Sunday, 15 January 2017

Whether court can direct payment of compensation where fine is already part of sentence?

 Section 357 (3)          Cr.P.C. provides that           when a court

imposes a sentence, of which fine does not form a part, the

Court may, when passing judgment                   order the accused

person to pay, by way of compensation such amount as

may be specified in the order to the person who has

suffered any loss or injury by reason of the act for which

the accused person has been so sentenced. It is clear from

sub Section (3) of Section 357 Cr.P.C., that the court

can award compensation                 under Section 357 (3) Cr.P.C.

only if fine does not form part of the sentence.                 If fine

forms part of the sentence,                  the Court can award

compensation only under Section 357 (1) Cr.P.C. and not

under Section 357 (3) Cr.P.C.                The compensation under

                          

Section 357 (1) Cr.P.C can be            awarded only out of the

fine amount and hence, the said compensation cannot

exceed the fine amount. When there is no sentence of fine,

no direction          for compensation under Section 357 (1)

Cr.P.C can be issued. If the Court imposes a sentence other

than fine, the Court can award compensation under Section

357 (3) Cr.P.C., if the Court deems it necessary.


      10.     The Apex Court in Sivasuriyan v. Thangavelu

[(2006) 1 SCC (Cri) 532] considered the question as to

whether the Court can direct payment of compensation in

exercise of power under sub-section (3) of Section 357 in a

case where fine already forms part of a sentence and held

that the power under Section 357 (3) Cr.P.C. can be

exercised only when Court imposes sentence of which fine

does not form a part.


      11.        In the present case, the only sentence awarded

by the appellate court was fine. Since sentence of fine was

awarded by the appellate court, the order of the appellate

court awarding           compensation    under Section 357 (3)

                      
Cr.P.C is not legal and correct and consequently, the same

cannot be sustained.
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

                         PRESENT:

       MR. JUSTICE B.SUDHEENDRA KUMAR

 7TH DECEMBER 2016/

             Crl.Rev.Pet.No. 507 of 2011 

    KOLATTERI PURUSHOTHAMAN,
   Vs
         P.B.MOHAN KUMAR,


     The revision petitioner was found guilty concurrently

by the courts below under Section 138 of the Negotiable

Instruments Act, 1881.


     2. The trial Court sentenced the revision petitioner to

simple imprisonment for three months and a compensation

of Rs. 20,000/- under Section 357 (3) Cr.P.C.,                      with a

default clause for simple imprisonment for two months.


     3. In the appeal, the sentence was modified, setting

aside the jail term awarded by the trial Court.                       The

appellate court sentenced the revision petitioner to a fine

                         

of Rs. 10,000/- and a compensation of Rs. 25,000/- under

Section 357 (3) Cr.P.C. with a default clause for simple

imprisonment for three months.


      4.      Heard.


      5.     The case of the complainant is that the revision

petitioner issued Ext. P1 cheque           in favour of the

complainant towards the discharge of the liability of the

revision petitioner.       The said cheque was presented for

encashment.           However, it was dishonoured    due to

insufficiency of funds in the account of the revision

petitioner.        Statutory notice was issued,  which was

received by the revision petitioner. However, the revision

petitioner did not pay the cheque amount.


      6.     Before the trial Court, PW1 was examined and

Exts. P1 to P6 were marked for the complainant.           No

evidence was adduced on the side of the revision petitioner.


      7.      The courts below correctly appreciated the oral

                             
and documentary evidence adduced by the complainant

and concurrently found that the revision petitioner

committed the above said offence. No material has been

brought to the notice of this Court to indicate that the

appreciation of evidence or            the concurrent finding of

conviction by the courts below was perverse or incorrect.

In the said circumstances, the concurrent finding of

conviction by the courts below does not warrant any

interference by this Court.


      8. The learned counsel for the revision petitioner has

submitted that the appellate court was wrong in awarding

fine as well as compensation under Section 138 of the

N.I.Act. The records would show that the appellate court

sentenced the revision petitioner to a fine of Rs. 10,000/-

and a compensation of Rs. 25,000/- under Section 357 (3)

Cr.P.C. with a default clause for simple imprisonment for

three months.


