Breaking: Section 148 Of Negotiable Instruments Act Has Retrospective Effect, Holds Supreme Court [Read Judgment]
5 years, 9 months ago

Breaking: Section 148 Of Negotiable Instruments Act Has Retrospective Effect, Holds Supreme Court [Read Judgment]

Live Law  

In an important judgment, the Supreme Court has held that Section 148 of the Negotiable Instruments Act as amended, shall be applicable in respect of the appeals against the order of conviction and sentence for the offence under Section 138 of the N.I. Section 148 of the NI Act, introduced vide an amendment in 2018, empowers the Appellate Court to direct the accused/appellant to 'deposit' minimum of 20% of 'fine' or 'compensation' awarded by the Trial Court. Act to deposit 25% of the amount of compensation/fine imposed by the learned trial Court, pending appeals challenging the order of conviction and sentence and while suspending the sentence under Section 389 of the Cr.P.C., considering Section 148 of the N.I. It was contended that since the word used is not "shall", the discretion is vested with the first appellate court to direct the appellant – accused to deposit such sum and the appellate court has construed it as mandatory, would be contrary to the provisions of Section 148 of the N.I.

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History of this topic

Benefit Of S.14 Of Limitation Act Extends To Delayed Filing Of Petition U/S 34 Of A&C Act Due To Prosecution In Good Faith In Another Court: Bombay HC
1 day, 20 hours ago

Benefit Of S.14 Of Limitation Act Extends To Delayed Filing Of Petition U/S 34 Of A&C Act Due To Prosecution In Good Faith In Another Court: Bombay HC

Live Law  

The Bombay High Court bench of Justices G. S. Kulkarni and Advait M. Sethna has held that the benefit of Section 14 of the Limitation Act, 1963 can be extended to the petitioner who committed delay in filing an application to set aside an arbitral award under Section 34 of the Arbitration and Conciliation Act, 1996 due to the prevailing …

S. 148 NI Act | Condition Imposing 20% Deposit Of Compensation Must Not Be Unjust Or Deprive Right To Appeal: Allahabad High Court
3 days ago

S. 148 NI Act | Condition Imposing 20% Deposit Of Compensation Must Not Be Unjust Or Deprive Right To Appeal: Allahabad High Court

Live Law  

The Allahabad High Court has reiterated that while passing an order imposing the condition of depositing 20% of the compensation amount under Section 148 of the Negotiable Instruments Act, the court has to consider that such a condition won't be unjust or would deprive the individual's right of appeal. State Industrial Development Corporation Ltd. and others and Muskan Enterprises and …

Section 143A NI Act | Interim Compensation To Complainant In Cheque Bounce Case Introduced In 2018 Amendment Is Prospective: Rajasthan HC
2 months ago

Section 143A NI Act | Interim Compensation To Complainant In Cheque Bounce Case Introduced In 2018 Amendment Is Prospective: Rajasthan HC

Live Law  

The Jaipur bench of the Rajasthan High Court has reiterated that Section 143A, Negotiable Instruments Act, inserted after an amendment in 2018 introducing payment of interim compensation to complainant in a cheque bouncing case, has prospective application and cannot be applied to complaints filed before the amendment in a retrospective manner. Justice Anoop Kumar Dhand relied upon the Supreme Court …

Condition Of Pre-Deposit U/S 148 Negotiable Instruments Act Can't Be Used To Jeopardise Convict's Right To Appeal: Rajasthan High Court
4 months, 2 weeks ago

Condition Of Pre-Deposit U/S 148 Negotiable Instruments Act Can't Be Used To Jeopardise Convict's Right To Appeal: Rajasthan High Court

Live Law  

Rajasthan High Court has reiterated that Section 148 of the Negotiable Instruments Act should not be imposed in a situation where the condition of depositing 20% of the fine would amount to deprivation of the right of appeal of a person convicted under Section 138. Section 148, NI Act, provides that in an appeal by a convict of cheque dishonour, …

Supreme Court Recalls Judgment Which Held 2018 Amendment To Specific Relief Act Prospective
4 months, 2 weeks ago

Supreme Court Recalls Judgment Which Held 2018 Amendment To Specific Relief Act Prospective

