Sita Ram v. Klaita Jewelers and Another
Case brief
What is this about?
Compounding of Section 138 NI Act cheque dishonour offence on out-of-court compromise between parties during criminal revision; joint application Cr.M.P. No. 758 of 2025; acquittal conditional on 5% of cheque amount as compounding fee, deposited equally with H.P. State Legal Services Authority and H.P. High Court Staff Welfare Organization; automatic revival of conviction and sentence on failure to deposit; revision under Section 438 read with Section 442 BNSS; Sita Ram v. Klaita Jewellers & anr., Cr. Revision No. 616 of 2024, High Court of Himachal Pradesh at Shimla, decided 2.4.2025; bail bonds discharged.
What did the court decide?
Permission to compound the offence under Section 138 N.I. Act; judgment of conviction and order of sentence dated 26.2.2024 (affirmed on 14.6.2024) set aside and the accused acquitted, subject to deposit of 5% of the cheque amount as compounding fee (50% with Member Secretary, H.P. State Legal Services Authority, Shimla; 50% with H.P. High Court Staff Welfare Organization, Shimla) within eight weeks, failing which the revision petition stands deemed dismissed and the conviction/sentence revive automatically; bail bonds discharged.