      9.     In this context, it is relevant to read Section 357

Cr.P.C. which is extracted hereunder:-

        

               "357. Order to pay compensation:- (1) When a
               Court imposes a sentence of fine or a sentence
               (including a sentence of death) of which fine forms a
               part, the Court may, when passing judgment order the
               whole or any part of the fine recovered to be applied -

                       a) in defraying the expenses properly incurred
                       in the prosecution;

                       b)   in  the   payment   to   any   person   of
                       compensation for any loss or injury caused by
                       the offence, when compensation is, in the
                       opinion of the Court, recoverable by such
                       person in a Civil Court;

                       c)    when    any person is convicted of any
                       offence for having       caused the death of
                       another person or of having abetted the
                       commission of such an offence, in paying
                       compensation to the persons who are, under
                       the Fatal Accidents Act, 1855 (13 of 1855),
                       entitled to recover damages from the person
                       sentenced for the loss resulting to them from
                       such death;

                       (d)   when any person is convicted of any
                       offence   which     includes  theft,   criminal
                       misappropriation, criminal breach of trust, or
                       cheating, or of having dishonestly received or
                       retained, or of having voluntarily assisted in
                       disposing of, stolen property knowing        or
                       having reason to believe the same to be stolen,
                       in compensating any bona fide purchaser of
                       such property for the loss of the same if such
                       property is restored to the possession of the
                       person entitled thereto.

                                

                      (2)  xxxx      xxxx

                      (3)    When a Court imposes a sentence, of
               which fine does not form a part, the Court may, when
               passing judgment order the accused person to pay, by
               way of compensation such amount as may be specified
               in the order to the person who has suffered any loss or
               injury by reason of the act for which the accused
               person has been so sentenced.

                      (4)  xxxx       xxxx

                      (5)  xxxx       xxxx"


Section 357 (3)          Cr.P.C. provides that           when a court

imposes a sentence, of which fine does not form a part, the

Court may, when passing judgment                   order the accused

person to pay, by way of compensation such amount as

may be specified in the order to the person who has

suffered any loss or injury by reason of the act for which

the accused person has been so sentenced. It is clear from

sub Section (3) of Section 357 Cr.P.C., that the court

can award compensation                 under Section 357 (3) Cr.P.C.

only if fine does not form part of the sentence.                 If fine

forms part of the sentence,                  the Court can award

compensation only under Section 357 (1) Cr.P.C. and not

under Section 357 (3) Cr.P.C.                The compensation under

                          

Section 357 (1) Cr.P.C can be            awarded only out of the

fine amount and hence, the said compensation cannot

exceed the fine amount. When there is no sentence of fine,

no direction          for compensation under Section 357 (1)

Cr.P.C can be issued. If the Court imposes a sentence other

than fine, the Court can award compensation under Section

357 (3) Cr.P.C., if the Court deems it necessary.


      10.     The Apex Court in Sivasuriyan v. Thangavelu

[(2006) 1 SCC (Cri) 532] considered the question as to

whether the Court can direct payment of compensation in

exercise of power under sub-section (3) of Section 357 in a

case where fine already forms part of a sentence and held

that the power under Section 357 (3) Cr.P.C. can be

exercised only when Court imposes sentence of which fine

does not form a part.


      11.        In the present case, the only sentence awarded

by the appellate court was fine. Since sentence of fine was

awarded by the appellate court, the order of the appellate

court awarding           compensation    under Section 357 (3)

                      
Cr.P.C is not legal and correct and consequently, the same

cannot be sustained.


      In the result, this Revision Petition stands allowed in

part, confirming the conviction passed by the courts below

and setting aside the sentence passed by the appellate

court under Section 138 of the N.I. Act, and the matter is

remitted to the          appellate court      for awarding proper

sentence in accordance with law, affording reasonable

opportunity to both sides of being heard.


      The parties shall appear before the appellate court on

04.01.2017.

Print Page

No comments:

Post a Comment