Magistrate Cannot Enforce Settlement After Compromise in Cheque Bounce Cases: J&K&L High Court

The Jammu & Kashmir and Ladakh High Court has held that once a lawful compromise is recorded in a Section 138 NI Act case, the Magistrate must dispose of the complaint in terms of the settlement and cannot act as an executing court.

Justice Sanjay Dhar clarified that courts cannot monitor or enforce compliance with a compromise by issuing coercive directions or warrants.

Any breach of the settlement must be pursued only through appropriate execution proceedings under the CrPC.

Setting aside the Magistrate’s order issuing warrants, the Court directed strict adherence to the correct legal procedure.

[Sajad Ahmad Malik v. Gulzar Ahmad Wani]