✦ High Court of India

FALAK SINGH ALIAS FALAK v. STATE OF PUNJAB AND ANOTHER

Case Details

CRR-2128-2024 1 IN THE HIGH COURT OF PUNJAB AND HARYANA AT CHANDIGARH 269 CRR-2128-2024 Date of decision: 06.11.2025 FALAK SINGH ALIAS FALAK .... PETITIONER(S) VERSUS STATE OF PUNJAB AND ANOTHER ...RESPONDENT(S) CORAM: HON’BLE MR. JUSTICE JASJIT SINGH BEDI Present:

Legal Reasoning

Mr. R.K. Kachura, Advocate for the petitioner(s). Ms. Navreet Kaur Barnala, AAG, Punjab. Mr. Gurpreet Singh Khosa, Advocate for respondent No.2. **** JASJIT SINGH BEDI, J. (Oral) The present revision petition has been filed against the judgment dated 16.10.2024 passed by the Sessions Judge, Ferozepur vide which the appeal preferred by the accused-petitioner against the judgment of conviction and order of sentence dated 02.08.2022 passed by the Sub Divisional Judicial Magistrate, Guruharsahai has been dismissed. 2. The brief facts of the case are that the accused-petitioner had borrowed a sum of Rs.1,95,960/- from the complainant/respondent No.2 with an assurance to return the same in near future. Thereafter he failed to repay the loan amount and upto 29.09.2017, a total sum of Rs. 2,60,718/- including the principal amount and interest amount of Rs.64,750/- was due against the accused-petitioner. In order to discharge KUSUM 2025.11.08 12:00 I attest to the accuracy and integrity of this document PHHC Chandigarh CRR-2128-2024 2 his liability, the accused-petitioner issued a cheque bearing No.913461 dated 23.02.2018 for a sum of Rs.2,60,000/- drawn at Punjab & Sind Bank, in favour of the complainant-respondent No.2. On presentation of the aforesaid cheque by the complainant with his banker, namely, Punjab & Sind Bank, Gurharsahai, the same was not encashed and was dishonoured with the remarks ‘Refer to Drawer’ vide a return memo dated 12.03.2018. The accused-petitioner was served with a legal notice dated 07.04.2018 for making the payment within 15 days of receipt of the said notice but the accused-petitioner failed to do so, leading to initiation of proceedings under Section 138/142 of the Negotiable Instruments Act, 1881. 3. In the complaint under Section 138/142 of the Negotiable Instruments Act, 1881 filed by the complainant/respondent No.2, the accused/petitioner was summoned to face trial under Section 138 of the Negotiable Instruments Act. The evidence was led and ultimately, the accused/petitioner was held guilty and accordingly, convicted for the offence punishable under Section 138 of the Negotiable Instruments Act, 1881 and sentenced to undergo imprisonment for one year along with compensation equivalent to the cheque amount. 4. Aggrieved against the said judgment of conviction and order of sentence, the accused/petitioner preferred an appeal before the Additional Sessions Judge, Ferozepur which came to be dismissed vide a judgment dated 16.10.2024. 5. Still aggrieved, the present revision petition has been KUSUM 2025.11.08 12:00 I attest to the accuracy and integrity of this document PHHC Chandigarh CRR-2128-2024 3 preferred by the accused-petitioner. 6. The learned counsel for the petitioner contends that during the pendency of the present petition, a compromise has been effected between the parties. A perusal of the order dated 10.12.2025 would reveal that as agreed, a cheque for a sum of Rs.2,60,000/- has been handed over to the learned counsel for the complainant-respondent No.2 as full and final payment. Thus, nothing remains due towards the complainant- respondent No.2. He further contends that in view of Section 147 of the Negotiable Instruments Act read with Section 320 Cr.P.C. 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. 7. The learned counsel for the State-respondent No.1 and the counsel for the complainant-respondent No.2 contend that as the matter has been settled between the parties, they have no objection if the prayer of the learned counsel for accused-petitioner for compounding the offence under Section 138 N.I. Act is allowed and the petitioner is acquitted of the charges framed against him. 8. 9. I have heard the learned counsel for both the parties. 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 compoundableNotwithstanding anything KUSUM 2025.11.08 12:00 I attest to the accuracy and integrity of this document PHHC Chandigarh CRR-2128-2024 4 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 138 can 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. 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 Section 320 Cr.P.C., the accused ought to be acquitted as the offence stands compounded. 11. 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. 12. Accordingly, the revision petition is allowed and subject to payment of Rs.25,000/- as costs to be deposited with Punjab State Legal Services Authority-Disaster Relief Fund, Account No.44426937384, IFSC Code:SBIN0014656, State Bank of India, Sector 68, SAS Nagar, the judgment dated 16.10.2024 passed by the Additional Sessions Judge, KUSUM 2025.11.08 12:00 I attest to the accuracy and integrity of this document PHHC Chandigarh CRR-2128-2024 5 Ferozepur as well as the judgment of conviction and order of sentence dated 02.08.2022 passed by the Sub Divisional Judicial Magistrate, Gurharsahai, are hereby set aside. The petitioner is acquitted of the charge under Section 138 of the Negotiable Instruments Act. 13.

Decision

Since the main petition has been disposed of no order needs to be passed in the pending application(s), if any. (JASJIT SINGH BEDI) JUDGE 06.11.2025 Kusum Whether speaking/reasoned Yes/No Whether Reportable Yes/No KUSUM 2025.11.08 12:00 I attest to the accuracy and integrity of this document PHHC Chandigarh

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