Rajbala v. State of Haryana and Anr

INoTHEoHIGHoCOURToOFoPUNJABoANDoHARYANAoAToo CHANDIGARHo o o o o o o o 119o o o o o o o CRR-840-2025o(O&M)o o o o o o o o Dateoofodecision:o15.09.2025o Rajbalao o o o o o o o ....Petitionerooo V/so StateoofoHaryanaoandoanothero o o o o ....Respondentso o CORAM:oo HON'BLEoMR.oJUSTICEoSUMEEToGOELo Present:oo Ms.oAshuoRana,oAdvocateoforoo o o Ms.oSumanoBeniwal,oAdvocateoforotheopetitioner.oo o o o Mr.oGurmeetoSingh,oAAG,oHaryanao o o fororespondentoNo.1.o o o o Mr.oB.S.oBeniwal,oAdvocateofororespondentoNo.2.o o o o o o *****o SUMEEToGOEL,oJ.o(Oral)oo

1.o o Theo presento petitiono haso beeno filedo impugningo theo judgmento datedo 21.03.2025o passedo byo theo learnedo Additionalo Sessionso Judge,o Fatehabado&otheojudgmentoasoalsootheoorderoofosentenceodatedo05.11.2024o passedobyoJudicialoMagistrateoIstoClass,oFatehabadowherebyotheopetitionero haso beeno convictedo ando sentencedo foro offenceo undero Sectiono 138o ofo NegotiableoInstrumentsoAct,o1881.oo

2.o o Learnedocounseloforotheopetitionerohasosubmittedothat,oduringotheo pendencyoofoproceedings,otheopetitioneroandotheocomplainantohaveoenteredo intoo ao settlement/compromiseo datedo 24.03.2025o (copyo whereofo haso beeno appendedoasoAnnexureoP-1owithotheopresentopetition).ooLearnedocounseloforo theopetitionerohasosubmittedothat,osinceotheopartiesohaveoamicablyosettledotheiro dispute(s),otheomatteromayobeocompoundedoandotheopetitionerobeoacquitted.ooo

3.o o Ono28.03.2025,otheofollowingoorderowasopassed:o "Thisopetitionohasobeenofiledoprayingoforosettingoasideotheojudgmento NAVEEN NAGPAL ofoconvictionoandoorderoofosentenceodatedo05.11.2024opassedobyo CRR-840-2025o(O&M)oo o P a g e | 2

JMIC,oFatehabadoasowelloasojudgmentodatedo21.03.2025opassedobyo Addl.oSessionsoJudge,oFatehabadoandotheopetitionerobeoacquittedoofo theochargeoagainstoher.oo o Learnedo counselo foro theo petitionero submitso thato theo petitionerohasoenteredointooaocompromiseoexecutedoono25.03.2025o withotheocomplainant.oo o Learnedocounseloforotheocomplainantoisoalsooinoagreemento withotheostatementomadeobyocounseloforotheopetitioneroregardingotheo compromiseotoowhichoheohasonooobjectionoifotheorevisionopetitionoiso allowed.oo o Noticeoofomotion.oo o OnotheoaskingoofotheoCourt,olearnedoStateoCounseloacceptso noticeoonobehalfooforespondentoNo.1-State.o o Mr.o B.S.o Beniwal,o Advocateo haso puto ino appearanceo ono behalfooforespondentoNo.2oandohasofiledoVakalatnama.oHeoadmitso theofactumoofocompromiseoenteredointoobetweenotheoparties.oo o Listoono01.05.2025.oo o Inotheomeantime,otheopartiesoareodirectedotooappearobeforeo theoIllaqaoMagistrate/trialoCourtowithinoaoperiodoofooneoweekofromo today,o foro recordingo ofo theiro statementso witho regardo too theo compromise.oo o TheotrialoCourtoisodirectedotoosubmitoaoreportoonoorobeforeo theonextodateoofohearingocontainingotheofollowingoinformation:oo

(i)oNumberoofopersonsoarrayedoasoaccusedoinotheoFIR;oo

(ii)o Whethero anyo accusedo iso declaredo aso proclaimedo offender?oo

(iii)o Whethero theo compromiseo iso genuine,o voluntaryo ando withoutoanyocoercionooroundueoinfluence?o

