Prospective application of Section 143A bars interim compensation in cheque complaints filed before its commencement.

Section 143A of the Negotiable Instruments Act, which authorises interim compensation during trial and creates a repayment obligation if the accused is acquitted, is substantive in nature because it imposes a new pre-conviction monetary liability. Applying the presumption against retrospectivity, and in the absence of express or necessary legislative intent, it cannot apply to complaints under Section 138 filed before its commencement on 01.09.2018. Interim compensation orders passed in such pre-commencement complaints were therefore unsustainable.

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Issues: Whether Section 143A of the Negotiable Instruments Act, 1881 applies retrospectively to complaints under Section 138 filed before 01.09.2018.

Analysis: The complaints were filed in 2017, before Section 143A came into force on 01.09.2018. The provision authorises the trial court to direct payment of interim compensation up to 20% of the cheque amount during trial, and also creates a liability to repay the amount if the accused is acquitted. Applying the general rule that legislation affecting substantive rights is presumed to be prospective unless a contrary intention appears, and following the Supreme Court's ruling that Section 143A creates a new disability and obligation, the provision cannot be applied to offences or complaints that arose before its introduction. The retrospective principle recognised for Section 148 does not govern Section 143A, as the two provisions operate at different stages and have different legal consequences.

Conclusion: Section 143A is prospective in operation and cannot be invoked in respect of complaints filed before its commencement; the interim compensation orders were unsustainable.

Ratio Decidendi: A provision that imposes a new pre-conviction monetary liability on an accused is substantive in nature and, absent express or necessary retrospective intent, applies only prospectively.

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