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Supreme Court of India 2019-05-29 dismissed

Surinder Singh Deswal @ Col. S.S. Deswal and others vs Virender Gandhi

Bench: 2 — M.R. Shah

In Brief

The Supreme Court upheld the appellate court's direction requiring appellants (convicted of cheque dishonor under Section 138 of the Negotiable Instruments Act) to deposit 25% of the fine imposed by the trial court pending their appeals, under amended Section 148 of the N.I. Act (2018). Though the criminal complaints were filed before the amendment came into force on 01.09.2018, the Court held the amendment applied as it was procedural in nature and did not take away vested rights. The Court interpreted the word 'may' in Section 148 as mandatory, read purposively with legislative intent to combat delay tactics and protect cheque payees. The deposit requirement overrides Section 357(2) of the Criminal Procedure Code due to the express non obstante clause in Section 148. The Court dismissed the appeals but granted a four-week extension for deposit.

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Negotiable Instruments Cheque Dishonor Criminal Procedure Appellate Jurisdiction Sentence Suspension

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