Live Law  

The Supreme Court on Friday recalled its 2022 judgment which held that the 2018 amendment to the Specific Relief Act, 1963, will apply only prospectively to transactions effected after the date when the amendment came into force.The Court recalled the judgment in the exercise of its review jurisdiction. The Supreme Court on Friday recalled its 2022 judgment which held that …

S.138 NI Act | Courts Can't Compel Complainant To Give Consent For Compounding, Mere Repayment Won't Absolve Accused : Supreme Court
10 months, 3 weeks ago

S.138 NI Act | Courts Can't Compel Complainant To Give Consent For Compounding, Mere Repayment Won't Absolve Accused : Supreme Court

Live Law  

Recently, the Supreme Court observed that the Courts cannot compel the complainant in a cheque dishonour case to give consent for the compounding of the complaint merely because the accused has compensated the complainant.The Court also observed that mere repayment of the amount cannot mean that the appellant is absolved from the criminal liabilities under Section 138 of the. Recently, …

Madhya Pradesh High Court Dismisses Plea Challenging Vires Of S.143-A Negotiable Instruments Act
2 years, 4 months ago

Madhya Pradesh High Court Dismisses Plea Challenging Vires Of S.143-A Negotiable Instruments Act

Live Law  

The Madhya Pradesh High Court recently dismissed a petition challenging the constitutional validity of Section 143-A of the Negotiable Instruments Act, 1881 which makes provision for interim compensation to the complainant. Elaborating on the legislative intent behind introduction of the provision through an amendment, the division bench comprising Chief Justice Ravi Malimath and Justice Vishal Mishra observed that it aims …

2018 Amendment To Specific Relief Act Prospective ; Cannot Apply To Transactions Which Took Place Prior To 1.10.2018: Supreme Court
2 years, 6 months ago

2018 Amendment To Specific Relief Act Prospective ; Cannot Apply To Transactions Which Took Place Prior To 1.10.2018: Supreme Court

Live Law  

The Supreme Court held that the 2018 amendment to the Specific Relief Act is prospective and cannot apply to those transactions that took place prior to its coming into force.The bench of CJI NV Ramana, Justices Krishna Murari and Hima Kohli observed thus while allowing an appeal arising out of a specific performance suit. The Supreme Court held that the …

S.143A NI Act | Court Not Obliged To Direct Payment Of Interim Compensation In Cheque Bounce Cases: Bombay High Court
2 years, 7 months ago

S.143A NI Act | Court Not Obliged To Direct Payment Of Interim Compensation In Cheque Bounce Cases: Bombay High Court

Live Law  

The Bombay High Court has said that courts don't have a duty to grant interim compensation to the complainant in a cheque bounce case. The question before the court was - whether Section 143-A of the NI Act, which empowers the Court to direct payment of interim compensation are mandatory or directory? Section 143-A doesn't cast any duty on court …

Court Must Give Notice To Accused, Hear Him Before Condoning Delay In Filing Complaint U/S 138 NI Act: Tripura High Court
2 years, 9 months ago

Court Must Give Notice To Accused, Hear Him Before Condoning Delay In Filing Complaint U/S 138 NI Act: Tripura High Court

Live Law  

The Tripura High Court has made it clear that a court is required to issue notice to the accused and hear him before condoning the delay in filing a complaint under Section 138 of the Negotiable Instruments Act. ".under Section 138 of the NI Act, if the original complaint is filed after the expiry of the statutory period, then, in …

If Ground Of Delay In Filing S.138 NI Act Complaint Is Raised For First Time In Appeal, Case May Be Remanded Back For Consideration U/S 142(b): Karnataka HC
2 years, 11 months ago

If Ground Of Delay In Filing S.138 NI Act Complaint Is Raised For First Time In Appeal, Case May Be Remanded Back For Consideration U/S 142(b): Karnataka HC

Live Law  

The Karnataka High Court has said that if a party, opposing the proceedings instituted under Section 138 of the Negotiable Instruments Act, fails to raise the ground of delay in filing the complaint before the court of first instance, the Court in Appeal is empowered to remand the matter back for fresh consideration on the issue of condonation of delay …