(iv)oWhetherotheoaccusedopersonsoareoinvolvedoinoanyoothero FIRooronot?oo o Inotheomeantime,otheosentenceoofotheopetitioneroshalloremaino suspendedoduringotheopendencyoofotheorevisionopetitionosubjectotoo hisofurnishingopersonal/suretyobondsotootheosatisfactionoofoChiefo JudicialoMagistrate/DutyoMagistrate,oconcerned."o

4.o o Pursuantotootheoaforesaidoorder,oreportodatedo02.04.2025ofromo CiviloJudgeo(Jr.oDivision)-cum-JudicialoMagistrate,oIstoClass,oFatehabad,ohaso beenoreceived,owhichoisotakenoonorecord,orelevantowhereoforeadsoasounder:o "Anoapplicationofororecordingotheostatementsoofotheopartiesoinotheo aboveonotedocomplaintoinocomplianceoofoorderodatedo28.03.2025o NAVEEN NAGPAL passedo byo Hon'bleo Higho Courto ofo Punjabo &o Haryanao ato CRR-840-2025o(O&M)oo o P a g e | 3

ChandigarhoinoCRR-840-2025o(O&M)otitledoaso"RajbalaoVs.oStateo ofoHaryanaoandoAnother"oalongowithocopyoofosaidoorderohasobeeno movedobyolearnedocounseloforobothotheoparties.oTheosaidoorderohaso beeno confirmedo byo Ahlmado ofo thiso Court.o Reporto ofo Ahlmado receivedoandoperused.oTheosaidoorderohasobeenoperused.oVideosaido orderodatedo28.03.2025opassedobyotheoHon'bleoHighoCourtoinoCRR-840-2025o(O&M)o(citedoasosubject),othisocourtohadobeenodirectedotoo recordotheostatementoofobothotheopartiesoandotoosendotheoreportowitho regardotoovalidityoofotheocompromiseoandoreportoinothisoregardohaso beenocalledowithinooneoweekofromo28.03.2025.oInocomplianceoofotheo saido order,o botho theo partieso appearedo beforeo theo Courto foro recordingo theiro statements.o Ato thiso stage,o complainanto Balwanto Ramomadeoaostatementothatoheohasocompromisedotheomatterowitho theoaccusedoono25.03.2025owithoutoanyofear,opressureooroundueo influence.o Heo furthero submittedo thato heo haso receivedo theo compromisedo amounto fromo theo accusedo ando nowo nothingo iso outstandingoagainstotheoaccused.o Thereafter,o theo accusedo namelyo Rajbalao alsoo madeo ao separateo statemento thato sheo haso compromisedo theo mattero witho theo complainanto ono 25.03.2025.o Sheo furthero submittedo thato sheo haso paidotheocompromisedoamountotootheocomplainantoandonowonothingo isooutstandingotowardsotheocomplainant.oSheofurtherosubmittedothato nooFIRohasobeenoregisteredoagainstoher.o Afterorecordingotheostatementoofocomplainantoasowelloasoaccused,o thisocourtoisoofotheoconsideredoviewothatobothotheopartiesohaveomadeo theiro statementso aso pero theiro owno freeo willo ando withouto anyo pressure.o Accordingly,omyopoint-wiseoreportoinotheoprescribedoformatoisoasounder:o Nameo ofo theo reportingo JoginderoJangra,oJudicialoMagistrateoFirsto Courto Class,oFatehabad.o o o o o o

1.o NumberoofopersonsoarrayedoasoaccusedoinoFIR;o Nilo

2.o WhetheroanyoaccusedoisodeclaredoasoProclaimedoOffender?o Noo

3.o Whetherotheocompromiseoisogenuine,ovoluntaryo andowithouto Yeso anyocoercionooroundueoinfluence?o

4.o WhetherotheoaccusedopersonsoareoinvolvedoinoanyootheroFIRooro Noo not?o o o Originalocopyoofotheostatementsoofotheocomplainantoandoaccusedo whoowereodulyoidentifiedobyotheirorespectiveo counselsoareobeingo transmittedotootheoHon'bleoHighoCourtoforofurtheroproceedings."o CRR-840-2025o(O&M)oo o P a g e | 4

