1 2025:CGHC:52088 NAFR HIGH COURT OF CHHATTISGARH AT BILASPUR CRMP No. 2081 of 2025 1 - Ravindra Singh Pawar (Thakur) S/o Shri Tikeshwar Singh Thakur Aged About 45 Years By Caste - Rajput, R/o Ward No.-7, Near B.S.N.L. Tower, Nagari, Thana And Tahsil - Nagari, District - Dhamtari (C.G.) ... Petitioner(s) versus 1 - Vijay Hardwani S/o Late Shri Dharamdas Aged About 45 Years By Caste - Sindhi, R/o Nayapara, Bhanupratappur, Prop. Kisan Steel Bhanupratappur, District - North Bastar Kanker (C.G.) ... Respondent(s) (Cause title taken from Case Information System) For Petitioner(s) : Mr. Samir Singh, Advocate For Respondent(s) : None Hon'ble Shri Justice R avindra Kumar Agrawal Order on Board 17/10/2025 1. The present criminal miscellaneous petition filed by the petitioner under Section 528 of the Bhartiya Nagrik Suraksha Sanhita, 2023, against the impugned order dated 09.06.2025, passed by learned Judicial Magistrate First Class, Nagari, District Dhamtari (C.G.), in Criminal Complaint Case No. 209 of 2023, whereby the application filed by the complainant under Section 143-A of the Negotiable Instruments Act, 1881 (NI Act, 1881) is allowed and the VED PRAKASH DEWANGAN Digitally signed by VED PRAKASH DEWANGAN Date: 2025.10.27 18:59:01 +0530 2 petitioner/accused is directed to pay the interim compensation of 20% of the amount of cheque i.e. Rs. 2,46,019/- to the complainant. 2. The subject matter in brief in the case is that, the petitioner is an accused in the complaint case filed by the respondent/complainant before the learned Judicial Magistrate First Class, Nagari, for the offence under Section 138 of NI Act, 1881. It is alleged in the complaint that, the petitioner/accused had given the cheque of State Bank of India, Nagari branch bearing cheque No. 787895, dated 31.01.2023, amounting to Rs. 12,30,093/- in lieu of the sale consideration of building material purchased from the complainant. When the said cheque was deposited in the bank account of the complainant for its clearance, the said cheque was dishonored by the payee bank for the reason of insufficient fund. On 19.02.2023, a legal demand notice was served to the petitioner/accused and thereafter the complaint case was filed on 14.03.2023 before the learned trial Court. The complaint case was registered on 29.03.2023 and summon was issued to the petitioner/accused. During the proceeding, the details of offence have been explained on 03.09.2024 and the case was fixed for recording of evidence. On 13.11.2024, the complainant has filed an application under Section 143-A of NI Act, 1881 for grant of interim compensation of 20% of the amount of cheque. After hearing the parties, the learned trial Court has allowed the application on 09.06.2025 and directed the petitioner/accused to pay the 20% of the amount of cheque as interim compensation to the complainant within 60 days from the date of order, which is under challenge in the present criminal miscellaneous petition. 3 3. Learned counsel for the petitioner would submit that, as per the amended provision of Section 143-A of the NI Act, 1881, grant of interim compensation is not mandatory and it is discretionary. It is not necessary in every case to grant 20% of the amount of cheque as interim compensation. He would further submit that, since the legislature has used the word ‘may’, as such, it is discretionary and the learned trial Court should not have granted the 20% amount of the cheque as interim compensation, therefore, the order passed by the learned trial Court is not in accordance with law and the same is liable to be set aside. He would further submit that, the learned trial Court should have considered the genuineness of the allegation made in the complaint case. The complainant has to prove the source of his income and legally recoverable debt, for which the subject cheque alleged to be issued in his favour. The case is fixed for recording evidence of the complainant and his witnesses and there is no possibility of any delay in conclusion of the trial, therefore, the learned trial Court has not exercised its discretion judicially and the impugned order suffers from material irregularity and illegality and the same is liable to be set aside. 4. I have heard learned counsel for the petitioner and perused the material annexed with the petition. 5. Section 143-A of the NI Act, 1881 is incorporated by an amendment dated 16.08.2018, which is operative w.e.f. 01.09.2018. It gives power to the learned trial Court to grant interim compensation of the amount of the cheque up to the 20%. It is relevant to reproduce Section 143-A 4 of the NI Act, 1881, which reads as under:- “143A. Power to direct interim compensation.— (1) Notwithstanding anything contained in the Code of Criminal Procedure, 1973, the Court trying an offence under section 138 may order the drawer of the cheque to pay interim compensation to the complainant— (a) in a summary trial or a summons case, where he pleads not guilty to the accusation made in the complaint; and (b) in any other case, upon framing of charge. (2) The interim compensation under sub-section (1) shall not exceed twenty per cent. of the amount of the cheque. (3) The interim compensation shall be paid within sixty days from the date of the order under sub- section (1), or within such further period not exceeding thirty days as may be directed by the Court on sufficient cause being shown by the drawer of the cheque. (4) If the drawer of the cheque is acquitted, the Court shall direct the complainant to repay to the drawer the amount of interim compensation, with interest at the bank rate as published by the Reserve Bank of India, prevalent at the beginning of the relevant financial year, within sixty days from the date of the order, or within such further period not exceeding thirty days as may be directed by the Court on sufficient cause being shown by the complainant. (5) The interim compensation payable under this section may be recovered as if it were a fine under section 421 of the Code of Criminal Procedure, 5 1973 (2 of 1974). (6) The amount of fine imposed under section 138 or the amount of compensation awarded under section 357 of the Code of Criminal Procedure, 1973 (2 of 1974), shall be reduced by the amount paid or recovered as interim compensation under this section.” 6. From perusal of the amended provision of Section 143-A of the NI Act, it is clear that the word ‘may’ used is beneficial for the complainant, because the complainant has already suffered for loss committed by the accused by not paying the amount of cheque, therefore, it is in the interest of complainant as well as the accused, if the 20% of the amount of cheque is to be paid by the accused, the complainant may be able to utilize the same for his own purpose, whereas the accused will be in safer side, as the amount is already deposited in pursuance of the order passed under Section 143-A of the NI Act. 7. From perusal of Section 143-A of the NI Act, it is quite vivid that, the act has been amended by granting interim measure ensuring that the interest of complainant is upheld in the interim period before the charges are proven against the drawer. The intent behind this provision is to provide aid to the complainant during the pendency of the proceeding under Section 138 of the NI Act. 8. In the present case, the learned trial Court while exercising its discretion allowed the application of the complainant and passed the order against the accused to deposit 20% of the amount of cheque as interim compensation provided under Section 143-A of the NI Act. Considering the aims behind the object of the Section 143-A of the NI 6 Act, this Court is of the view that the learned Judicial Magistrate First Class, Nagari has rightly exercised its discretion to grant interim compensation in favour of the respondent/complainant and has not committed any irregularity or illegality in passing such order. 9. In view of the above, the petition being devoid of merit, liable to be and is hereby dismissed. Sd/- (Ravindra Kumar Agrawal) Judge ved