Ruled in favour of Nurmamad Juma Bafan (Petitioner)
In Short
A borrower was convicted by a trial court for a cheque bounce case after failing to pay back a vehicle loan. However, after the conviction, the borrower and the finance company settled their differences because the full loan amount was finally repaid. The High Court accepted this friendly settlement and cancelled the old conviction order so the man could walk free.
The Parties
Party A: Nurmamad Juma Bafan
Party B: State of Gujarat & Shriram Transport Finance Co. Limited
Advocates & Judges
For Party A: Learned Advocate Mr. Chirag B Aydi
For Party B: Learned Advocate Mr. Manish J Patel, Learned Advocate Mr. Jay Mehta, APP
Judge(s): Hon'ble Justice M. K. Thakker
What the Case Was About
The petitioner had taken a loan from a finance company, but when a repayment cheque bounced, a criminal case was filed against him under the law dealing with bounced cheques. A trial court found him guilty and convicted him. While he was facing a non-bailable arrest warrant after his conviction, he managed to clear all his pending dues directly with the finance company. Realising the issue was fully resolved, the finance company agreed to drop the matter and supported the request to cancel the conviction.
Judgment Date
08/10/2026
The Outcome
The court ruled in favour of the petitioner and allowed the application to quash the conviction. The previous conviction order was set aside on the condition that the petitioner pays a small cost and deposits a percentage of the cheque amount with the legal aid authority.
What the Court Looked At
- The finance company's representative stated on oath that the entire loan amount had been fully repaid by the petitioner.
- The complainant admitted that the original case was filed out of anger and frustration, and that continuing the punishment would ruin the petitioner's future.
- The court noted that dragging out criminal proceedings after a full financial settlement would be an abuse of the legal process.
- The court referred to supreme court guidelines regarding settling cheque cases during appeals by paying a small percentage of the cheque amount as costs.
"The petitioner has repaid the entire amount to the finance company and therefore, I realized that a minor dispute has taken a massive shape."
What This Means For You
Getting convicted in a cheque bounce case does not always mean your story is completely over if you manage to clear your dues later. In this case, because the petitioner paid back the money he owed, the finance company agreed to bury the hatchet and help wipe out the criminal record. However, paying late does come with a price, as the court still orders you to pay extra costs and deposit a percentage of the cheque amount to the legal aid authority for wasting court time. If you find yourself trapped in a similar financial mess after a conviction, Setback Solutions is here to help you understand your options and coordinate next steps without any pressure.
You Still Have Options
If you are asking yourself "already convicted and out of money" or worrying about a pending arrest warrant over an old cheque case, do not lose hope. Settling things outside the courtroom or exploring your legal choices can still turn things around when both sides are willing to talk. You can reach out to Setback Solutions for help understanding your options and coordinating the next step. Please remember that Setback Solutions is not a law firm and does not give legal advice or guarantee any result, but we are here to offer plain-language help when you need it most.