- 1 - HC-KAR NC: 2025:KHC-D:12918 CRL.RP No. 100049 of 2024 IN THE HIGH COURT OF KARNATAKA, AT DHARWAD DATED THIS THE 23RD DAY OF SEPTEMBER, 2025 BEFORE THE HON'BLE MR. JUSTICE S.VISHWAJITH SHETTY CRIMINAL REVISION PETITION NO. 100049 OF 2024 (397(CR.PC)/438(BNSS)) BETWEEN: SMT. JAYASHREE W/O MAHADEV KAMMAR, AGE. 57 YEARS, OCC. BUSINESS, R/O. LITTLE FLOWER SCHOOL, SHIVAJI GALLI-581 329, TQ. HALIYAL AND DIST. UTTAR KANNADA. … PETITIONER (BY SRI. CHETAN MUNNOLI, ADVOCATE) AND: SHRI. CHANNABASAVESHWAR CO-OPERATIVE CREDIT SOCIETY LTD, REPRESENTED BY ITS BRANCH MANAGER, SHRI MALLAYYA VEERAYYA SHRIGURUMATH, AGE. 63 YEARS, R/O. BASAVANAGAR, HALIYAL, TQ. HALIYAL, DIST. UTTARA KANNADA. … RESPONDENT (BY SRI. GIRISH S. HIREMATH, ADVOCATE) THIS CRIMINAL REVISION PETITION IS FILED UNDER SECTION 397 R/W 401 OF CR.P.C., PRAYING TO SET ASIDE THE JUDGMENT DATED 02.03.2023 IN CRIMINAL APPEAL NO.5064/2022 ON THE FILE OF THE I ADDL. DISTRICT AND SESSIONS JUDGE, UTTAR KANNADA, KARWAR SITTING AT SIRSI CONFIRMING THE ORDER DATED 20.07.2022 IN C.C. NO.21/2021 ON THE FILE OF THE SENIOR CIVIL JUDGE AND J.M.F.C. HALIYAL, OF CONVICTING THE PETITIONER FOR THE OFFENCES PUNISHABLE UNDER SECTION 138 OF NI ACT AND THIS CRIMINAL REVISION PETITION BE ALLOWED, IN THE ENDS OF JUSTICE. THIS PETITION COMING ON FOR ORDERS, THIS DAY, ORDER IS MADE THEREIN AS UNDER: RAKESH S HARIHAR Digitally signed by RAKESH S HARIHAR Location: HIGH COURT OF KARNATAKA DHARWAD BENCH - 2 - HC-KAR NC: 2025:KHC-D:12918 CRL.RP No. 100049 of 2024 ORAL ORDER (PER: THE HON'BLE MR. JUSTICE S.VISHWAJITH SHETTY) 1. This petition under Section 397 read with Section 401 of Cr.P.C. is filed by the accused challenging the judgment and order of conviction and sentence passed by the Court of Senior Civil Judge and JMFC, Haliyal, in CC No.21 of 2021 dated 20.07.2022 and the judgment and order dated 02.03.2023 passed by the Court of I Additional District and Sessions, Uttara Kannada, Karwar, in Criminal Appeal No.5064 of 2022. 2. Heard the learned counsel for the parties. 3. Learned counsel for the parties submits that petitioner was convicted and sentenced for the offence punishable under Section 138 of the Negotiable Instruments Act by the trial Court in CC No.21 of 2021 and the said judgment and order of conviction has been confirmed in Criminal Appeal No.5064 of 2022. During the pendency of the Criminal Revision Petition, the parties have settled their dispute before the mediation center at Dharwad, and a - 3 - HC-KAR NC: 2025:KHC-D:12918 CRL.RP No. 100049 of 2024 memorandum of agreement has been signed by them on 10.09.2025, and in view of the said settlement, this criminal revision petition may be disposed of. 4. The memorandum of agreement dated 10.09.2025, which is signed by the parties and by their respective advocates before the Mediation Center at Dharwad, is taken on record. In paragraph Nos. 2 to 4 of the said memorandum of agreement, it is stated as follows: “2. It is submitted that the Accused/Petitioner had availed a hand loan of Rs.50,000/- from the Complainant/Respondent on 14.08.2018. For the purpose repayment of loan, the Accused/Petitioner had issued a cheque bearing No.000001 dated 19.01.2021 of Rs.62,000/- drawn on RBL Bank, Dharwad Branch. When the said cheque was presented by the Complainant/Respondent for encashment, the same was dishonoured and returned with an endorsement as Account Closed. 3. It is submitted that the Complainant/Respondent filed a complaint under Section 200 of Cr.P.C., alleging commission of an offence punishable under Section 138 of Negotiable Instruments Act. After recording sworn statement of the Accused/Petitioner, cognizance of the said offence was taken and CC No.21/2021 was registered against the Accused/Petitioner. After hearing the matter, on 20.07.2022, - 4 - HC-KAR NC: 2025:KHC-D:12918 CRL.RP No. 100049 of 2024 the Trial Court passed the impugned judgment of conviction and order of sentence by imposing fine of Rs.1,24,000/- Aggrieved by the said judgment and order of sentence, the Accused/Petitioner preferred an appeal in Crl.A.No.5064/2022, wherein the Appellate Court confirmed the judgment of conviction and order of sentence passed by the Trial Court, on 02.03.2023. 4. Aggrieved by the judgments of the Courts below, the present petition has been filed. The Parties have agreed to compromise the case, with the intervention of well-wishers, for a total sum of Rs.90,000/- (Rupees Ninety Thousand Only), towards full and final settlement, which shall be paid as follows: a) The Complainant/Respondent is entitled to withdraw the sum of Rs.30,000/- (Rupees Thirty Thousand Only), with accrued interest (if any), deposited by the Accused/Petitioner before the Trial Court. b) The balance sum of Rs.60,000/- (Rupees Sixty Thousand Only) shall be paid by the Accused/Petitioner in two instalments i.e., Rs.30,000/- (Rupees Thirty Thousand Only) on or before 10.10.2025 and remaining Rs. 30,000/- (Rupees Thirty Thousand Only) on or before 25.11.2025 to the Complainant/Respondent. c) In default of the Accused/Petitioner in paying the amount as above, the Complainant/Respondent is at Liberty to recover the same by the issue of FLW, against the Accused/in accordance with law.” - 5 - HC-KAR NC: 2025:KHC-D:12918 CRL.RP No. 100049 of 2024 5. The alleged offence for which petitioner has been convicted is compoundable. Having regard to the settlement arrived between the parties and also considering the prayer made in the memorandum of agreement dated 10.09.2025, the prayer made by the parties to permit them to compound the offence needs to be granted. Consequently, the criminal revision petition is allowed and the impugned judgment and order of conviction and sentence passed by the Court of Senior Civil Judge and JMFC, Haliyal, in CC No.21 of 2021 dated 20.07.2022 which is confirmed by the judgment and order dated 02.03.2023 passed by the Court of I Additional District and Sessions, Uttara Kannada, Karwar, are set aside. 6. The petitioner is acquitted for the offence punishable under Section 138 of the Negotiable Instruments Act and bail bond, if any, executed by her stands cancelled. The respondent-complainant is permitted to withdraw the - 6 - HC-KAR NC: 2025:KHC-D:12918 CRL.RP No. 100049 of 2024 amount of ₹30,000/- deposited by the petitioner before the trial Court. Sd/- (S.VISHWAJITH SHETTY) JUDGE VMB CT:BCK LIST NO.: 1 SL NO.: 7