2021 Supreme Court Digest On Negotiable Instruments Act
3 years, 3 months ago

2021 Supreme Court Digest On Negotiable Instruments Act

Live Law  

Moratorium Under Section 14 IBC Covers Section 138 NI Act Proceedings Against Corporate Debtor For Cheque DishonourIn P Mohanraj and others v M/s Shah Brothers Ispat Ltd, the Supreme Court held that the declaration of moratorium under Section 14 of the Insolvency and Bankruptcy Code covers criminal proceedings for dishonour of cheque under Section 138 of the Negotiable Instruments. Moratorium …

Proceedings Under Section 34 Of Arbitration Act Also Covered By Moratorium Under Section 14 IBC: Supreme Court
4 years ago

Proceedings Under Section 34 Of Arbitration Act Also Covered By Moratorium Under Section 14 IBC: Supreme Court

Live Law  

The Supreme Court observed that an application under Section 34 of the Arbitration and Conciliation Act to set aside an award is covered by moratorium under Section 14 of the Insolvency and Bankruptcy Code.Section 34 proceeding is a proceeding against the corporate debtor in a court of law pertaining to a challenge to an arbitral award and would be covered …

Does Issuance Of Moratorium Under IBC Bar Statutory Proceedings U/S 138 Of Negotiable Instruments Act? SC To Consider [Read Order]
5 years, 1 month ago

Does Issuance Of Moratorium Under IBC Bar Statutory Proceedings U/S 138 Of Negotiable Instruments Act? SC To Consider [Read Order]

Live Law  

A Supreme Court Bench of Justices U.U. Lalit & Aniruddha Bose on Monday issued Notice to Attorney General on a petition seeking a bar on proceedings instituted under section 138 of Negotiable Instruments Act, 1881 towards a Company on account of its declaration of insolvency. Ltd. & Anr., Counsel appearing for the Petitioner submitted that since a Division Bench of …

NI Act: Section 148 Has Retrospective Application, But 143A Is Prospective, Reiterates SC [Read Judgment]
5 years, 2 months ago

NI Act: Section 148 Has Retrospective Application, But 143A Is Prospective, Reiterates SC [Read Judgment]

Live Law  

The Supreme Court has reiterated that Section 148 of the Negotiable Instruments Act is retrospective, while Section 143A is not. The Appellate Court required them to deposit 25% of the amount of compensation/fine imposed by the trial Court, pending appeals challenging the order of conviction and sentence. In May 2019, a two judge bench of the Supreme Court held that …

Section 142(2) Of Negotiable Instruments Amendment Act, 2015 Is Constitutionally Valid: Madras HC [Read Judgment]
5 years, 3 months ago

Section 142(2) Of Negotiable Instruments Amendment Act, 2015 Is Constitutionally Valid: Madras HC [Read Judgment]

Live Law  

Reiterating that the Parliament/State Legislature can take away the basis of a judicial pronouncement by enacting legislation, the Madras High Court upheld the constitutional validity of the Section 142 of the Negotiable Instruments Amendment Act, 2015. The Petitioner-Company, Refex Energy Ltd. had asserted that the amendment is in violation of the Supreme Court ruling in Dashrath Rupsingh Rathod v. State …

Why SC Judgment On Retrospective Application Of Section 148 NI Act Is Problematic?
5 years, 6 months ago

Why SC Judgment On Retrospective Application Of Section 148 NI Act Is Problematic?

Live Law  

In this post, I'll discuss the two provisions, the reasoning given by the courts for differentiating between the two on the issue of retrospective application, and why I believe the Apex court may have gone wrong in not making both the provisions applicable prospectively. If the drawer of the cheque is acquitted, the Court shall direct the complainant to repay …

138NI Act-Proceedings Cannot Be Quashed On The Ground That Notice Not Served Within Statutory Period:SC [Read Order]
5 years, 6 months ago

138NI Act-Proceedings Cannot Be Quashed On The Ground That Notice Not Served Within Statutory Period:SC [Read Order]

Live Law  

The Supreme Court has recently held that the proceedings under Section 138 of the Negotiable Instruments Act cannot be quashed on the ground that the demand notice not duly served within the statutory period.The Court has reiterated that the service of notice to the accused under Section 138 of the Negotiable Instruments Act is a triable issue and cannot be …

