Play store
The High Court has observed that an accused in a cheque dishonour case need not be sent to jail or have a prison sentence upheld if the full amount owed under the cheque has been paid and the parties have reached a settlement.
The observation came in a judgment under Section 138 of the Negotiable Instruments Act, 1881. Justice Md Bashir Ullah delivered the verdict on September 6 in the case of Md Abdul Hannan Master vs State and Others.
The court said the primary purpose of cheque dishonour cases is not to punish or imprison the accused, but to ensure recovery of the creditor’s money.
In the case, the accused fully repaid the amount stated on the cheque, along with the bank’s dues. As the parties subsequently reached an amicable settlement, the High Court set aside his one-year prison sentence.
The court also directed the authorities concerned to hand over Tk14,100 deposited with the lower court before the appeal to BRAC Microfinance.
The ruling highlights that repayment of the outstanding amount and a mutual settlement between the parties can be important considerations in deciding whether a conviction should be maintained in cheque dishonour cases.
