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Davinder Kumar vs Arun Singla And Another
2022 Latest Caselaw 6334 P&H

Citation : 2022 Latest Caselaw 6334 P&H
Judgement Date : 7 July, 2022

Punjab-Haryana High Court
Davinder Kumar vs Arun Singla And Another on 7 July, 2022
CRR-1675-2021 (O&M)                                                -1-


     (244) IN THE HIGH COURT OF PUNJAB AND HARYANA AT
                        CHANDIGARH


                                                  CRR-1675-2021 (O&M)
                                                  Date of Decision: 07.07.2022

Davinder Kumar
                                                                  ... Petitioner
                                        Versus


State of Haryana & Anr.
                                                               ...Respondents


CORAM: HON'BLE MR. JUSTICE JASJIT SINGH BEDI
Present:    Mr. Kunwar Rajan, Advocate
            for the petitioner.

            Mr. Parveen Kumar Aggarwal, DAG, Haryana.

            Mr. Nitin Arora, Advocate for respondent No.2-Complainant.
                              ****

JASJIT SINGH BEDI, J.

The present revision petition has been filed against the order

dated 23.11.2021 passed by the learned Additional Sessions Judge, Sri

Muktsar Sahib, vide which the appeal preferred by the petitioner against the

judgment of conviction and order of sentence dated 03.06.2019 passed by the

learned Judicial Magistrate, 1st Class, Sri Muktsar Sahib, has been dismissed.

2. Briefly, the facts of the case are that the complainant had cordial

relation with the accused and the accused took a friendly loan of

Rs.2,00,000/- from the complainant in the month of September, 2017. In

order to discharge the above said legal liability, the accused issued one post

dated cheque No.027619 Sr. No.32027619 dated 10.01.2018 amounting to

Rs.2,00,000/- drawn at Union Bank of India, Branch Sri Muktsar Sahib in

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CRR-1675-2021 (O&M) -2-

favour of the complainant. The accused signed the above said cheque in

presence of the complainant. The accused assured the complainant that the

said cheque will be honoured/encashed on its presentation to the bank. The

complainant was maintaining his account at Punjab and Sind Bank, Branch

Dashmesh Khalsa College, Sri Muktsar Sahib and the complainant presented

the above said cheque to the accused's banker for encashment of the cheque

amount and the complainant banker forwarded the above said cheque to the

accused's bank through clearing house, but this cheque was returned unpaid

to the banker of the complainant as dishonoured with the remarks "Closed

Dormant" vide memo dated 10.01.2018 and the accused's banker returned

the above said cheque along with memo to the complainant's banker and the

complainant's banker returned the same to the complainant. The accused

intentionally and malafidely got his account closed/dormant from his banker

and malafidely issued the cheque in question in order to defeat the recovery

of the complainant, which was ultimately dishonoured. The accused was duly

served with registered legal notice dated 18.01.2018 by the complainant

through his counsel, but the accused did not pay any amount. The accused

was fully aware that there was no insufficient funds in his account and was

not able to clear the above said cheque but the accused issued the cheque, in

favour of the complainant intentionally and malafidely to defraud him.

3. Thereafter, a complaint under Section 138 of the Negotiable

Instruments Act, 1881, was filed, where the petitioner-accused was

summoned to face the trial. The evidence was led and ultimately, he was held

guilty and accordingly, convicted for the offence punishable under Section

138 of the Negotiable Instruments Act, 1881, and sentenced to undergo

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CRR-1675-2021 (O&M) -3-

rigorous imprisonment for a period of 01 year and fine of Rs.100/- and in

default of payment of fine to further undergo simple imprisonment for 07

days.

4. That aggrieved against the said judgment of conviction and order

of sentence, the petitioner preferred an appeal before the learned Additional

Sessions Judge, Sri Muktsar Sahib, which came to be dismissed on

23.11.2021.

5. Still aggrieved, the present revision petition has been preferred

by the petitioner. During the pendency of the present criminal revision

petition, a compromise dated 09.02.2022 has been effected stating that the

matter has been settled amicably to the entire satisfaction of both the parties

and now the parties shall not claim any further amount or costs in this matter.

Both the parties have agreed to relinquish all their rights arising out of this

matter. It would be relevant to mention here that a reading of Section 147 of

the Negotiable Instruments Act read with Section 320 Cr.P.C. would show

that where a settlement has been effected, the offence under Section 138 of

the Negotiable Instruments Act can be compounded on account of the fact

that a mutual compromise has been effected between the parties.

6. The learned counsel for the complainant-respondent has

accepted the factum of compromise and has stated that he has no objection if

the petitioner is acquitted of the charges framed against him.

7. I have heard the learned counsel for both the parties.

8. This Court in 'Vatsa Electronics Vs. Pala Ram & Anr. decided on

09.03.2022 in CRR-1585-2019' has also held that once a settlement is being

effected, then in terms of Section 147 of the Negotiable Instruments Act and

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CRR-1675-2021 (O&M) -4-

Section 320 Cr.P.C., the accused ought to be acquitted as the offence stands

compounded.

9. The admitted position is that the matter stands settled and the

settlement agreement between the parties dated 05.09.2019 is already on

record. This Hon'ble Court in 'Ramesh Chander Vs. State of Haryana and

another, 2007(1) RCR (Criminal) 245' held as under:-

"4. As per the provisions of Section 147 of the Act, the offence under Section 138 is compoundable. Section 147 reads as under:-

"Offence to be compoundable-

Notwithstanding anything contained in the Criminal Procedure Code, 1973(2 of 1974), every offence punishable under this Act shall be compoundable".

5. The compounding of the offence under Section 138can be done during the trial of the case as well as by the High Court or Court of Session while acting in the exercise of its power of revision under Section 401 Criminal Procedure Code Reference may be made to Section 320(6) Criminal Procedure Code in this regard.

6. Further, under Section 320(8) Criminal Procedure Code the composition of an offence shall have the effect of acquittal of the accused with whom the offence has been compounded."

10. In view of the above, since, the parties have voluntarily settled

the disputes between themselves, it is a fit case for allowing them to

compound the offence.

11. Accordingly, the revision petition is allowed and the order dated

23.11.2021 passed by the learned Additional Sessions Judge, Sri Muktsar

Sahib and the judgment of conviction and order of sentence dated 03.06.2019

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CRR-1675-2021 (O&M) -5-

passed by the learned Judicial Magistrate, 1st Class, Sri Muktsar Sahib, are

hereby set aside. The petitioner is acquitted of the charge under Section 138

of the Negotiable Instruments Act.

(JASJIT SINGH BEDI) JUDGE

07.07.2022 JITESH Whether speaking/reasoned:- Yes/No

Whether reportable:- Yes/No

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