,000/- for all four cases, had been paid
through bank account. In addition, an amount of Rs.1,50,000/-
above the cheque amounts has been paid in cash.
4.Both parties have agreed to give quietest to the issue,
and the petitioner/accused is ready to compound the complaint.
The respondent/complainant has also confirms the same.
5.The plea of the petitioner / accused is that, at the time of
filing the appeal, the petitioner had deposited Rs.50,000/- each to
the credit of S.T.C.Nos. 459, 462, 461 and 460 of 2016 in total
Rs.2 lakhs before the Fast Track Court No.II (Magisterial Level),
Erode and the respondent has no objection for the petitioner to
withdraw the said amount.
6.Both the learned counsel for the petitioner and the
respondent are directed to file a petition under Section 147 of the
Negotiable Instruments Act for compounding the offence. The
respondent/complainant and the petitioner are permitted to
appear through virtual mode on the next hearing date, i.e., on
10.10.2025.
7.Post the matter on 10.10.2025.”
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
Order dated 10.10.2025:
“Today, the petitioner/accused Nangaraja Gupta appeared
through video conference along with his Advocate,
Mr.P.Vasudeva. The petitioner's identity is not disputed.
2.Today, compounding petition filed in all revision cases.
3.The learned counsel for the respondent/complainant
seeks small accommodation for the appearance of the
respondent.
4.Post on 14.10.2025 for the appearance of the respondent
in person or through virtual mode.”
7.Today, the learned counsel for the petitioner and learned counsel for
the respondent reiterated the order of this Court dated 26.09.2025 and
confirmed the settlement arrived between the parties and the receipt of
Rs.5,50,000/- as full and final settlement by the respondent. Today, the
respondent appeared before this Court in person and reaffirmed the receipt of
Rs.4,00,000/- through bank account and Rs.1,50,000/- by way of cash as full
and final settlement.
8.The respondent/complainant has filed compounding petitions in
Crl.M.P.Nos.18901, 18904, 18907 & 18908 of 2025 in Crl.R.C.Nos.997, 998,
999 & 1000 of 2019 invoking Section 147 of the Negotiable Instruments Act,
1881 to compound the offence and the same are ordered.
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
9.In view of the above development and in the interest of both the
parties not to keep these proceedings pending since it will affect their future
life, this Court accepts the compromise entered between them.
10.The petitioner already deposited a sum of Rs.50,000/- each (In total
Rs.2,00,000/-) to the credit of S.T.C.Nos.459, 462, 461 & 460 of 2016 on the
file of the Metropolitan Magistrate, Fast Track Court-II (Magisterial Level),
Erode at the time of filing appeals before the lower appellate Court. The trial
Court is directed to return the deposited amount of Rs.2,00,000/- lying in
S.T.C.Nos.459, 462, 461 & 460 of 2016 to the respondent dispensing with
notice to the petitioner. The respondent shall file a petition/memo before the
trial Court for return of such amount.
11.In the result, the case between the petitioner and the respondent is
compounded. Hence, the judgment, dated 22.05.2018 in S.T.C.Nos.459, 462,
461 & 460 of 2016 passed by the learned Metropolitan Magistrate, Fast Track
Court-II (Magisterial Level), Erode and the judgment, dated 01.11.2018 passed
by the learned II Additional Sessions Judge, Erode in Crl.A.Nos.184, 187, 186
& 185 of 2018 are set aside and all the revisions are, accordingly, allowed.
The petitioner is acquitted of all charges levelled against them.
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
14.10.2025
Speaking order/Non-speaking order
Index: Yes/No
Internet: Yes/No
drl
To
1.The II Additional Sessions Judge,
Erode.
2.The Metropolitan Magistrate,
Fast Track Court-II (Magisterial Level),
Erode.
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Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
M.NIRMAL KUMAR, J.
drl
Crl.R.C.Nos.997, 998, 999 & 1000 of 2019
14.10.2025
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