S. Subramaniam vs Murugesan on 24 March, 2026

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    S. Subramaniam vs Murugesan on 24 March, 2026

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                                                   IN THE SUPREME COURT OF INDIA
    
                                                  CRIMINAL APPELLATE JURISDICTION
    
                                              CRIMINAL APPEAL NO.        OF 2026
                                          (Arising out of SLP(Crl.) No.4444 of 2025)
    
    
    
         S. SUBRAMANIAM                                                                                APPELLANT
    
    
                                                                  VERSUS
    
    
         MURUGESAN                                                                                     RESPONDENT
    
    
    
                                                                  O R D E R
    

    Heard learned counsel for the parties.

    2. Leave granted.

    SPONSORED

    3. The parties are also present before the Court through video

    conferencing and have been identified by their respective counsel.

    4. The appellant is accused in a case filed under the Negotiable

    Instruments Act, 1881 (for short, the “N.I. Act”) by the

    respondent-complainant alleging non-encashment of three post-dated

    cheques issued by the appellant in favour of the respondent,

    totalling a sum of Rs.1,90,000/- (Rupees One Lakh Ninety Thousand).

    5. Upon trial, the appellant was convicted and sentenced to

    simple imprisonment of one year along with a fine of Rs.5,000/-

    (Rupees Five Thousand) and in default, simple imprisonment of three
    Signature Not Verified

    months under Section 138 of the N.I. Act by the Trial Court.
    Digitally signed by
    SAPNA BISHT
    Date: 2026.03.28
    14:46:53 IST
    Reason:

    However, the Appellate Court acquitted the appellant from the

    charges.

    2

    6. The matter was taken to the High Court, where the High Court

    vide impugned order dated 11.07.2024 has set aside the order of the

    Appellate Court and confirmed the conviction of the appellant under

    Section 138 of the N.I. Act and sentenced to undergo simple

    imprisonment for a period of one year and to pay compensation of

    Rs.1,90,000/- (Rupees One Lakh Ninety Thousand) to the complainant-

    respondent and in default, to undergo simple imprisonment for a

    period of three months. The present appeal arises out of the said

    impugned order dated 11.07.2024 passed by the High Court of

    Judicature at Madras in Crl.A. No.486 of 2018.

    7. Learned counsel for the parties had, on the earlier occasion,

    indicated that the parties have settled the matter and a joint

    application being I.A. No.258119 of 2025 has been filed bringing on

    record the joint compromise memo dated 06.10.2025. The same reads

    as under:-

    “JOINT COMPROMISE MEMO

    1. This Special Leave Petition (Crl.) No. 4444 of 2025 has
    been filed by the Petitioner/Accused herein to challenge the
    judgment and final order dated 11.07.2024 passed by the Hon’ble
    High Court of Judicature at Madras in Crl. A. No. 486 of 2018.

    The Hon’ble High Court, by allowing the Respondent’s appeal,
    reversed the judgment of the Additional District and Sessions
    Judge, Erode, in C.A. No. 39 of 2018 dated 25.06.2018, and upheld
    the conviction and sentence for the offence under Section 138 of
    the Negotiable Instruments Act passed by the Learned Trial Court.

    BRIEF FACTS

    2. The Petitioner and the Respondent are colleagues at
    Chikkaiah Naicker College, the petitioner used to borrow a loan
    from the Respondent on occasions and repaid the same well in
    time. As a security for the said loan the Respondent has taken
    two security cheque bearing Nos. 814345 & 814346 of Indian
    Overseas Bank, Sampath Nagar Branch, Erode. When these cheques
    were presented for collection by the Respondent for collection
    through his bankers viz., Indian Overseas Bank, Sampath Nagar
    Branch, Erode on 15.05.2008, these cheques were dishonored for
    the reason “Insufficient Funds” on 16.05.2008. Thereafter, the
    Respondent filed a criminal complaint in C.C.No.519 of 2008
    3

    before the Judicial Magistrate No.1, Erode, under Section 200
    Cr.P.C against the Petitioner for the offence punishable under
    Section 138 of the Negotiable Instruments Act.

    3. The Learned Judicial Magistrate No. 1, Erode, in its
    judgment and order dated 18.01.2018 passed in Calendar Case No.
    519/2018, has convicted the Petitioner for an offense under
    Section 138 of the Negotiable Instruments and sentenced the
    petitioner to one year of simple imprisonment and a fine of Rs.
    5,000, with a default sentence of three months of simple
    imprisonment.

    4. Aggrieved by this conviction, the Petitioner herein has
    filed an appeal in Crl.A. No. 39 of 2018 before the Learned II
    Additional District and Sessions Judge, Erode. The Learned
    Session Court, in its judgment and order dated June 25, 2018,
    acquitted the Petitioner by setting aside the Trial Court’s
    judgment and ordering the repayment of the Rs. 5,000 fine.

