DSC Limited vs DADA Jeetu Buildcon Pvt. Ltd

Delay condoned.

Leave granted.

By consent, this appeal is being disposed of in terms of the Settlement Agreement arrived at between the parties. As a result of the settlement and upon compliance of the obligations of the respective parties mentioned in the Settlement Agreement, the criminal proceedings between the parties would stand quashed and deemed to have been disposed of. The Settlement Agreement reads thus:

"SETTLEMENT AGREEMENT

This Settlement Agreement is made on this 29th day of November, 2019 at New Delhi.

1) M/s DSC Limited, a Company incorporated under the provisions of the Companies Act, 1956 and presently having its office at E-9, South Extension-II, New Delhi - 110049, hereinafter referred to as 'DSC' which expression, unless repugnant to the context or meaning thereof, shall include its administrators, successors, executors and assigns of the FIRST PART represented by its Managing Director Sh. M.S. Narula

AND

2) M/s Dada Jeetu Buildcon Private Limited, a company incorporated under the provisions of the Companies Act, 1956 and presently having its office at Shyam Lal Market, Hisar Road, Rohtak, hereinafter referred to as 'DJ', which expression shall, unless repugnant to the context, include its administrators, successors, executors and assigns, of the OTHER PART represented by its Director Sh. Raivir Singh WHEREAS

(a) 'DSC' had placed certain work orders in the year 2012 with 'DJ' for purchase of concrete and other construction material for its KMP project;

(b) 'DSC' had issued two cheques bearing numbers 502857 dated 30.09.2012 for Rs. 25.00 lakhs and 502858 dated 30.09.2012 for Rs. 50.00 lakhs, both drawn on State Bank of India, South Extension, Part-1 New Delhi branch were issued to 'DJ' as payments against work executed by 'DJ' against the aforesaid work orders. These two cheques got dishonoured on presentation to the bank and 'DJ' filed complaint under Section 138 of the Negotiable Instruments Act in District Court at Saket, New Delhi as CC No 200/2013. 'DSC' had filed a petition in the High Court of Delhi for quashing of the summons. This petition for quashing of the summons was dismissed by the High Court vide order dated 16.11.2018 against which 'DSC' has filed Special Leave Petition (Criminal) No. 11089/2019 which is still pending adjudication before the Hon'ble Supreme Court. In the meantime, due to change of law relating to jurisdiction of the courts in cases relating to dishonouring of cheques, the main complaint has been transferred from District Court at Saket to District Court at Rohtak (Haryana) and is presently pending adjudication as Case No. NIACT/589/2019.

(d) While the main complaint is still pending adjudication in Rohtak District Court and the Special Leave Petition is pending adjudication in the Hon'ble Supreme Court, the parties have amicably duly settled their disputes in the matter indicated herein below.

NOW FOR CONSIDERATION AND MUTUAL COVENANTS THIS SETTLEMENT AGREEMENT BETWEEN THE PARTIES HERETO WITNESSTH AS FOLLOWS:

That it now mutually agreed that the Settlement Amount in this Agreement has been arrived at lump sum basis and settles the dispute and hereinafter no party shall demand or claim any amount from the other.

That as full and final lump sum amount decided between the Parties is against mutual settlement, after giving due consideration to and adjustment in relation to the dishonoured cheque referred to in the complaint case No. NIACT/589/2019 pending adjudication in the district court at Rohtak, 'DSC' has offered to pay and "DJ" has agreed to accept, an amount of Rs. 68.00 lakhs (Rupees sixty eight lakhs only) as full and final settlement amount.

That while 'DSC' has already deposited an amount of Rs. 18.75 lakhs with the Hon'ble Supreme Court, the balance amount of Rs. 49.25 lakhs out of the above mentioned settlement amount of Rs. 68.00 lakhs (Rupees sixty eight lakhs only) shall be paid in seven installments by way of Demand Drafts on 10th of each month commencing from 10.12.2019 and ending on 10.06.2020. The first six Demand Drafts shall of an amount of Rs. 7 lacs each and the seventh Demand Draft shall be of an amount of Rs. 7.25 lacs.

That 'DJ' undertakes that upon receipt of the aforesaid settlement amount hereinafter it shall not raise any dispute, claim, demands etc. against 'DSC' or any of its officers/officials.

That the parties herein will place on record of the Hon'ble Supreme Court the present settlement arrived at between the parties and request the Hon'ble Court to dispose of the Special Leave Petition in terms of the said settlement. The parties undertake that they shall remain bound by the terms of the settlement and any default on the part of "DSC" in making payment of the Settlement Amount shall amount to contempt of this Hon'ble Court. The last Demand Draft shall be given 10.06.2020 and in case of default of payment till 10.06.2020 an additional grace period of one month i.e. 10.07.2020 shall be given to DSC for final payment. In case of default of payment till 10.07.2020 the DJ shall proceed his complaint Case No. NIACT/589/2019 before Trial Court at Rohtak for alleged Cheques amount with interest against DSC.

Pursuant to all the above, the parties would jointly request the Hon'ble Supreme Court of India to direct the release of Rs. 18.75 Lacs, deposited by DSC before the Hon'ble Supreme Court of India, in favour of 'DJ'.

The parties shall place this settlement on record of the District Court at Rohtak (Haryana) [in Case No. NIACT/589/2019], and DJ Shall, instead of pursuing the complaint, file an application before the said court requesting it to defer the proceedings to any date after 10.06.2020.

That the Parties hereby mutually agree and undertake that except in case of default of full payment agreed herein they will neither dispute this Settlement Agreement and the terms herein for any reason whatsoever before any forum whatsoever nor raise any claim, demand, dispute etc in future. The DJ undertake to withdraw his complaint Case No. NIACT/589/2019 pending before the Trial Court at Rohtak after receiving the final installment on 10.06.2020 or 10.07.2020 as the case may be.

That the Parties have entered into the Agreement after due verification of their accounts, without any threat, pressure or coercion and on their own free will and each Party has taken necessary sanctions which may be required b them for the purpose of this Settlement Agreement.

IN WITNESS WHEREOF the Parties have subscribed their respective hands on the day and year herein above mentioned.

1) For and on behalf of M/s. DSC Limited Sd/-

M.S. Narula (Managing Director)

2) For and on behalf of M/s Dada Jeetu Buildcon Private Ltd. Sd/-

Raivir Singh

(Director)

1) Sd/-Reetu Malik

E-9, 3rd Floor SE-II, ND-41

2) Sd/-

Parveen Kumar, Adv.

28, Lawyers Chamber

Supreme Court, New Delhi"

Both the parties undertake to comply with their respective obligations. That undertaking is accepted. In the event of non-compliance, the order passed today shall be recalled upon a formal application to be filed by the opposite party in that behalf.

Appeal and pending applications are also disposed of in the above terms.