NHAI v. Ganga Enterprises (S.148 Applicability)
Supreme Court of India(2019) 20 SCC 136Bench: J. L. Nageswara Rao, J. Hemant Gupta
The Supreme Court held that Section 148 NI Act operates on the quantum of "fine or compensation awarded by the trial court." If the trial court has not imposed any fine or compensation and has awarded only imprisonment, Section 148 has no subject matter to operate upon — there is no "fine or compensation" of which 20% can be directed to be deposited. The appellate court's direction to deposit 20% in such cases is without legal basis. However, the Court noted that practically, the proviso to Section 357 CrPC (compensation out of fine) should be considered by trial courts in Section 138 cases, and omission to award compensation may itself be an error that the appellate court can correct on the prosecution's appeal.