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High Court of Gujarat

JAYESH JAYANTILAL MANIYARversusAARJIL ENTERPRISE

Disposal
47-DISPOSAL IN ANY OTHER MODE FH

Holding

The conviction under Section 138 NI Act stands, but the accused is released on probation under Section 4 of the Probation of Offenders Act, 1958.

Summary

The applicant, convicted under Section 138 of the Negotiable Instruments Act for issuing a dishonoured cheque, was sentenced to one year imprisonment and a fine, later reduced to six months on appeal. He filed a criminal revision under Sections 397 and 401 of the CrPC seeking to quash the conviction, claiming that he had paid the cheque amount via demand draft during the pendency of the revision. The High Court noted that the offence is quasi‑criminal and compoundable, and that payment does not automatically erase the conviction, but it considered the object of the Act and the Supreme Court’s guidance in Sanjabij Tari v. Kishore S. Borcar. Consequently, the Court declined to set aside the conviction but exercised its discretion under Section 4 of the Probation of Offenders Act, 1958, granting the applicant release on probation with a bond of Rs.20,000 and one surety for six months. The revision application was disposed of, and the deposited amount was ordered to be released to the complainant after verification.

Issues considered

  • The applicability of a revision under CrPC Sections 397/401 to set aside a conviction under Section 138 NI Act after payment of the cheque amount.
  • Whether payment of the cheque amount extinguishes criminal liability for the offence under Section 138 of the NI Act.
  • The suitability of granting probation under Section 4 of the Probation of Offenders Act, 1958 to an accused convicted of a Section 138 offence.

Legislation cited

Subjects

criminal revisionSection 138 NI Actprobationpayment of chequeconvictionCrPCcompoundable offence

Judgment

     R/CR.RA/351/2011                            JUDGMENT DATED: 21/04/2026




           IN THE HIGH COURT OF GUJARAT AT AHMEDABAD

       R/CRIMINAL REVISION APPLICATION NO. 351 of 2011


FOR APPROVAL AND SIGNATURE:


HONOURABLE MR. JUSTICE HASMUKH D. SUTHAR

============================================

             Approved for Reporting             Yes          No

============================================
                 JAYESH JAYANTILAL MANIYAR
                             Versus
                  AARJIL ENTERPRISE & ANR.
============================================
Appearance:
MR P P MAJMUDAR(5284) for the Applicant(s) No. 1
MR SURAJ B MATIEDA(10499) for the Applicant(s) No. 1
MR ASHISH M DAGLI(2203) for the Respondent(s) No. 1
MR ROHAN H. RAVAL, APP for the Respondent(s) No. 2
============================================

 CORAM:HONOURABLE MR. JUSTICE HASMUKH D. SUTHAR

                           Date : 21/04/2026

                               JUDGMENT

1)       By way of present revision application under Sections 397 read

         with 401 of the Code of Criminal Procedure, 1973, the applicant

         has prayed for quashing and setting aside the judgment and

         order of conviction and sentence dated 30.10.2010 passed by

         the learned Chief Judicial Magistrate, Surendranagar in Criminal

         Case No.209 of 2002, whereby, the trial Court has been pleased

         to hold the applicant guilty for the offence punishable under

         Section 138 of the Negotiable Instruments Act (which shall


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     R/CR.RA/351/2011                              JUDGMENT DATED: 21/04/2026




         hereinafter be referred to as “NI Act” for short) and sentenced

         to undergo simple imprisonment for one year and also directed

         to pay fine of Rs.10,000/- and in default of payment of fine to

         undergo further simple imprisonment for one month. The said

         order was assailed by way of filing Criminal Appeal No.53 of

         2010, wherein, vide order dated 27.07.2011 passed by the

         learned Additional Sessions Judge, Surendranagar, the appeal

         came to be partly allowed by reducing the simple imprisonment

         to only six months and rest of the order remained the same.

         Hence, the present Revision Application is filed by the applicant.


2)       Learned Advocate for the applicant has submitted that during

         the pendency of the present revision application the applicant

         has deposited the cheque amount by way of Demand Draft

         dated 18.04.2026, of IDFC First Bank, Gandhinagar Branch. In

         view of above once the amount being deposited and the offence

         under Section 138 of the NI Act is quasi-criminal in character

         and is compoundable and punishment under the NI Act is not a

         means of seeking retribution but is more a means to ensure

         payment of money and to promote credibility of cheques as a

         trustworthy substitute for cash payment, in absence of any

         perversity no ground is found to upset the concurrent findings of

         the learned trial Court and Appellate Court and it is not open for

         Revisional Court to re-analyse and re-interpret the evidence in



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     R/CR.RA/351/2011                              JUDGMENT DATED: 21/04/2026




         revisional jurisdiction. No case is made out to interfere with the

         reasons assigned by both the Courts.


3)       At the same time this Court has taken into consideration the

         object of the Act and as the accused has made the payment,

         hence, in view of judgment of the Hon’ble Supreme Court

         Sanjabij Tari Vs Kishore S. Borcar, Neutral Citation 2025

         INSC 1158, maintaining the conviction this Court is inclined to

         extend the benefit under the Probation of Offenders Act, 1958,

         to the applicant-accused.


4)       Accordingly, the applicant – accused is directed to be released

         on probation of good conduct under Section 4 of the Probation of

         Offenders Act, upon execution of probation bond in sum of

         Rs.20,000/-, with one surety of like amount for a period of six

         (6) months.


5)       It is hereby further directed that the applicant - accused shall

         receive the sentence as and when called upon till the said period

         and the applicant shall maintain peace during above mentioned

         period of six (6) months.


6)       The above mentioned bond under Section 4 of the Probation of

         Offenders Act, be submitted before the learned trial Court within

         15 days of passing of this judgment.




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     R/CR.RA/351/2011                                                             JUDGMENT DATED: 21/04/2026




7)       Accordingly, present revision application is disposed of. Record

         and proceedings, if any, be sent back to the concerned Court

         forthwith.



8)       The Registry is directed to release the deposited amount in

         favour of the complainant after due and proper verification.




                                                                          (HASMUKH D. SUTHAR,J)
ANKIT JANSARI
Original copy of this order has been signed by the Hon'ble Judge.
Digitally signed by: ANKIT YOGESHBHAI JANSARI(HCW0109), ENGLISH STENOGRAPHER GRADE I, at High Court of Gujarat on 21/04/2026 16:52:24




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