Interim compensation under the Negotiable Instruments Act is recoverable, but non-payment cannot bar the accused from leading defence.

In a complaint under the Negotiable Instruments Act, interim compensation may be ordered and recovered through the statutory mechanism treating it as recoverable like a fine, but non-payment does not automatically justify barring the accused from leading defence. The revisional court was correct to set aside the condition that the accused would lose the right to present a defence if the interim compensation was not deposited, while leaving the interim compensation order itself intact. The proper remedy for non-payment remains statutory recovery, not denial of the defence.

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Issues: Whether the revisional court was justified in setting aside the condition that the accused would be barred from leading defence in case of non-payment of interim compensation under the Negotiable Instruments Act, while leaving intact the award of interim compensation.

Analysis: The application arose from a complaint under Section 138 of the Negotiable Instruments Act, 1881, in which the trial court had directed deposit of 20% of the cheque amount as interim compensation and further stated that failure to deposit would disentitle the accused from presenting a defence and any defence produced would not be considered. The revisional court interfered only with that restrictive condition, holding that denial of the accused's right to produce defence on non-payment was not legal and proper, but it did not disturb the order granting interim compensation under Section 143A(1). The court noted that Section 143A(5) provides a statutory mechanism for recovery of interim compensation as if it were a fine under Section 421 of the Code of Criminal Procedure, 1973.

Conclusion: The challenge to the revisional order failed. The condition barring defence on non-payment was rightly set aside, and the applicant was left to pursue recovery of interim compensation through the statutory remedy.

Final Conclusion: The interim compensation order remained operative, but the coercive bar on the accused's defence was not sustained; the application was disposed of accordingly.

Ratio Decidendi: Interim compensation under the Negotiable Instruments Act may be recovered through the statutory recovery mechanism, but non-payment does not justify an automatic denial of the accused's right to lead defence.

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