Appeal Allowed: Conviction u/s 138 of NIA Overturned, Offence Compounded, Appellant Acquitted.

The SC allowed the appeal against the conviction under Section 138 of the NIA, 1881, and acquitted the appellant. The Court acknowledged the willingness of both parties to compound the offence and set aside the previous order. It instructed the respondent to provide bank account details for the transfer of the fixed deposit amount, including accrued interest, upon maturity. The Registry was directed to facilitate this transfer, and all pending applications were resolved.

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Issues involved: Appeal against conviction u/s 138 of NIA, 1881, compoundability of the offence, acquittal and transfer of amount.

Summary:

Appeal against Conviction u/s 138 of NIA, 1881:
The appellant appealed against the order convicting them under Section 138 of the Negotiable Instruments Act, 1881. The High Court of Judicature at Bombay, Bench at Nagpur confirmed the conviction. The appellant was sentenced to pay compensation and undergo imprisonment. The Supreme Court heard both counsels and noted that the appellant had deposited the required amount in a fixed deposit as directed by the Court. The fixed deposit was set to mature on a specific date.

Compoundability of the Offence:
The respondent expressed willingness to compound the matter by withdrawing the amount upon maturity of the fixed deposit. The parties mutually desired to compound the sentence. Considering the compoundability of the offence u/s 138 of NIA, 1881, the Court found no reason not to compound the sentence. Consequently, the Court set aside the impugned order, acquitted the appellant, and instructed the respondent to provide bank account details for transferring the amount along with accrued interest.

Acquittal and Transfer of Amount:
The Supreme Court allowed the appeal, acquitted the appellant, and directed the Registry to transfer the amount in the appellant's bank account upon maturity of the fixed deposit. Pending applications were disposed of accordingly.

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