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Supreme Court of India 2022-08-02 allowed

NOOR MOHAMMED vs KHURRAM PASHA

Bench: 3 — Uday Umesh Lalit, S. Ravindra Bhat, Sudhanshu Dhulia

In Brief

A cheque for Rs. 7 lakh issued by the appellant was dishonoured, leading to a criminal complaint under Section 138 of the Negotiable Instruments Act. The trial court ordered the appellant to deposit 20% as interim compensation. When the appellant failed to comply, the courts below denied him the right to cross-examine the complainant's witness. The Supreme Court held that while non-payment of interim compensation is actionable, the statute prescribes recovery as a fine and does not authorize denial of the fundamental right to cross-examine. The Court allowed the appeal, set aside all lower court orders, and restored the case to the trial court for fresh proceedings with the right to cross-examine restored.

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Criminal Procedure Negotiable Instruments Cheque Bounce Right to Cross-Examination Interim Compensation Statutory Interpretation Abuse of Discretion

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