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2023 (10) TMI 1

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..... of the cheque. (3) The interim compensation shall be paid within 60 days from the date of the order under sub-section (1), or within such further period not exceeding 30 days as may be directed by the Court on sufficient cause being shown by the drawer of the cheque. From perusal of order dated 31.05.2023, the Court has assigned reasons for granting interim compensation to opposite party no.2 as application under section 138 Negotiable Instrument Act is pending since last two years and further observed that on account of dismissal of the complaint, complainant shall return the amount with 7% interest to applicant/accused - there are no illegality in the order dated 31.05.2023 passed by the prescribed authority. Present application d .....

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..... cessary that in all cases, the trial court must necessarily direct the complainant to pay interim compensation and such a direction should be given only on a case to case basis, by taking into consideration the facts of each case. The legislature has intentionally not used the word shall since it would have prevented the accused persons, even in genuine cases, from defending themselves without paying 20% as interim compensation amount to the complainant. This would have directly affected the fundamental right of an accused person to defend himself in a criminal case. This is the reason why the legislature had thoughfully used the word may under section 143A(1) of the Negotiable Instruments Act. Therefore, it is not possible to read the .....

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..... ub-section (1) shall not exceed 20% of the amount of the cheque. (3) The interim compensation shall be paid within 60 days from the date of the order under sub-section (1), or within such further period not exceeding 30 days as may be directed by the Court on sufficient cause being shown by the drawer of the cheque. 7. From perusal of order dated 31.05.2023, the Court has assigned reasons for granting interim compensation to opposite party no.2 as application under section 138 Negotiable Instrument Act is pending since last two years and further observed that on account of dismissal of the complaint, complainant shall return the amount with 7% interest to applicant/accused. I do not find any illegality in the order dated 31.05.2023 passe .....

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