Krishna Agencies Vs Smt Shamabegum Suri — Cheque Dishonour | Karnataka HC (2025)

Krishna Agencies Vs Smt Shamabegum Suri — Cheque Dishonour | Karnataka HC (2025)

What the court decided

AI extract

Outcome

Revision Petition allowed in part: additional compensation of Rs.5,000/- ordered, payable by the accused to the revision petitioner on or before 30.03.2025, failing which simple imprisonment for one month; no interest granted as claimed by the complainant.

Issue for consideration

Whether the fine/sentence of Rs.10,000/- imposed by the trial Magistrate in CC No.1152/2023 should be enhanced, as contended by the revision petitioner. +2 more

Court's answer

Since the sum of Rs.10,000/- deposited by the accused has already been withdrawn by the revision petitioner, enhancing the compensation by a further sum of Rs.5,000/- would meet the ends of justice, the transaction being admitted by the accused.

Ratio / Principle

No interest as claimed by the complainant can be granted, having regard to the scheme of Section 138 of the NI Act.

Key takeaways

The additional compensation of Rs.5,000/- is payable by the accused to the revision petitioner on or before 30.03.2025, failing which the accused shall undergo simple imprisonment for a period of one month.ratio¶39

Detailed headnote1 paragraphs

Negotiable Instruments Act, S.138 - Enhancement of sentence/compensation - Criminal Revision Petition under Ss.397/401 Cr.P.C. by Krishna Agencies against the order dated 07.07.2023 of the 2nd JMFC, Hubballi in CC No.1152/2023 convicting the respondent-accused and imposing a fine of Rs.10,000/- equal to the cheque amount - The accused had offered the cheque amount, the complainant refused it, the amount was deposited and has been withdrawn by the revision petitioner - Held: (i) an additional compensation of Rs.5,000/- meets the ends of justice, the transaction being admitted by the accused; (ii) interest at 12% p.a. as claimed is not grantable having regard to the scheme of Section 138 NI Act; (iii) failing payment of Rs.5,000/- on or before 30.03.2025, the accused shall undergo simple imprisonment for one month - Revision Petition allowed in part.

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NC: 2025:KHC-D:4418 CRL.RP No. 100439 of 2023

IN THE HIGH COURT OF KARNATAKA, DHARWAD BENCH

DATED THIS THE 7^TH DAY OF MARCH, 2025

BEFORE

THE HON'BLE MR. JUSTICE V.SRISHANANDA

CRIMINAL REVISION PETITION NO.100439 OF 2023 (397(CR.PC)/438(BNSS))

BETWEEN:

KRISHNA AGENCIES SHOP/AT: PLOT NO.268, MANOJ PARK, GROUND FLOOR, TRANQUIL HEIGHTS, SULLA ROAD, HUBBALLI, REP. BY ITS PROPRIETOR, SMT. ROOPREKHA W/O. PRAMOD VYAS PAREEK, AGE: 47 YEARS, OCC. BUSINESS, NOW REP. BY ITS GPA HOLDER, SHRI VIJAY KUMAR S/O. LATE BADRI ROY, AGE: 46 YEARS, OCC. SALES EXECUTIVE, R/AT: MOHANPUR VILLAGE, POST: TIKLATO, PS. BENGABAD, GIRIDIH, JHARKHAND-815312.

…PETITIONER

(BY SRI GOURISHANKAR H. MOT, ADVOCATE)

AND:

Digitally signed by V V NBADIGER N BADIGERDate:2025.03.14 15:21:24 +0530

SMT. SHAMABEGUM SURI THE PROP OF SURI PLYWOOD, OFFICE AT SHOP NO.7, T, APMC COMPLEX, MARATHA COLONY ROAD, SHIVAJI CIRCLE, TQ. DHARWAD, DIST. DHARWAD-500001, MOB. 9916186625, RESIDING AT: R/AT. KOPPADKERI JANATA PLOT, 2^ND CROSS, DHARWAD, KARNATAKA-580008

…RESPONDENT

(BY SRI R.M. JAVED, ADVOCATE)

THIS CRIMINAL REVISION PETITION IS FILED U/S. 397 R/W. 401 OF CR.P.C., SEEKING TO CALL FOR RECORDS AND MODIFY THE ORDER DATED 07.07.2023 PASSED BY 2^ND JMFC, AT HUBBALLI IN CC NO.1152/2023 BY ENHANCING THE SENTENCE, COMPENSATION I.E., TWICE THE AMOUNT OF CHEQUE AS PER SECTION 138 OF N.I. ACT, FINE AND INTEREST AT 12% P.A. ON THE AMOUNT ACCRUED.

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NC: 2025:KHC-D:4418 CRL.RP No. 100439 of 2023

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

ORAL ORDER

(PER: THE HON'BLE MR. JUSTICE V.SRISHANANDA)

Heard Sri.Gourishankar H. Mot and Sri.R.M.Javid, learned counsel for the parties.

Though the matter is listed for admission and the same is taken up for final disposal by the consent of the parties.

In respect of dishonored cheque of Rs.10,000/-, the accused was proceeded with criminal proceedings in CC No.1152/2023. Accused was ready to pay an amount of Rs.10,000/- towards the amount covered under the dishonored cheque. But the complainant refused to receive the same and therefore, amount was deposited by the accused.

Later on, the learned trial judge without recording the plea proceeded with the case and convicted

3 - NC: 2025:KHC-D:4418 CRL.RP No. 100439 of 2023

the accused for the offence punishable under Section 138 of Negotiable Instruments Act, seeking enhancement of the sentence, the present revision petition came to be filed before this Court. Sri.Gourishankar Mot learned counsel for the revision petitioner contended that the order of the trial Magistrate, ordering only sum of Rs.10,000/- as fine amount as the cheque amount was only Rs.10,000/- is improper and therefore, sought for reasonable enhancement.

Sri.R.M.Javid opposes the revision grounds. He further contends that in a matter of this nature, question of granting further compensation would not arise as the accused was ready to pay the cheque amount which was refused by the complainant.

Taking note of the fact that the sum of Rs.10,000/- deposited by the accused has already been withdrawn by the revision petitioner enhancing the compensation amount in a sum of Rs.5,000/- would meet

4 - NC: 2025:KHC-D:4418 CRL.RP No. 100439 of 2023

the ends of justice having regard to the fact that the transaction is admitted by the accused.

Accordingly, the following:

ORDER

(i) Revision Petition is allowed in part.

(ii) No interest as claimed by the complainant can be

granted having regard to the scheme of the Section 138 of the NI Act.

(iii) However, sum of Rs.5,000/- is ordered as

additional compensation which shall be payable by the accused to the revision petitioner on or before 30.03.2025. Failing which accused shall undergo simple imprisonment for a period of one month.

SD/(V.SRISHANANDA)

JUDGE

HMB CT:PA LIST NO.: 2 SL NO.: 24