NI Act: Why Section 143A Is Prospective And Section 148 Is Retrospective ? [Read Judgment]
5 years, 7 months ago

NI Act: Why Section 143A Is Prospective And Section 148 Is Retrospective ? [Read Judgment]

Live Law  

The Supreme Court has finally resolved the controversy about the retrospectivity of two provisions viz. SC Upheld Punjab & Haryana HC View In effect, the Supreme Court, by these two judgments, has upheld the view adopted by Justice Rajbir Sehrawat of the Punjab and Haryana High Court who had held that the Section 143A of the Negotiable Instruments Act has …

Do The NI Act Amendments Apply Retrospectively?
5 years, 7 months ago

Do The NI Act Amendments Apply Retrospectively?

Live Law  

Two new sections under the Negotiable Instruments Act, 1881 have come into force with effect from 01.09.2018 by way of Amendment Act No. The Supreme Court in Surinder Singh Deswal v. Virender Gandhi while dealing with S. 148 of the Act held that complaints filed prior to the amendment in which appeals have been preferred after the amendment there would …

Section 143A NI Act (Interim Compensation) Has No Retrospective Effect, Section 148 Has: Punjab & Haryana HC [Read Judgment]
5 years, 11 months ago

Section 143A NI Act (Interim Compensation) Has No Retrospective Effect, Section 148 Has: Punjab & Haryana HC [Read Judgment]

Live Law  

The Punjab and Haryana High Court has held that the Section 143A of the Negotiable Instruments Act has no retrospective effect whereas the Section 148 will apply to the pending appeals pending on date of enforcement of this provision. Therefore, it has to be held that Section 143-A of the Act cast a substantive obligation upon the accused and thereby …

Proceedings Under Section 138 NI Act Have Nothing To Do With Insolvency Application Under The Code: NCLT
7 years, 7 months ago

Proceedings Under Section 138 NI Act Have Nothing To Do With Insolvency Application Under The Code: NCLT

Live Law  

The Kolkata Bench of the National Company Law Tribunal recently ruled that disclosure of the fact of initiation of proceedings under Section 138 of the Negotiable Instruments Act in not necessary while filing an Application for Insolvency under the Insolvency and Bankruptcy Code, 2016. "It is to be made clear that the proceedings under section 138 of Negotiable Instrument Act …

Breaking; NI Act Ordinance 2015 is Retrospective; Dashrath Rathod's Judgment have no effect in view of the Amendment; SC [Read Judgment]
9 years, 3 months ago

Breaking; NI Act Ordinance 2015 is Retrospective; Dashrath Rathod's Judgment have no effect in view of the Amendment; SC [Read Judgment]

Live Law  

A Two Judge Bench of the Supreme Court comprising of Justices J.S.Khehar and R.Banumati has held that, in view of the Amended Section 142 of Negotiable Instruments Second Ordinance 2015, the place where a cheque is delivered for collection i.e., the branch of the bank of the payee or holder in due course, where the drawee maintains an account, would …

Amendment of Section 142 NI Act has retrospective effect : Chattisgarh High Court
9 years, 6 months ago

Amendment of Section 142 NI Act has retrospective effect : Chattisgarh High Court

Live Law  

The Chattisgarh High Court held that Amendment of section 142 of Negotiable Instruments Act, 1881, has retrospective effect. Justice Goutam Bhaduri said that it is an amendment of procedural law and not substantive law and hence it will have a retrospective effect.Factual BackgroundSection 138 NI Act complaint was filed by the appellant in JMFC Pamgarh. Section 142 procedural law-has retrospective …

Amendment of Section 142 NI Act has retrospective effect : Chattisgarh High Court
9 years, 6 months ago

Amendment of Section 142 NI Act has retrospective effect : Chattisgarh High Court

Live Law  

The Chattisgarh High Court held that Amendment of section 142 of Negotiable Instruments Act, 1881, has retrospective effect. Justice Goutam Bhaduri said that it is an amendment of procedural law and not substantive law and hence it will have a retrospective effect.Factual BackgroundSection 138 NI Act complaint was filed by the appellant in JMFC Pamgarh. Section 142 procedural law-has retrospective …

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