Authority: High Court of Judicature at Madras
Order Date: 15-09-2026
Case Overview
- Parties: Petitioner M. Nagaraj, proprietor of M/s. Nagar Tex, vs Respondent V.E. Muruganantham, son of A. Elango, residing Vettuvapalayam, Sivagiri, Erode District.
- Original conviction: On 10-09-2025, Judicial Magistrate, Kodumudi, in S.T.C.No.361 of 2022 convicted petitioner under Section 138 of the Negotiable Instrument Act, sentencing six months simple imprisonment and ordering payment of compensation equal to the cheque amount, with default one month imprisonment.
- Appeal: Petition filed in Crl.A.No.264 of 2025 seeking suspension of sentence pending appeal. Appellate Court, on 22-10-2025, suspended the sentence conditionally, directing deposit of 20 % of the compensation amount before the Trial Court within two months.
- Present petition: Filed under Section 528 of the Bharatiya Nagarik Suraksha Sanhita, 2023 (CRL OP No. 26031 of 2026) challenging the order dated 15-06-2026 passed by the II Additional Sessions Judge, Erode (Crl.M.P.No.2 of 2026 in Crl.A.No.264 of 2025) imposing the 20 % deposit condition.
Legal Reasoning
- The Court referred to Supreme Court judgment Jamboo Bhandari vs M.P.State Industrial Development Corporation Ltd. & ors (2023 (3) MWN Crl. 104 (SC)), which held that the 20 % deposit requirement is not absolute and may be reduced or exempted in exceptional cases.
- The High Court found no valid reason or exceptional circumstance in the present case to reduce the deposit amount.
Final Outcome
- The order of the II Additional Sessions Judge dated 15-06-2026 remains valid; however, the compliance deadline is extended to 18-09-2026.
- If the petitioner fails to deposit the required 20 % by that date, the extension will be automatically cancelled and the appellate court may take appropriate action against the accused as per law.
- The Criminal Original Petition is disposed of.
Topics: Court Order, Compensation Deposit, Criminal Appeal