In the wake of COVID-19 pandemic and the consequent lock-down,
the Finance Minister of India on June 08, 2020 has proposed to
decriminalise minor offences for improving business sentiment and
unclogging court processes. The Central Government has also sought
suggestions and objections from public on the same.
Decriminalisation of minor offences was under Government's
consideration since 2019, but the decision on the same was in
pipeline. However, given the present economic crisis,
decriminalisation of minor offences at this stage will be a
significant step towards improving the economy.
The proposed decriminalisation of minor offences includes cheque
bounce cases under section 138 of the Negotiable Instruments Act,
1881 ("NI Act") and few other statutes,
inter alia, pertaining to the financial sector.
Introducing decriminalisation of minor offences will re-categorise
these offences of criminal nature into civil (and compoundable)
offences, which means there would