No jail if cheque debt is fully paid, dispute settled: High Court

The High Court has ruled that a person convicted in a cheque dishonour case should not be sent to jail or have a prison sentence upheld if the full amount owed has been paid and the parties have reached a settlement.

The court said the primary purpose of cases filed under Section 138 of the Negotiable Instruments Act, 1881, is to ensure recovery of the outstanding money rather than punish or imprison the accused.

The ruling came in a criminal appeal in the case of Md Abdul Hannan Master vs State and Others. Justice Md Bashir Ullah of the High Court delivered the judgment on September 6.

The court cancelled a one-year prison sentence imposed on the convicted person after finding that the cheque amount and the bank’s dues had been fully paid and the parties had settled the dispute.

It also ordered that Tk 14,100 deposited with a lower court before the appeal be handed over to BRAC Microfinance.

No lawyer appeared for the appellant when the judgment was delivered. BRAC Microfinance was represented by lawyer Md Jisan Mahmud, assisted by lawyer Tasnuva Kaiser. Deputy Attorney General Md Mizanur Rahman and Assistant Attorney General Md Sirajul Karim (Robi) represented the state.

The ruling reinforces the view that once the financial liability in a cheque dishonour case has been fully discharged and the parties have settled, courts should consider the purpose of the law—recovery of the debt—rather than maintaining a punishment solely for its own sake.