5.o o Learnedo counselo appearingo foro theo complainant-respondento No.2ohasoratifiedotheofactumoofocompromise/settlementohavingobeenoarrivedo ato betweeno theo partieso ando haso furthero vouchedo theo genuinenesso ofo theo compromise/settlementodatedo24.03.2025o(copyowhereofohasobeenoappendedo asoAnnexureoP-1owithotheoinstantopetition).oAccordingly,oheohasoiteratedothato theo respondento No.2-complainantohaso noo objectiono ino caseo theo offenceo iso permittedotoobeocompoundedoandotheopetitioneroisoorderedotoobeoacquitted.ooo

6.oo o Similarly,olearnedoStateocounselothatoheohasonooobjectionoinocaseo theooffenceoisopermittedotoobeocompoundedobyothisoCourtoandotheopetitioneroiso orderedotoobeoacquitted.oo

7.o o Io haveo heardo learnedo counselo foro theo rivalo partieso ando haveo perusedotheoavailableorecord.oo

8.o o Itowouldobeoappositeotooreferohereinotooaojudgmentopassedobyo threeo Judgeo Bencho ofo theo Hon'bleo Supremeo Courto titledo aso Damodaro S.o Prabhuovs.oSayedoBabalaloH.,oAIRo2010(SC)o1907,orelevantowhereoforeadso thus:o o "15.oWithoregardotootheoprogressionoofolitigationoinochequeobouncingocases,otheo learnedoAttorneyoGeneralohasourgedothisoCourtotooframeoguidelinesoforoaogradedo schemeo ofo imposingo costso ono partieso whoo undulyo delayo compoundingo ofo theo offence.oItowasosubmittedothatotheorequirementoofodepositoofotheocostsowilloactoasoao deterrentoforodelayedocomposition,osinceoatopresent,ofreeoandoeasyocompoundingo ofooffencesoatoanyostage,ohoweverobelated,ogivesoanoincentiveotootheodraweroofotheo chequeotoodelayosettlingotheocasesoforoyears.oAnoapplicationoforocompoundingo madeoafteroseveraloyearsonotoonlyoresultsoinotheosystemobeingoburdenedobutotheo complainantoisoalsoodeprivedoofoeffectiveojustice.oInoviewoofothisosubmission,oweo directothatotheofollowingoguidelinesobeofollowed:-o o THEoGUIDELINESo o (i)oInotheocircumstances,oitoisoproposedoasofollows:o o (a)o Thato directionso cano beo giveno thato theo Writo ofo Summonso beo suitablyomodifiedomakingoitoclearotootheoaccusedothatoheocouldomakeo ano applicationo foro compoundingo ofo theo offenceso ato theo firsto oro secondohearingoofotheocaseoandothatoifosuchoanoapplicationoisomade,o compoundingomayobeoallowedobyotheocourtowithoutoimposingoanyo CRR-840-2025o(O&M)oo o P a g e | 5

