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M/S J.S. Builders vs Shri Ram Finance Ltd
2024 Latest Caselaw 5489 P&H

Citation : 2024 Latest Caselaw 5489 P&H
Judgement Date : 12 March, 2024

Punjab-Haryana High Court

M/S J.S. Builders vs Shri Ram Finance Ltd on 12 March, 2024

Author: Karamjit Singh

Bench: Karamjit Singh

                                                      Neutral Citation No:=2024:PHHC:035111




CRM-M-12524 of 2024                                                                     1
                                                                        2024:PHHC: 035111

       IN THE HIGH COURT OF PUNJAB AND HARYANA AT
                CHANDIGARH

                          CRM-M-12524 of 2024(O&M)
                          Date of Decision: 12.03.2024


M/s J.S. Builders
                                                                    ...Petitioner
Versus

Shri Ram Finance Ltd.
                                                                 ...Respondent

CORAM :HON'BLE MR. JUSTICE KARAMJIT SINGH

Present:-    Mr.Parminder Singh, Advocate
             For the petitioner.


                    ***

KARAMJIT SINGH, J.

1. The present petition under Section 482 Cr.P.C. has been filed

for setting aside of order dated 03.01.2024 (Annexure P-4) passed by the

Court of learned Additional Sessions Judge, Chandigarh in CRA-13/2024

titled as M/s J.S. Builders through its proprietor Vs. Shri Ram Finance

Limited whereby the sentence of the petitioner under Section 138 of

Negotiable Instruments Act has been suspended subject to the condition to

pay 20% amount of the compensation amount awarded by the trial Court.

2. The counsel for the petitioner submits that respondent filed

criminal complaint under Section 138 of NI Act against the petitioner

wherein on conclusion of trial, the petitioner was convicted and sentenced to

R.I. for a period of 02 years and to pay compensation worth Rs.25,00,000/-

under Section 138 NI Act vide judgment and order dated 28.11.2023 by the

Court of Judicial Magistrate Ist Class, Chandigarh. Being aggrieved,

petitioner has preferred appeal against the said judgment and order and the

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Neutral Citation No:=2024:PHHC:035111

2024:PHHC: 035111

Appellate Court vide order dated 03.01.2024 (Annexure P-4) has admitted

the appeal and also disposed of application seeking suspension of sentence

with direction to the petitioner to deposit 20% of the amount of

compensation awarded by the learned trial Court, within 60 days in the

learned trial Court.

3. Learned counsel for the petitioner, inter alia, contends that the

learned lower Appellate Court failed to appreciate the facts in the right

perspective and imposed the condition to deposit 20% of the compensation

in a mechanical manner, without assigning any reasons and such a condition

is illegal, arbitrary and in violation of the law as laid down by the Hon'ble

Supreme Court in Criminal Appeal Nos.2741 of 2023 (@ SLP(Crl.) Nos.

4927 of 2023 Jamboo Bhandari vs. M.P. State Industrial Development

Corporation Ltd. and others, decided on 04.09.2023. Speaking through

Justice Abhay S. Oka, it has been held as follows:-

"6. What is held by this Court is that a purposive interpretation should be made of Section 148 of the N.I. Act. Hence, normally, Appellate Court will be justified in imposing the condition of deposit as provided in Section 148. However, in a case where the Appellate Court is satisfied that the condition of deposit of 20% will be unjust or imposing such a condition will amount to deprivation of the right of appeal of the appellant, exception can be made for the reasons specifically recorded. 7. Therefore, when Appellate Court considers the prayer under Section 389 of the Cr.P.C. of an petitioner who has been convicted for offence under Section 138 of the N.I. Act, it is always open for the Appellate Court to consider whether it is an exceptional case which warrants grant of suspension of sentence without imposing the condition of deposit of 20% of the fine/compensation amount. As stated earlier, if the Appellate

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Neutral Citation No:=2024:PHHC:035111

2024:PHHC: 035111

Court comes to the conclusion that it is an exceptional case, the reasons for coming to the said 4 conclusion must be recorded."

4. I have heard the counsel for the petitioner and gone through the

impugned order and the case law referred by counsel for the petitioner and is

of the view that the impugned order (Annexure P-4) to the extent whereby

petitioner is directed to deposit 20% of the compensation amount awarded

by trial Court is not passed by the Appellate Court in accordance with the

afore-stated settled position of law. While passing the said direction, the

Appellate Court has not referred to the ratio laid down by Hon'ble Supreme

Court in Jamboo Bhandari's case (supra) and no reason is given by the said

Court while issuing aforesaid direction.

5. In light of the above, the impugned order dated 03.01.2024

(Annexure P-4) to the extent whereby the condition of depositing of 20% of

compensation amount awarded by the trial Court has been imposed for the

purpose of suspension of sentence, is hereby set aside. The Appellate Court

is directed to re-consider the same after giving opportunity of hearing to the

petitioner and then to pass appropriate order in accordance with the law laid

down in Jamboo Bhandari's case (supra) and till then not to take any

coercive action against the petitioner.

6. Keeping in view the nature of order being passed, no notice is

required to be issued to the respondent. However, if he feels dis-satisfied with

this order, he may move an application to recall the same.

(KARAMJIT SINGH ) 12.03.2024 JUDGE Jiten Whether speaking/reasoned : Yes/No Whether reportable : Yes/No

Neutral Citation No:=2024:PHHC:035111

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