Authority: Supreme Court of India

Order Date: 14-08-2026

Case Overview

  • Petitioner: J. Saravanan; Respondent: M/s. Handmade Films.
  • Petitioner was convicted by a learned Magistrate under Section 138 of the Negotiable Instruments Act, 1881 and sentenced to two years simple imprisonment and a compensation of Rs 10 crore with a default stipulation.
  • An appeal against the conviction is pending before the XXI Additional Sessions Court, Allikulam, Chennai. The appellate court, on 30‑03‑2026, suspended the sentence on condition that the petitioner deposit 20 % of the compensation amount within 30 days.
  • The High Court, by order dated 28‑04‑2026, modified the condition, directing the petitioner to pay Rs 1 crore (20 % of the cheque amount) on or before 01‑06‑2026.

Final Outcome

  • The Supreme Court, after hearing counsel, considered formal notice unnecessary and granted the petitioner an additional 30 days from 14‑08‑2026 to deposit Rs 1 crore before the Trial Magistrate as directed by the High Court.
  • The Special Leave Petition is disposed of, and any pending applications are also disposed.

Topics: Court Proceedings, Cheque Bounce, Criminal Appeal