o (b)oIfotheoaccusedodoesonotomakeoanoapplicationoforocompoundingo aso aforesaid,o theno ifo ano applicationo foro compoundingo iso madeo beforeotheoMagistrateoatoaosubsequentostage,ocompoundingocanobeo allowedosubjectotootheoconditionothatotheoaccusedowillobeorequiredo toopayo10%oofotheochequeoamountotoobeodepositedoasoaoconditionoforo compoundingowithotheoLegaloServicesoAuthority,oorosuchoauthorityo asotheoCourtodeemsofit.o o (c)oSimilarly,oifotheoapplicationoforocompoundingoisomadeobeforeo theoSessionsoCourtooroaoHighoCourtoinorevisionooroappeal,osucho compoundingomayobeoallowedoonotheoconditionothatotheoaccusedo payso15%oofotheochequeoamountobyowayoofocosts.o o (d)oFinally,oifotheoapplicationoforocompoundingoisomadeobeforeotheo SupremeoCourt,otheofigureowouldoincreaseotoo20%oofotheochequeo amount.o o Letoitoalsoobeoclarifiedothatoanyocostsoimposedoinoaccordanceowithotheseo guidelinesoshouldobeodepositedowithotheoLegaloServicesoAuthorityooperatingo ato theo levelo ofo theo Courto beforeo whicho compoundingo takeso place.o Foro instance,o ino caseo ofo compoundingo duringo theo pendencyo ofo proceedingso beforeoaoMagistrate'soCourtooroaoCourtoofoSessions,osuchocostsoshouldobeo depositedo witho theo Districto Legalo Serviceso Authority.o Likewise,o costso imposedoinoconnectionowithocompositionobeforeotheoHighoCourtoshouldobeo depositedowithotheoStateoLegaloServicesoAuthorityoandothoseoimposedoino connectiono witho compositiono beforeo theo Supremeo Courto shouldo beo depositedowithotheoNationaloLegaloServicesoAuthority.o o xxxo o o xxxo o o xxxo o o xxxo o xxxo o o xxxo o o xxxo o o xxxo o 17.oo Weoareoalsooconsciousoofotheoviewothatotheojudicialoendorsementoofo theo aboveo quotedo guidelineso couldo beo seeno asoano acto ofo judicialo law-makingoandothereforeoanointrusionointootheolegislativeodomain.oItomustobeo keptoinomindothatoSectiono147oofotheoActodoesonotocarryoanyoguidanceoono howotooproceedowithotheocompoundingoofooffencesounderotheoAct.oWeohaveo alreadyoexplainedothatotheoschemeocontemplatedounderoSectiono320oofotheo CrPCocannotobeofollowedoinotheostrictosense.oInoviewoofotheolegislativeo vacuum,oweoseeonoohurdleotootheoendorsementoofosomeosuggestionsowhicho haveo beeno designedo too discourageo litigantso fromo undulyo delayingo theo compositionoofotheooffenceoinocasesoinvolvingoSectiono138oofotheoAct.oTheo gradedoschemeoforoimposingocostsoisoaomeansotooencourageocompoundingo atoanoearlyostageoofolitigation.oInotheostatusoquo,ovaluableotimeoofotheoCourto isospentoonotheotrialoofotheseocasesoandotheopartiesoareonotoliableotoopayoanyo CourtofeeosinceotheoproceedingsoareogovernedobyotheoCodeoofoCriminalo Procedure,oevenothoughotheoimpactoofotheooffenceoisolargelyoconfinedotootheo 2025.09.15 17:27 privateoparties.oEvenothoughotheoimpositionoofocostsobyotheocompetentocourto CRR-840-2025o(O&M)oo o P a g e | 6

iso ao mattero ofo discretion,o theo scaleo ofo costso haso beeno suggestedo ino theo interestoofouniformity.oTheocompetentoCourtocanoofocourseoreduceotheocostso witho regardo tootheo specifico factso ando circumstanceso ofo ao case,o whileo recordingoreasonsoinowritingoforosuchovariance.oBonaofideolitigantsoshouldo ofocourseocontestotheoproceedingsotootheirologicaloend.oEvenoinotheopast,o thisoCourtohasousedoitsopowerotoodoocompleteojusticeounderoArticleo142oofo theoConstitutionotooframeoguidelinesoinorelationotoosubject-matterowhereo thereowasoaolegislativeovacuum."o

8.1.o o FurtherotheoHon'bleoSupremeoCourtoinoaojudgmentotitledoasoM/so NewoWinoExporto&oAnr.ovs.oA.oSubramaniamo2024oINSCo535o:o2024(3)o LawoHeraldo(SC)o2098,orelevantowhereoforeadsoasounder:o o "6.oo Ato thiso juncture,o weo wouldo alsoo likeo too reiterateo ao fewo wordso regardingotheoprinciplesoofocompoundingoofooffencesoinotheocontextoofoNIo Act.oItoisotoobeorememberedothatodishonouroofo chequesoisoaoregulatoryo offenceowhichowasomadeoanooffenceoonlyoinoviewoofopublicointerestosoothato theo reliabilityo ofo theseo instrumentso cano beo ensured.o Ao largeo numbero ofo casesoinvolvingodishonouroofochequesoareopendingobeforeocourtsowhichoisoao seriouso concerno foro ouro judicialo system.o Keepingo ino mindo thato theo 'compensatoryoaspect'ooforemedyoshallohaveopriorityooverotheo'punitiveo aspect',ocourtsoshouldoencourageocompoundingoofooffencesounderotheoNIo Actoifopartiesoareowillingotoodooso.o(See:oDamodaroS.oPrabhuov.oSayedo Babalalo H.o(2010)o 5o SCCo 663o (Parao 18),o Gimpexo Privateo Limitedo v.o Manojo Goelo(2022)o 11o SCCo 705o (Parao 29),o Meterso Ando Instrumentso PrivateoLimitedoAndoAnr.ov.oKanchanoMehtao(2018)o1oSCCo560o(Parao

