D.Kumar Vs R.Karunakaran — Cheque Dishonour | Madras HC (2026)

D.Kumar Vs R.Karunakaran — Cheque Dishonour | Madras HC (2026)

What the court decided

AI extract

Outcome

Criminal Revision Case allowed in terms of the Joint Compromise Memo dated 04.02.2026; conviction and sentence set aside and petitioner acquitted of the offence under Section 138 of the Negotiable Instruments Act; bail bond, if any, discharged; subject to payment of Rs.10,000/- as costs to the Mediation and Conciliation Centre and filing of a photocopy of the receipt along with a compliance memo in the Registry.

Issue for consideration

Whether the conviction and sentence imposed on the petitioner under Section 138 of the Negotiable Instruments Act can be set aside on the basis of the joint compromise between the parties. +1 more

Court's answer

The conviction and sentence imposed on the petitioner vide judgment dated 21.04.2022 in S.T.C.No.578 of 2019 by the learned Judicial Magistrate No.I, Thirupathur, and confirmed by judgment dated 05.03.2025 in C.A.No.75 of 2022 by the learned Principal District and Sessions Judge, Thirupathur, are set aside and the petitioner is acquitted of the offence under Section 138 of the Negotiable Instruments Act.

Ratio / Principle

In view of the compromise arrived at between the parties and since the offence under Section 138 of the Negotiable Instruments Act is compoundable, the Court accepted the Joint Compromise Memo dated 04.02.2026 and set aside the conviction and sentence imposed on the petitioner by the trial Court.

Key takeaways

Bail bond, if any, executed by the petitioner shall stand discharged.ratio¶28

Detailed headnote1 paragraphs

Criminal Revision (CRL RC No. 2354 of 2025, High Court of Judicature at Madras, Sunder Mohan J., decided 04-02-2026) against conviction under Section 138 of the Negotiable Instruments Act — petitioner convicted by the learned Judicial Magistrate No.I, Thirupathur in S.T.C.No.578 of 2019 (judgment dated 21.04.2022) and sentenced to one year simple imprisonment and Rs.4,00,000/- (in default, four months simple imprisonment); conviction confirmed by the learned Principal District and Sessions Judge, Thirupathur in C.A.No.75 of 2022 (judgment dated 05.03.2025) — parties arrived at a joint compromise whereby the respondent received Rs.4,00,000/- in full and final settlement of all his claims; Joint Compromise Memo dated 04.02.2026 filed and confirmed by the respondent in person — the offence under Section 138 of the Negotiable Instruments Act being compoundable, the Court took the memo on file, set aside the conviction and sentence, and acquitted the petitioner; bail bond, if any, discharged; petitioner directed to pay Rs.10,000/- as costs to the Mediation and Conciliation Centre and to file a photocopy of the receipt with a compliance memo in the Registry.

CRL RC No. 2354 of 2025

IN THE HIGH COURT OF JUDICATURE AT MADRAS

DATED: 04-02-2026

CORAM

THE HONOURABLE MR.JUSTICE SUNDER MOHAN

CRL RC No. 2354 of 2025

1. D.Kumar

Petitioner(s)

Vs

R.Karunakaran

Respondent(s)

PRAYER

To set aside the judgment passed by the Learned the Principal District and Session Judge, Tirupathur in C.A.No.75/2022 dated 05.03.2025 as confirmed by

the Judgment passed by the Learned Judicial Magistrate No.1, Tirupathur in STC No.578/2019 dated 21.04.2022.

For Petitioner(s): R.Parthiban

For Respondent(s): E.Kannadasan

ORDER

The revision challenges the judgment dated 05.03.2025 passed in C.A.No.75 of 2022 by the learned Principal District and Sessions Judge,

https://www.mhc.tn.gov.in/judis

CRL RC No. 2354 of 2025

Thirupathur, confirming the conviction and sentence imposed on the petitioner for the offence under Section 138 of the Negotiable Instruments Act by judgment dated 21.04.2022 in S.T.C.No.578 of 2019 by the learned Judicial Magistrate No.I, Thirupathur. The petitioner was sentenced to undergo one year simple imprisonment and to pay Rs.4,00,000/-, in default to undergo four months simple imprisonment.

Learned counsel for the petitioner and the respondent would submit that the parties have arrived at a compromise by which the respondent had received a sum of Rs.4,00,000/- in full and final settlement of all his claims against the petitioner. A Joint Compromise Memo dated 04.02.2026 has also been filed by the parties.

3. The petitioner is present. The respondent, identified by his counsel is present, and he confirmed the joint compromise and the fact that he received a sum of Rs.4,00,000/- in full and final settlement.

4. In view of the compromise arrived at and since the offence under Section 138 of the Negotiable Instruments Act, is compoundable, this Court is inclined to accept the Joint Compromise Memo dated 04.02.2026 and set aside the conviction and sentence imposed on the petitioner by the trial Court.

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CRL RC No. 2354 of 2025

5. Accordingly, the Joint Compromise Memo dated 04.02.2026 is taken

on file. The Criminal Revision Case is allowed in terms of the Joint Compromise Memo dated 04.02.2026. The conviction and sentence imposed on the petitioner vide judgment dated 21.04.2022 in S.T.C.No.578 of 2019 by the learned Judicial Magistrate No.I, Thirupathur and confirmed by judgment dated 05.03.2025 passed in C.A.No.75 of 2022 by the learned Principal District and Sessions Judge, Thirupathur, are set aside and the petitioner is acquitted of the offence under Section 138 of the Negotiable Instruments Act. Bail bond, if any, executed shall stand discharged. The petitioner shall pay a sum of Rs.10,000/as costs to the Mediation and Conciliation Centre attached to this court and file a photocopy of the receipt along with a memo reporting compliance in the Registry.

04-02-2026

skr Index:Yes/No Speaking/Non-speaking order Internet:Yes Neutral Citation:Yes/No

To

Learned Principal District and Sessions Judge, Thirupathur.

Learned Judicial Magistrate No.I, Thirupathur.

The Public Prosecutor, Madras High Court, Chennai.

https://www.mhc.tn.gov.in/judis

CRL RC No. 2354 of 2025

SUNDER MOHAN J. skr

CRL RC No. 2354 of 2025

04-02-2026

https://www.mhc.tn.gov.in/judis