    5. The Respondent herein has challenged the acquittal order by
    filing Criminal Appeal No. 486 of 2018 before the High Court of
    Judicature at Madras. After hearing both parties, the High Court,
    through its Impugned Judgment and Final Order dated July 11, 2024,
    allowed the appeal. The High Court was pleased to set aside the
    Sessions Court’s acquittal, thereby reinstating the original
    conviction and sentence passed by the Judicial Magistrate.

    6. Hence the petitioner herein has filed the present Special
    Leave Petition before this Hon’ble Court on 29.01.2025. This
    Hon’ble Court vide order dated 24.03.2025, was pleased to “condone
    the delay and issue notice only on the stand taken by the
    petitioner would repay the amount as was indicated in the cheque”.

    7. In compliance with the aforementioned order, the Petitioner
    has approached the Respondent/De-facto Complainant for an amicable
    settlement. The parties have mutually agreed to settle the matter
    for an amount of Rs. 2,10,000/-. Accordingly, the Petitioner has
    paid the entire amount to the Respondent on September 17, 2025.
    This Joint Memo of Compromise is being signed by both parties to
    formally record the settlement.

    8. It is, therefore, most humbly prayed that this Hon’ble Court
    may be pleased to invoke its extraordinary jurisdiction under
    Article 142 of the Constitution of India to compound the offence
    allegedly committed by the Petitioner and, consequently, acquit
    the Petitioner, in the interest of justice.”

    8. Basically, the joint compromise memo records that the

    appellant-accused has paid a sum of Rs.2,10,000/- (Rupees Two lakhs

    Ten Thousand) to the respondent-complainant.

    9. Upon a query being made to the parties, the said transaction

    is admitted by them. On a further query of the Court to the
    4

    respondent, as to whether, he is agreeable to compounding the

    offence, the answer is in the affirmative.

    10. Accordingly, in view of there being a settlement between the

    parties and Section 147 of the N.I. Act providing for compounding,

    the complaint case bearing C.C. No.519 of 2008 stands compounded.

    The appellant is discharged from the said case. I.A. No.258119 of

    2025 is allowed.

    11. The appeal stands disposed of in the aforementioned terms.

    12. Pending application(s), if any, shall also stand disposed of.

    ……………………..………………………………………………J.
    [AHSANUDDIN AMANULLAH]

    …………………………………………………………………………J.
    [R. MAHADEVAN]

    NEW DELHI
    24th MARCH, 2026
    5

    ITEM NO.21 COURT NO.13 SECTION II-C

    S U P R E M E C O U R T O F I N D I A
    RECORD OF PROCEEDINGS

    Petition(s) for Special Leave to Appeal (Crl.) No(s).4444/2025

    [Arising out of impugned final judgment and order dated 11-07-2024
    in CRLA No.486/2018 passed by the High Court of Judicature at
    Madras]

    S. SUBRAMANIAM Petitioner(s)

    VERSUS

    MURUGESAN Respondent(s)

    [TO BE TAKEN UP AT THE TOP OF THE BOARD]

    (IA No. 47982/2025 – EXEMPTION FROM FILING O.T
    IA No.258119/2025 – MISC. DOCUMENT/ OTHER/JOINT COMPROMISE MEMO)

    Date : 24-03-2026 This matter was called for hearing today.

    CORAM :

    HON’BLE MR. JUSTICE AHSANUDDIN AMANULLAH
    HON’BLE MR. JUSTICE R. MAHADEVAN

    For Petitioner(s) Mr. C. Paramasivam, Adv.

    Mr. Y. Arunagiri, Adv.

    Mr. R. Sudhakaran, AOR
    Mrs. Shalini Mishra, Adv.

    For Respondent(s) Mr. M.P. Parthiban, AOR
    Ms. Priyaranjani Nagamuthu, Adv.
    Mr. Bilal Mansoor, Adv.

    Mr. Shreyas Kaushal, Adv.

    Mr. S. Geyolin Selvam, Adv.

    Mr. Alagiri K., Adv.

    Mr. Shivansh Sharma, Adv.

    Mr. Abhishek S., Adv.

    Mr. Vinay Kumar Singh, Adv.

    O R D E R

    Heard learned counsel for the parties.

    6

    2. Leave granted.

    3. The appeal stands disposed of in terms of the signed order.

    4. Pending application(s), if any, shall stand disposed of.

    (SAPNA BISHT)                                    (ANJALI PANWAR)
    COURT MASTER (SH)                              ASSISTANT REGISTRAR
              (Signed order is placed on the file)
    

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