The present Special Leave Petition has been filed by the petitioner against the impugned judgment and final order passed by the Hon’ble High Court of Madras whereby the Hon’ble High Court partly allowed the Crl.O.P filed by the petitioner.
The present complaint has been filed against the petitioner/accused by the Respondent/ complainant alleging that the loan borrowed and same was not repaid to him. Therefore respondent try to encash amount and presented the cheques from the bank. Those cheques were dishonoured reasons mentioned the bank’s endorsement that funds insufficient. Accordingly the respondent issued statutory demand notice to the accused/petitioner. The petitioner properly replied that there is no legal liability pending against complainant.
Dissatisfied by the respondent/ complainant filed the complaint under section 138 Negotiable Instruments Act, 1881 before the Ld.Metropolitan Magistrate Court, Egmore, The Ld.Trial court has passed award directing the petitioner/accused to pay interim compensation 20% of cheque amount to the complainant.
The petitioner preferred in criminal original Petition before the Hon’ble High Court of Judicature at Madras. Whereby the Hon’ble High Court also failed to appreciate the prospective applicability of the amended Act and reduced the interim compensation from 20% to 15 % of the cheque amount to be paid within two weeks.
The courts blow erred that the alleged offence had taken place in the year of 2016. The amendment act come into force on 01.09.2018, the legislature has not has given retrospective effect of the statute. Therefore settled principle that the when the legislature expressly not given effect that particular statute will applicable prospectively.
The courts below ignored the settled principles of rule of interpreting law and passed the award of interim compensation as per amendment act, therefore interference of this Hon’ble Court is necessary for interest of justice. The SC has reserved judgment in the matter and may soon address it.