1 MRK, J Crl.P.No.9016 of 2025 APHC010447312025 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI WEDNESDAY, THE 19th DAY OF AUGUST 2026 PRESENT THE HONOURABLE SRI JUSTICE MAHESWARA RAO KUNCHEAM CRIMINAL PETITION NO: 9016 OF 2025 Between: 1. KANNAYA GOVINDRAJ, S/o Late K. Govindraj Aged 41 years, r/o Neeladari Nilaya, 200/2, 2nd Floor, SF-1, Main Masjid Street, Virat Nagar Bommanahalli, Bangalore- 560068 ...Petitioner AND 1. R V NARAYANA REDDY, S/o Rami Reddy Aged 45 years. Proprietor of Nikhil Traders Society colony, Kamalapuram Town, Kadapa District-516289 2. The AP state, reptd by The Public Prosecutor AP High Court Amaravathi ...Respondents Petition under Section 437/438/439/482 of Cr.P.C and 528 of BNSS praying that in the circumstances stated in the Memorandum of Grounds of Criminal Petition, the High 2 MRK, J Crl.P.No.9016 of 2025 Courtmay be pleased to quash the proceedings in C.C.No.251/2022 pending on the file of the Judicial Magistrate of First Class, Kamalapuram for the offences punishable under Section 138 of the Nl Act, 1881 IA NO: 1 OF 2025 Petition under Section 482 of Cr.P.C and 528 of BNSS praying that in the circumstances stated in the Memorandum of Grounds of Criminal Petition,the High Court may be pleased pleased to dispense with the filing of the certified copy of the CC No. 251/2022 of Judicial Magistrate of First Class, kamalapuram Kadapa District pending disposal of the main Quash Petition, in the interest of justice and pass IA NO: 2 OF 2025 Petition under Section 482 of Cr.P.C and 528 of BNSS praying that in the circumstances stated in the Memorandum of Grounds of Criminal Petition,the High Court may be pleased Pending disposal of the quash petition before this honourable court, i.e, the CrI.P.no of 2025 filed against C.C.No.251/2022 pending on the file of the Judicial Magistrate of First Class, Kamalapuram kadapa district ,this honourable court may be pleased to stay all further proceedings in C.C.No.251/2022 pending on the file of the Judicial Magistrate of First Class, Kamalapuram of kadapa district and pass 3 MRK, J Crl.P.No.9016 of 2025 IA NO: 1 OF 2026 Petition under Section 482 of Cr.P.C and 528 of BNSS praying that in the circumstances stated in the Memorandum of Grounds of Criminal Petition,the High Court may be pleased may be pleased to record the compromise that the respondent no. 1 has no objection to close the C.C.No.251/2022 pending on the file of the Learned Judicial Magistrate of First Class, Kamalapuram, registered against the Petitioner by the Respondent No.1 and in the sequel this petitioner/accused has also got no objection to close the quash petition by this honourable court as settled court of court between both the parties to this quash petition, which is pending before this honourable court as CrIP No. 9016/2025 in the interest of justice and pass Counsel for the Petitioner: S S BHATT Counsel for the Respondents: PUBLIC PROSECUTOR 4 MRK, J Crl.P.No.9016 of 2025 THE HONOURABLE SRI JUSTICE MAHESWARA RAO KUNCHEAM IA No.1 OF 2025 in/and Criminal Petition No:9016 OF 2025 COMMON ORDER: Heard Sri S. S. Bhatt, learned counsel for the petitioner, Sri M.V. Vijayaditya Reddy, learned counsel representing C. Prakash Reddy, learned counsel for the respondent No.1 and learned Assistant Public Prosecutor appearing for respondent No.2. 2. Petitioner and respondent No.1, who are accused and complainant before the trial Court in C.C.No.251 of 2022 are also present and heard them. 3. Learned counsel for the petitioner filed a petition in I.A.No.1 of 2026 along with joint compromise memo, seeking permission to settle the matter and acquit the petitioner under Section 138 of Negotiable Instruments Act (hereinafter referred to as ‘the Act’) by quashing the proceedings in C.C.No.251 of 2022. 4. As seen from the joint compromise memo, both parties settled their issues, out of Court and accordingly, respondent 5 MRK, J Crl.P.No.9016 of 2025 No.1 agreed to withdraw the complaint in C.C.No.251 of 2022 and he orally submitted that this petition may be allowed by quashing the proceedings in C.C.No.251 of 2022 and by acquitting the petitioner of the offence of the Act. 5. In this regard, it is to be noted that as per the Judgment of Hon’ble Apex Court in Damodar S Prabhu v. Sayed Babalal1, even at the stage of appeal or revision, the case under Section 138 of the Act can be compromised and to that effect permission may be given to both parties and at the same time, depending on the stage of the case, penalty amount is to be collected from the accused. But, as per the judgment of Hon’ble Apex Court in Rajeev Khandelwal vs. State of Maharashtra & Another 2, penalty amount need not be collected from the accused, in view of the settlement between the parties and payment made by the accused. 6. In the given facts and circumstances and having given thoughtful consideration to the aforementioned principles, this Court came to conclusion that permission may be accorded to 1 [(2010) 5 SCC 663] 2 [2025 LiveLaw SC 1103] 6 MRK, J Crl.P.No.9016 of 2025 both parties to settle the dispute and accordingly, this Court allowed the petition in I.A.No.1 of 2026 vide orders today. 7. In the result, I.A.No.1 of 2026 and Crl.P.No.9016 of 2025 are allowed, by quashing the proceedings in C.C.No.251 of 2022 pending on the file of the learned Judicial Magistrate of First Class, Kamalapuram and consequently, acquitted the petitioner of the offence under Section 138 of the Act. As a sequel, Miscellaneous petitions, if any pending, shall stand closed. ____________________________________ JUSTICE MAHESWARA RAO KUNCHEAM Date: 19.08.2026 krk 7 MRK, J Crl.P.No.9016 of 2025 THE HONOURABLE SRI JUSTICE MAHESWARA RAO KUNCHEAM 93 IA No.1 OF 2026 in/and Criminal Petition No:9016 OF 2025 19.08.2026 krk