Raj HC | Court allows compromise entered into by parties since offences under NI Act are compoundable offences

Rajasthan High Court: Vijay Bishnoi, J., allowed a criminal revision petition seeking to set aside judgments convicting the petitioner with regard to offences under the Negotiable Instruments Act. 

In the present case, the petitioner being aggrieved by the orders of the trial court and the appellate court wherein he was convicted for an offence under Section 138 of the Negotiable Instruments Act, 1881 (“NI Act”) has filed this criminal revision petition. 

Learned counsel representing the petitioner, Umesh Shrimali submitted that in view of the fact that the parties have entered into a compromise, the impugned orders under challenge may be set aside and the petitioner may be acquitted from the charges.

The public prosecutor representing the respondent, Laxman Solanki submitted that the respondent has agreed to the compromise entered into and it does not want to press any charges for the offence punishable under the NI Act.

The Court perused Section 147 of the NI Act and stated that every offence punishable under the Act is compoundable hence the impugned orders are set aside and the criminal revision petition is set aside. However, the Court upon placing reliance on the Supreme Court judgment Damodar S. Prabhu v Sayed Babalal H, (2010) 5 SCC 663 and directed the petitioner to submit 15% of the cheque amount by way of the cost before the Legal Services Authority. [Jasmel Singh v. State of Rajasthan,2020 SCC OnLine Raj 334, decided on 03-03-2020]

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