OM ENGINEERS AND BULIDERS Vs. VIJAYKANT MOTILAL KOTHARI

JUDGEMENT

(1.) The petitioners have challenged the order passed by the Sessions Court directing the deposit of Rs. 28 lacs i. e. 50% of the total amount due as compensation as a condition precedent for suspending the sentence. The trial court has held that the petitioners have committed an offence punishable under section 138 of the Negotiable Instruments act. The trial Court has directed that the petitioners should deposit an amount of Rs. 79 lacs as compensation. The Sessions court, while admitting the appeal, has imposed a condition that Rs. 28 lacs should be deposited as a condition precedent for suspending the sentence. It appears that rs. One lac has already been deposited by the petitioners which is apparent from the order dated 3. 5. 2008.

(2.) Mr. Jha, learned Advocate for the petitioners submitted that the condition of depositing Rs. 28 lacs is unreasonable and, therefore, must be set aside. According to him, an appeal is a matter of right for the accused and suspension of the sentence must follow as a matter of course. However, he points out that, the Supreme Court judgment in the case of (Dilip S. Dahanukar vs. Kotak Mahendra Ltd., 2007 3 BCR 28, the Supreme court has observed that certain conditions can be imposed on the accused for suspending the sentence. He further submits that the amount of Rs. 28 lacs which has been directed to be deposited by the petitioners is exhorbitant and wholly unreasonable in the facts and circumstances of the matter as the order in effect would frustrate the petitioners' appeal.

(3.) The amount shall be deposited within four weeks from today. In the event the amount is so deposited, the sentence shall be suspended.