Authority: High Court of Judicature at Madras

Order Date: 28 September 2026

Case Overview

  • Petitioners: M/s Palpandian Depot, represented by authorised signatory S. Pal Pandian, filed Criminal Revision Petition (CRL RC No. 2281 of 2025 & CRL MP No. 20778 of 2025) under Section 438 r/w 442 of the BNSS, seeking to set aside the judgment dated 19‑08‑2025 of the XXI Additional Sessions Judge, City Civil Court, Allikulam, Chennai, which confirmed the conviction and sentence imposed by the Fast Track Court‑V, Metropolitan Magistrate, Saidapet, Chennai, in S.T.C.No.2923/2022.
  • Original conviction: Offence under Section 138 of the Negotiable Instruments Act; eight months simple imprisonment and compensation of Rs 8,00,000 to respondent K. Sankarappan, with a default sentence of three months simple imprisonment.
  • Prior payment: Petitioners had deposited Rs 4,60,000 before the trial court in STC.No.2923/2022.
  • Compromise: The parties entered a joint memo of compromise wherein the respondent agreed to accept Rs 7,20,000 as full and final settlement of all claims.
  • Payment on record: Petitioners handed a demand draft No.845449 for Rs 2,60,000 to the respondent’s counsel; they are directed to withdraw the earlier Rs 4,60,000 deposit and hand it over to the respondent within one week.

Final Outcome

  • The Court, considering the joint memo of compromise and the nature of the offence, permitted compounding of the offence.
  • The conviction and sentences dated 24‑01‑2024 (Fast Track Court) and 19‑08‑2025 (Additional Sessions Judge) are set aside.
  • Petitioners are acquitted of the Section 138 offence; the connected miscellaneous petition is closed.
  • Any fine paid by the petitioners shall be refunded, and any bail bond executed shall stand discharged.
  • The parties must report compliance on 06‑10‑2026.

Topics: Legal Settlement, Cheque Bounce Conviction, Court Order