18.2)"oo

8.2.o o Theo statutoryo provisiono ofo Sectiono 359o ofo BNSS,o 2023o ando Sectiono147oofoNegotiableoInstrumentsoAct,o1881owhenoexaminedoalongwitho Sectiono528oofoBNSS,o2023oinotheoguidingolightoofotheojudgmentsoofotheo Hon'bleoSupremeoCourtoinocasesoofoDamodaroS.oPrabhuocaseo(supra)oando M/soNewoWinoExportocaseo(supra),oleadotootheounequivocaloconclusionothato theooffenceounderoSectiono138oofoNegotiableoInstrumentsoAct,o1881ocanobeo compoundedoatoallolevelsoofotheostageoofolitigationoincludingowhenotheomattero haso reachedo theo Higho Courto aftero beingo conclusivelyo dealto witho byo theo MagisterialoasoalsootheoSessionsoCourt.ooInootherowords,osuchoanooffenceocano authenticity of this order/judgmentbeo compromised/compoundedo eveno aftero theo petitioner-accusedo haso beeno CRR-840-2025o(O&M)oo o P a g e | 7

convictedobyotheoCourtoofolearnedoMagistrateoandohisoappealoagainstotheosameo hasobeenodismissedobyotheolearnedoSessionsoCourt.ooo o o TheoHon'bleoSupremeoCourtoinotheojudgmentoofoDamodaroS.o Prabhuocaseo(supra)ohasoalsooenunciatedothat,oordinarily,ocostsooughtotoobeo imposedowhenotheooffenceounderoSectiono138oofoNegotiableoInstrumentsoActo ofo1881oisocompoundedoatoaostageowhenosubstantialoproceedingsohaveobeeno undertakeno byo Courtso soo aso too dissuadeo theo unscrupulouso litiganto fromo undulyodelayingotheocompoundingoofosuchooffences.ooHowever,odiscretiono hasobeenoreservedoinofavouroofotheoconcernedoCourtotooreduce/waiveooffosucho costs,oinocaseofacts/circumstancesoofoaogivenocaseosoowarrant.oooo

8.3.o o Stillofurther,otheoinherentojurisdictionoofotheoHighoCourtoundero Sectiono528oBNSS,o2023oisoprimarilyoaimedoatopreventingoabuseoofojudicialo processo ando securingo theo endso ofo justice.o Thus,o wheno theo disputeo iso essentiallyopersonaloinonatureoandoaogenuineocompromiseohasobeenoreached,o theo Higho Courto mayo interveneo too quasho theo convictiono recognizingo theo continuedo proceedingso wouldo beo non-productiveo ando unjusto ino theo giveno circumstances.oTheoinherentopowersoofoaoHighoCourtoareopowersowhichoareo incidentalo repleteo powers,o whicho ifo dido noto soo exist,o theo Courtowouldo beo obligedotoositostilloandohelplesslyoseeotheoprocessoofolawoandoCourtsobeingo abusedo foro theo purposeso ofo injustice.o Ino othero words;o sucho power(s)o iso intrinsico too ao Higho Court,o ito iso itso veryo life-blood,o itso veryo essence,o itso immanentoattribute.oWithoutosuchopower(s),oaoHighoCourtowouldohaveoformo butolackotheosubstance.oTheseopowersoofoaoHighoCourtohenceodeserveotoobeo construedowithotheowidestopossibleoamplitude.oTheseoinherentopowersoareoino consonanceowithotheonatureoofoaoHighoCourtowhichooughtotoobe,oandohasoino factobeen,oinvestedowithopower(s)otoomaintainoitsoauthorityotoopreventotheo processo ofo law/Courtso beingo obstructedo oro abused.o Ito iso ao triteo posito ofo CRR-840-2025o(O&M)oo o P a g e | 8

