IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 1ST DAY OF APRIL 2019 BEFORE THE HON'BLE MR. JUSTICE ARAVIND KUMAR CRIMINAL PETITION NO.9452/2018 BETWEEN:
SRI D.K.HARISH AGED ABOUT 50 YEARS PROP. SHASHANK TRADING COMPANY DHRUVA APARTMENTS NO.77, THIRD FLOOR, 6TH CROSS U.S.A. LAYOUT, SANJAYNAGAR BENGALURU-560 094 ... PETITIONER (BY SRI RAJAKUMAR C., ADV. ) AND:
SRI RAVIKUMAR D SON OF LATE DORESWAMACHAR AGED ABOUT 43 YEARS RESIDING AT NO.426 SRI KALIKAMBA NILAYA 4TH CROSS, 6TH MAIN K.S. TOWN BENGALURU-560 060 ... RESPONDENT THIS CRIMINAL PETITION IS FILED UNDER SECTION 482 OF CR.P.C. PRAYING TO QUASH THE ORDER DATED 23.11.2018 IN C.C.NO.17738/2018 PENDING ON THE FILE OF XXIII A.C.M.M., BANGALORE FOR THE OFFENCES P/U/S 138 OF N.I. ACT, ALLOW THE PETITION ETC.
THIS CRIMINAL PETITION COMING ON FOR ADMISSION THIS DAY, THE COURT MADE THE FOLLOWING:
O R D E R Petitioner, who is accused in C.C.No.17738/2018, which proceedings have been initiated by respondent for the alleged offence punishable under Section 138 of the Negotiable Instruments Act, 1881 (‘the NI Act’), is before this Court for quashing of the order dated 23.11.2018 whereunder the learned trial Judge has directed petitioner to pay/deposit a sum of Rs.65,000/- as interim compensation to the complainant within 30 days in exercise of the power vested under Section 143(2)(A) of the NI Act.
2. It is the contention of Mr. Rajakumar C., learned counsel appearing for petitioner that learned trial Judge committed a serious error in directing petitioner to deposit the said amount and Section 143A of the NI Act has been amended from 02.08.2018 whereas the complaint in question was filed prior to the amendment of the NI Act and on such it cannot be made applicable retrospectively.
3. A perusal of amended provision of Section 143A of the NI Act would disclose that by Amendment Act No.20/2018 said provision came to be incorporated. Sub-section (2) of Section (1) of the Amendment Act indicates that Amendment Act would come into force on such date as the Central Government may by notification in the official gazette appoint. Accordingly, Central Government has issued the notification dated 16.08.2018 by virtue of the powers conferred under sub-section (2) of Section 1 of the Negotiable Instruments (Amendment) Act, 2018 (20/2018) and has appointed 1.9.2018 as the date on which the provisions of the Amendment Act (Act 20 of 2018) would come into force.
4. There cannot be any dispute to the proposition that a penal statute cannot be made retrospectively applicable. However, Section 143A having been incorporated with effect from 01.09.2018 it would come into effect from the said date. A bare reading of said provision would disclose that for the said provision being attracted, primary requirement is where accused does not plead guilty and prays for trial being conducted. In other words, in the event of plea of accused already had been recorded before Amendment Act i.e., Act 20 of 2018 came into force i.e. 01.09.2018, then, in such an event, complainant would not get right to seek for enforcement of amended provision. However, if the plea of the accused had not been recorded under Section 143A(1)(a) or plea has been recorded subsequent to 01.09.2018, complainant would be justified in calling upon the jurisdictional court to direct the accused to deposit the interim compensation as contemplated under sub-section (2) of Section 143A which compensation cannot exceed 20% of the amount of cheque. In the instant case, undisputedly, plea of accused has been recorded subsequent to 01.09.2018 i.e. on 29.10.2018 and as such no infirmity could be found in the order passed by the learned trial Judge directing petitioner to deposit Rs.65,000/- as interim compensation which is 10% of the cheque amount. No other good ground is made out to entertain this petition. Hence, it stands rejected.
In view of disposal of the petition, I.A.No.1/2018 for stay does not survive for consideration; it stands disposed of.
SD/- JUDGE hkh.