Rs 100 cr cheque bounce case | Court asks 2 accused to pay Rs 15 cr as interim compensation

Representational Pic
Representational Pic

Srinagar, Aug 6: A court here directed two persons accused in a cheque bounce case to pay Rs 15 crore as interim compensation to the complainant.

“This court feels that the complainant has succeeded in convincing this court to exercise its power for granting interim compensation in accordance with the law,” said the court of Judge Small Causes Srinagar, Fayaz Ahmad Qureshi while directing the accused, B Hassan and S A Wani to pay Rs 15 crore within 60 days as interim compensation.

“There is a presumption of law that the cheques have been issued for legal enforceable debt and therefore, at this stage, this court shall raise the same presumption that the accused persons have issued these cheques to the complainant,” the court said, adding, “Therefore, the interim application is allowed and the accused persons are directed to pay the interim compensation amount to the extent of 15% i.e to say Rs 15 crore (Fifteen crores) as cheques are for a number of Rs 100 crore.”

However, the court said if the accused persons are acquitted after the trial, the complainant shall repay the amount of interim compensation with the interest at the applicable bank rate prevailing at the beginning of this year within a period of 60 days from the date of such order. In this regard, the court said, the complainant shall furnish an undertaking and indemnity bond before it.

A M Dar represented the complainant before the court.

Notably, the proceedings relate to cheques for an amount of Rs 100 crore in a business deal regarding purchasing of three manufacturing units pertaining to steel.

The accused had issued three cheques in favour of the complainant two against Rs 40 crore each and one of the Rs 20 crore. The cheques got bounced for insufficient funds in the account of the accused.

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