jurisprudenceothatothougholawsoattemptotoodealowithoallocasesothatomayoarise,o theo infiniteo varietyo ofo circumstanceso whicho shapeo eventso ando theo imperfectionso ofo languageo makeo ito impossibleo too layo downo provisionso capableoofogoverningoeveryocase,owhichoinofactoarises.oAoHighoCourtowhicho existso foro theo furtheranceo ofo justiceo ino ano indefatigableo manner,o shouldo therefore,ohaveounfetteredopower(s)otoodealowithosituationsowhich,othoughonoto expresslyoprovidedoforobyotheolaw,oneedotoobeodealtowith,otoopreventoinjusticeo orotheoabuseoofotheoprocessoofolawoandoCourts.oTheojuridicalobasisoofotheseo plenaryopower(s)oisotheoauthority;oinofactotheoseminalodutyoandoresponsibilityo ofoaoHighoCourt;otoouphold,otooprotectoandotoofulfillotheojudicialofunctionoofo administeringo justice,o ino accordanceo witho law,o ino ao regular,o orderlyo ando effectiveo manner.o Ino othero words;o Sectiono 528o ofo BNSS,o 2023o reflectso peerlessopowers,owhichoaoHighoCourtomayodrawouponoasonecessaryowhenevero itoisojustoandoequitableotoodooso,oinoparticularotooensureotheoobservanceoofotheo dueo processo ofo law,o toopreventovexationo orooppression,otoodoo justiceonayo substantialo justiceo betweeno theo partieso ando too secureo theo endso ofo justice.o Therefore,otheoHighoCourt,oinotheoexerciseoofoitsoinherentopowerounderosectiono 528oBNSS,o2023ohasotheodiscretionotooquashoaoconvictionowhereotheopartieso haveoreachedoanoamicableosettlement,oprovidedosuchocompromiseodoesonoto impingeo upono theo publico interesto oro undermineo justice,o aso wello aso theo substantialojustice.o

9.o o Revertingotootheofactsoofotheocaseoinohand,oitoisonotodisputedobyo theoconcernedorivalopartiesothatoanoamicableosettlementohasobeenoarrivedoato betweeno themo and,o therefore,o compoundingoofo theo offenceo andonecessaryo furthero directionso haveo beeno soughto fromo thiso Court.o o Ao perusalo ofo theo compromise/settlemento(copyowhereofohasobeenoappendedoasoAnnexureoP-1)o reflectsothatotheopartiesohaveosoughtotooresolveotheirodispute(s)oinototooando CRR-840-2025o(O&M)oo o P a g e | 9

buryotheohatchet.oConsequently,oinotheoconsideredoopinionoofothisoCourt,otheo factualomatrixoofotheocaseorequiresothatotheooffence(s)ooughtotoobeopermittedo toobeocompoundedoandotheopetitionerodeservesotoobeoacquitted.ooo

9.1.o o Keepingoinoviewotheoentiretyoattendingofacts/circumstancesoofo theocase;oespeciallyofactumoofotheopetitioneroisoinocustodyofromotheodateoofo dismissalo ofo hiso appealo ono 21.03.2025o too 28.03.2025,o theo petitionero haveo facedo theo wratho ofo criminalo litigationo sinceo abouto theo yearo 2020,o theo petitionero iso ao ladyo agedo 64o yearso saddledo witho theo responsibilityo ofo hiso familyoandotheopetitionerobeingopleadedotoobeoaofirstotimeooffenderoandotheo petitionerobeingopleadedonototoobeobelongingotooaffluentosociety;othisoCourto doesonotodeemoitoappropriateotoosaddleotheopetitionerowithocosts.ooo

10.o o Inoviewoofotheoabove,oitoisodirectedoasounder:-o

(i)o o Theo impugnedo judgmento datedo 21.03.2025o passedo byo theo learnedoAdditionaloSessionsoJudge,oFatehabado&otheojudgmentoasoalsootheo orderoofosentenceodatedo05.11.2024opassedobyoJudicialoMagistrateoIstoClass,o Fatehabadoareoset-asideoandotheopetitioneroisoacquitted.oo

(ii)o o Nooorderoasotoocosts.oo

(iii)oo o Pendingoapplication(s),oifoany,oshalloalsoostandsodisposedoof.oo o o o o o o o o o o o o oooooo(SUMEEToGOEL)o o ooooooooooooooooo o o ooooooooooooooooooooo ooo o o oooJUDGEo Septembero15,o2025o Naveeno o o Whetherospeaking/reasoned:o o Yes/Noo o o Whetheroreportable:o o o Yes/Nooo