Appellate deposit requirement under cheque dishonour law is the normal rule, with waiver needing special reasons.

Section 148(1) of the Negotiable Instruments Act empowers an appellate court hearing an appeal against conviction under Section 138 to require deposit of not less than 20% of the fine or compensation awarded by the trial court. The provision operates retrospectively, and the minimum deposit is treated as the ordinary rule rather than the exception. If the appellate court is asked to waive or reduce that direction, special reasons must be shown by the accused and recorded on the basis of those circumstances; absent such reasons, the statutory minimum may be directed while sentence is suspended.

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Issues: Whether the appellate court was justified in suspending the sentence in a prosecution under Section 138 of the Negotiable Instruments Act, 1881 while directing deposit of 20% of the compensation awarded by the trial court, and whether special reasons were required to be recorded for issuing such a direction.

Analysis: Section 148(1) of the Negotiable Instruments Act, 1881 empowers the appellate court, in an appeal against conviction under Section 138, to direct deposit of not less than 20% of the fine or compensation awarded by the trial court. The provision operates retrospectively. The use of the expression "may" in the provision is treated as a rule in ordinary cases, so the direction to deposit the minimum amount is the norm and dispensing with it is the exception. Special reasons are relevant when the appellate court chooses not to require deposit, and the accused must place such special circumstances before the appellate court. On the facts, no such special reasons were shown, and the direction was limited to the statutory minimum.

Conclusion: The appellate court was justified in directing deposit of 20% of the compensation while suspending sentence, and no illegality or impropriety was shown in the order.

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