Patna High Court

Interim compensation orders under Section 143A of the NI Act are interlocutory and not subject to revision.

Aaquil Equbal vs The State of Bihar

Patna High CourtJUDGMENT: July 07, 20262 MIN READSOURCE JUDGMENT
THE ORIGINAL LAWLENS SUMMARY
01

Facts

The Petitioner filed a revision petition challenging an order dated 24.05.2025 passed by the Additional Chief Judicial Magistrate-VII, Patna, in Complaint Case No. 8464(C) of 2023.

Source reference: para. 3

The trial court had directed the Petitioner to pay 20% of the dishonoured cheque amount (₹3,00,000) as interim compensation under Section 143A of the Negotiable Instruments (NI) Act.

Source reference: para. 3

The Petitioner contended the cheque was suspicious due to a discrepancy between the amount in words (fifteen lakhs) and figures (one lakh fifty thousand).

Source reference: para. 4

During the pendency of this revision, the Petitioner complied with the trial court's order and paid the interior compensation.

Source reference: para. 5
02

Issues

1. Whether an order for interim compensation passed under Section 143A of the NI Act is an interlocutory order against which a revision petition is not maintainable.

Source reference: para. 8

2. Whether the impugned order directing 20% payment was sustainable given the alleged discrepancies in the cheque.

Source reference: para. 4
03

Law Applied

The Court primarily applied Section 143(A) of the Negotiable Instruments Act, 1881, which empowers a trial court to order the drawer of a cheque to pay interim compensation (not exceeding 20%) to the complainant if the drawer pleads not guilty.

Source reference: para. 7-8

This provision includes a mandatory restitution clause requiring the complainant to repay the amount with interest if the drawer is subsequently acquitted.

Source reference: para. 8

The Court relied on the principle that revision petitions are barred against interlocutory orders which do not attain finality.

Source reference: para. 8
04

Reasoning

The Court observed that the grant of interim compensation under Section 143A is a matter of judicial discretion once the accused pleads not guilty or charges are framed.

Source reference: para. 8

The Court reasoned that since Section 143A(4) provides for the refund of the amount with interest upon acquittal, the nature of such an order is "interlocutory" as it does not finally decide the rights of the parties or terminate the proceedings.

Source reference: para. 8

Consequently, under the Code of Criminal Procedure, a revision petition is not maintainable against such an interlocutory order.

Source reference: para. 8

The Court further noted that the Petitioner had already complied with the order by making the payment, and the trial was at its final stage, rendering the challenge largely infructuous.

Source reference: para. 8-9
05

Holding

The Court held that an order passed under Section 143A of the NI Act is interlocutory in nature and therefore a revision petition is not maintainable against it.

Since the Petitioner had already deposited the amount and the matter was at an advanced stage of trial, the Court declined to interfere with the lower court's order. The revision petition was disposed of accordingly.

Source reference: para. 9
Patna High Court

Original Court PDF

Aaquil EqubalvsThe State of Bihar

Patna High Court · July 07, 2026

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