TaxTMI 
TaxTMI 
2018 (11) TMI 1302
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.... Section 138 of the Negotiable Instruments Act (for short 'Act') against the petitioner on the allegations that a cheque of Rs. 5,00,000/- handed over by the petitioner to respondent No.1 in order to discharge his liability had been dishonoured. The complaint was decided in favour of respondent No.1 by learned Additional Chief Judicial Magistrate, Court No.2, Shimla, H.P., and the petitioner was convicted and sentenced to undergo simple imprisonment for a period of six months for offence punishable under Section 138 of the Act and also directed to pay compensation of Rs. 5,50,000/- to complainant/respondent No.1. 2. Aggrieved by the judgment of conviction and sentence passed by the learned trial Magistrate on 22.09.2014/27.10.2014, th....
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....ection 147 of the Act for accepting the settlement entered into between the parties and to quash the proceedings arising out of the proceedings, which have consequently culminated into a settlement. This power has been conferred to subserve the ends of justice or/and to prevent abuse of the process of any Court. Though, such power is required to be exercised with circumspection and in cases which do not involve heinous and serious offence of mental depravity or offences like murder, rape, dacoity etc. 5. This question otherwise need not detain this Court any longer in view of the three Judges Bench decision of the Hon'ble Supreme Court in Parbatbhai Aahir @ Parbatbhai and others versus State of Gujarat and another, Criminal Appeal No. 17....
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....process of any court; (v) The decision as to whether a complaint or First Information Report should be quashed on the ground that the offender and victim have settled the dispute, revolves ultimately on the facts and circumstances of each case and no exhaustive elaboration of principles can be formulated; (vi) In the exercise of the power under Section 482 and while dealing with a plea that the dispute has been settled, the High Court must have due regard to the nature and gravity of the offence. Heinous and serious offences involving mental depravity or offences such as murder, rape and dacoity cannot appropriately be quashed though the victim or the family of the victim have settled the dispute. Such offences are, truly ....
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....conomic system will weigh in the balance." 6. Apart from the above, it shall be apposite to make note of another recent judgment of the Hon'ble Supreme Court in Meters and Instruments Private Limited and another versus Kanchan Mehta (2018) 1 SCC 560 wherein after taking into consideration the object of introducing Section 138 and other provisions of Chapter XVII in the Act in the year 1988, it was observed as under:- "18. From the above discussion following aspects emerge: 18.1. Offence under Section 138 of the Act is primarily a civil wrong. Burden of proof is on accused in view presumption under Section 139 but the standard of such proof is "preponderance of probabilities". The same has to be normally tried summarily ....
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....n with default sentence under Section 64 IPC and with further powers of recovery under Section 431 Cr.P.C. With this approach, prison sentence of more than one year may not be required in all cases. 18.5. Since evidence of the complaint can be given on affidavit, subject to the Court summoning the person giving affidavit and examining him and the bank's slip being prima facie evidence of the dishonor of cheque, it is unnecessary for the Magistrate to record any further preliminary evidence. Such affidavit evidence can be read as evidence at all stages of trial or other proceedings. The manner of examination of the person giving affidavit can be as per Section 264 Cr.P.C. The scheme is to follow summary procedure except whe....
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....cordingly, we set aside the conviction and sentence imposed on the appellant and allow the appeal...." 9. Since, the petitioner has paid the entire compensation amount, therefore, quashing of the complaint initiated at the instance of complainant/respondent No.1 would be a step towards securing the ends of justice and to prevent abuse of process of the Court, especially, when the petitioner is facing pangs and suffered agony of protracted trial and thereafter appeal/revision for the last seven years and has paid the entire compensation amount. 10. Thus, taking holistic view of the matter and further taking into consideration all the attending facts and circumstances as also the law laid down by the Hon'ble Supreme Court in Parbatbhai ....