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2018 (11) TMI 762

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..... culminated into a settlement. This power has been conferred to subserve the ends of justice or/and to prevent abuse of the process of any Court. Though, such power is required to be exercised with circumspection and in cases which do not involve heinous and serious offence of mental depravity or offences like murder, rape, dacoity etc. This Court after being satisfied that the cheque amount with the assessed cost and interest has been paid, can close the proceedings even in absence of the complainant. Since, the petitioner has paid the entire amount as agreed to between the parties, therefore, quashing of the complaint initiated at the instance of complainant/respondent would be a step towards securing the ends of justice and to prev .....

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..... fforts put in by the learned Mediator, the parties have amicably compromised the dispute whereby full and final claim of the respondent has been settled at ₹ 1,10,000/-, out of which ₹ 70,000/- were paid by the petitioner to the respondent on 28.09.2018, whereas, the remaining amount of ₹ 40,000/- was agreed to be paid before the Court today. As agreed, the petitioner has paid the remaining amount of ₹ 40,000/- in cash to the respondent in the open Court and, therefore, the terms of the compromise stand complied with. 3. However, the moot question is whether a compromise, at this stage, can be permitted to be effected to between the parties where the petitioner has been charged under Section 138 of the Act. This c .....

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..... i) The invocation of the jurisdiction of the High Court to quash a First Information Report or a criminal proceeding on the ground that a settlement has been arrived at between the offender and the victim is not the same as the invocation of jurisdiction for the purpose of compounding an offence. While compounding an offence, the power of the court is governed by the provisions of Section 320 of the Code of Criminal Procedure, 1973. The power to quash under Section 482 is attracted even if the offence is noncompoundable. (iii) In forming an opinion whether a criminal proceeding or complaint should be quashed in exercise of its jurisdiction under Section 482 , the High Court must evaluate whether the ends of justice would jus .....

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..... from commercial, financial, mercantile, partnership or similar transactions with an essentially civil flavour may in appropriate situations fall for quashing where parties have settled the dispute; (ix) In such a case, the High Court may quash the criminal proceeding if in view of the compromise between the disputants, the possibility of a conviction is remote and the continuation of a criminal proceeding would cause oppression and prejudice; and (x) There is yet an exception to the principle set out in propositions (viii) and (ix) above. Economic offences involving the financial and economic well-being of the state have implications which lie beyond the domain of a mere dispute between private disputants. The High Court would be .....

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..... g the compensatory element, compounding at the initial stage has to be encouraged but is not debarred at later stage subject to appropriate compensation as may be found acceptable to the parties or the Court. 18.3. Though compounding requires consent of both parties, even in absence of such consent, the Court, in the interests of justice, on being satisfied that the complainant has been duly compensated, can in its discretion close the proceedings and discharge the accused. 18.4. Procedure for trial of cases under Chapter XVII of the Act has normally to be summary. The discretion of the Magistrate under second proviso to Section 143 , to hold that it was undesirable to try the case summarily as sentence of more than one year ma .....

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..... 7. The issue is no longer res integra in view of the very recent judgment of the Hon ble Supreme Court in Bhangu Trading Co. and another versus Surjit Singh (dead) through LRs, Criminal Appeal Nos. 808 and 809 of 2018 decided on 02.07.2018 and in terms of the subsequent judgment in N.P. Murugesan versus C. Krishnamurthy, Criminal Appeal No.818 of 2018, decided on 04.07.2018, wherein it was observed as under:- Leave granted. 2 . The appellant is before this Court aggrieved by the conviction and sentence under Section 138 of the Negotiable Instruments Act, 1881. 3. Today, when the matter came up before this Court, we are informed that the cheque amount has already been paid and it is acknowledged by the r .....

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