Case Note & Summary
The case involved a criminal appeal where the parties had entered into a settlement during the pendency of an appeal before the High Court of Delhi. The appellant withdrew the appeal unconditionally based on this settlement. However, the first respondent, who had lodged a First Information Report against the appellant, did not take steps to drop the proceedings as per the settlement. The appellant sought enforcement of the settlement, but the High Court dismissed the application, stating that the memorandum dealt with non-compoundable cases and could not be enforced. The High Court also dismissed a review application regarding this order. The Supreme Court, upon hearing the parties, opined that a settlement must be fully enforceable or not at all, and a party cannot selectively benefit from it. The court acknowledged the legal position that the first respondent, as an injured witness, could not withdraw the criminal case. However, it concluded that the respondent could not resile from the settlement he had entered into, despite its illegality. The court invoked its jurisdiction under Article 142 of the Constitution to do complete justice and set aside both the High Court's orders and the settlement, restoring the original criminal appeal and the proceedings against both parties.
Headnote
A) Criminal Law - Settlement Enforcement - Effect of Settlement - Article 142 of the Constitution of India - The court held that a settlement should be given effect to in its entirety or not at all, and a party cannot take advantage of part of an illegal settlement. The court emphasized that if a settlement is illegal, it should be set aside to prevent a party from benefiting from it (Paras 5-6).
Issue of Consideration
Whether a settlement in a criminal matter can be enforced when it is contrary to public policy.
Final Decision
The Supreme Court set aside the High Court's orders and the settlement, restoring the original criminal appeal and the proceedings against both parties.
Law Points
- Settlement enforcement
- illegal settlement
- Article 142 jurisdiction
- public policy
- criminal proceedings



