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Sri Mehul v. Sri Harish.M

Karnataka HC2 Sept 2025CRL.P/6169/2019

Case brief

AI extract

What is this about?

Karnataka High Court, CRL.P No. 6169 of 2019 (Mehul v. Harish), decided 02.09.2025 by J.M. Khazi, J. — Section 143-A Negotiable Instruments Act interim compensation (20% of cheque amount; Rs.60,000/- on a Rs.3 lakhs cheque) quashed via Section 482 CrPC once C.C.No.20074/2015 before XIX Additional Chief Metropolitan Magistrate, Bengaluru reached final arguments; trial to be completed within three months.

What did the court decide?

Petition allowed; the order dated 19.07.2019 in C.C.No.20074/2015 (interim compensation of Rs.60,000/- under Section 143-A NI Act) quashed; Trial Court directed to expedite the trial and dispose of it as expeditiously as possible and not later than three months from receipt of certified copy; both parties to cooperate with the Trial Court; Registry to send a copy of the order to the Trial Court by e-mail.

Sri Mehul Vs Sri Harish.M — Cheque Dishonour | Karnataka HC (2025)

What the court decided

AI extract

Outcome

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Issue for consideration

Whether the order dated 19.07.2019 in C.C.No.20074/2015 under Section 143-A of the N.I. Act directing the accused to deposit Rs.60,000/- (20% of the cheque amount) as interim compensation should be reversed/quashed, given that the trial has reached the stage of final arguments.

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Court's answer

With the impugned order already stayed and the trial having reached the stage of final arguments, no purpose would be served by directing the accused to make the interim-compensation deposit; hence the petitioner's challenge succeeds, with the respondent's counsel raising no objection.

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Ratio / Principle

The petition is allowed and the order dated 19.07.2019 passed in C.C.No.20074/2015 by the XIX Additional Chief Metropolitan Magistrate, Bengaluru is quashed.

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Detailed headnote1 paragraphs

Interim compensation under Section 143-A NI Act — quashing at final-arguments stage. The accused's petition under Section 482 CrPC challenged the order dated 19.07.2019 in C.C.No.20074/2015 (XIX Additional Chief Metropolitan Magistrate, Bengaluru) directing him to deposit Rs.60,000/-, being 20% of the cheque amount of Rs.3 lakhs alleged to have been dishonoured as 'Account closed'. The impugned order had been stayed on 16.09.2019, but the trial continued and reached final arguments. Holding that no purpose would now be served by directing the deposit, and with the respondent's counsel raising no objection, the High Court allowed the petition, quashed the impugned order, and directed the Trial Court to conclude the trial expeditiously and not later than three months from receipt of certified copy.

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NC: 2025:KHC:34257 CRL.P No. 6169 of 2019

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HC-KAR

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IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 2^ND DAY OF SEPTEMBER, 2025

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BEFORE

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THE HON'BLE MS. JUSTICE J.M.KHAZI CRIMINAL PETITION NO. 6169 OF 2019

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(482(Cr.PC) / 528(BNSS))

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BETWEEN:

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SRI MEHUL S/O. MR. GULAB CHAND, AGED ABOUT 39 YEARS, R/AT NO. 572, 1ST FLOOR, 3RD STAGE, 4TH BLOCK, BASAWESHWARA NAGAR, BANGALORE-560079

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…PETITIONER

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(BY SRI. RAVINDRA PRASAD B, ADVOCATE)

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AND:

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Digitally signed by REKHA R Location: High Court of Karnataka

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SRI HARISH.M S/O. S. MARULAPPA, AGED ABOUT 47 YEARS, R/AT NO. 1041, 5TH-A-MAIN, 3RD STAGE, BASAWESHWARA NAGARA, BANGALORE-560079

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…RESPONDENT

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(BY SMT.HARINI.B.R, ADVOCATE FOR SRI.B.M.PRASAD, ADVOCATE)

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THIS CRL.P IS FILED U/S.482 CR.P.C BY THE ADVOCATE FOR THE PETITIONER PRAYING TO ALLOW THE INSTANT PETITION BY REVERSING THE ORDER DATED 19.07.2019 IN C.C.NO.20074/2015 PASSED BY THE LEARNED XIX

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NC: 2025:KHC:34257 CRL.P No. 6169 of 2019

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HC-KAR

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ADDITIONAL CHIEF METROPOLITAN MAGISTRATE AT BENGALURU AND FURTHER DISMISS THE APPLICATION OF THE RESPONDENT FILED U/S.143-A OF NI ACT.

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THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER:

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CORAM: HON'BLE MS. JUSTICE J.M.KHAZI

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ORAL ORDER

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Both learned counsel for the petitioner and the respondent are present.

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Learned counsel for the respondent submits that this petition is filed against the order directing deposit interim compensation of 20% of the cheque amount and that the case is now posted for final arguments. Therefore, she has no objections to allow the petition.

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Aforesaid submission is placed on record.

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This petition is by the accused challenging the order dated 19.07.2019 in C.C.No.20074/2015 on the file of XIX Additional Chief Metropolitan Magistrate, Bengaluru on application filed under Section 143-A of N.I. Act

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3 - NC: 2025:KHC:34257 CRL.P No. 6169 of 2019

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HC-KAR

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directing accused to deposit a sum of Rs.60,000/- being 20% of the cheque amount.

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Complainant filed C.C.No.20074/2015 against the accused alleging that cheque for Rs.3 lakhs issued by the accused came to be dishonoured as 'Account closed' and despite issue of legal notice, he has not paid the said amount.

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Accused has resisted the said complaint by pleading not guilty.

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During the pendency of the proceedings,

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complainant filed application under Section 143-A of N.I. Act to direct the accused to pay Rs.60,000/- by way of interim compensation at the rate of 20% of the cheque amount. Vide the impugned order, the said application is allowed.

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4 - NC: 2025:KHC:34257 CRL.P No. 6169 of 2019

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HC-KAR

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The said order came to be stayed on 16.09.2019. However, the trial continued. Now that the stage has reached final arguments, no purpose would serve by directing accused to make the said deposit. In the light of the submission made by learned counsel for respondent, the prayer made by the petitioner in this petition needs to be allowed.

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Accordingly, the petition is allowed. The order dated 19.07.2019 passed in CC No.20074/2015 on the file of XIX Additional Chief Metropolitan Magistrate, Bengaluru is hereby quashed.

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The Court of XIX Additional Chief Metropolitan Magistrate, Bengaluru, is directed to expedite the trial in CC No.20074/2015, and dispose of the same as expeditiously as possible, and in any event, not later than three months from the date of receipt of certified copy of

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this order.

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NC: 2025:KHC:34257 CRL.P No. 6169 of 2019

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HC-KAR

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