Case Details:
Case Name : Jamboo Bhandari v M.P. State Industrial Development Corporation Limited & Ors
Case No.: Criminal Appeal No. 2741 of 2023
Bench: Hon’ble Abhay S. Oka, J. and Hon’ble Pankaj Mithal, J.
In a recent judgment the Hon’ble Apex Court has held that the deposit of 20% fine amount as contained in Section 148 of the Negotiable Instruments Act is not absolute.
The Apex Court observed that both the learned Session Court and the Hon’ble High Court have proceeded on the erroneous premise that deposit of minimum 20% amount is an absolute rule which does not accommodate any exception.
The Apex Court observed that normally, Appellate Court will be justified in imposing the condition of deposit as provided in Section 148. However, in a case where the Appellate Court is satisfied that the condition of deposit of 20% will be unjust or imposing such a condition will amount to deprivation of the right of appeal of the appellant, exception can
be made for the reasons specifically recorded.
The Court also observed that when Appellate Court considers the prayer under Section 389 of the Cr.P.C. of an accused who has been convicted for offence under Section 138 of the N.I. Act, it is always open for the Appellate Court to consider whether it is an exceptional case which warrants grant of suspension of sentence without imposing the condition of deposit of 20% of the fine/compensation amount. As stated earlier, if the Appellate Court comes to the conclusion that it is an exceptional case, the reasons for coming to the said conclusion must be recorded.
The Court further explained “When an accused applies under Section 389 of the Cr.P.C. for suspension of sentence, he normally applies for grant of relief of suspension of sentence without any condition. Therefore, when a blanket order is sought by the appellants, the Court has to consider whether the case falls in exception or not. In these cases, both the Sessions Courts and the High Court have proceeded on the erroneous premise that deposit of minimum 20% amount is an absolute rule which does not accommodate any exception.”
Read the order/judgment here : Fine under Section 148 NI Act not absolute
