Chapter XXVII
Section 357 CrPC: Order to pay compensation
New Law Update (2024)
Section 396 BNSS
TRIAL COURT
Trial Court, Appellate Court, Revisional Courts
Punishment
Procedural – Judgment / Sentencing
Cognizable?
Bailable?
Compoundable?
Bare Act Text
(1) When a Court imposes a sentence of fine or a sentence (including a sentence of death) of which fine forms a part, the Court may, when passing judgment, order the whole or any part of the fine recovered to be applied—
(a) in defraying the expenses properly incurred in the prosecution;
(b) in the payment to any person of compensation for any loss or injury caused by the offence, when compensation is, in the opinion of the Court, recoverable by such person in a Civil Court;
(c) when any person is convicted of any offence for having caused the death of another person or of having abetted the commission of such an offence, in paying compensation to the persons who are, under the Fatal Accidents Act, 1855 (13 of 1855), entitled to recover damages from the person sentenced for the loss resulting to them from such death;
(d) when any person is convicted of any offence which includes theft, criminal misappropriation, criminal breach of trust, or cheating, or of having dishonestly received or retained, or of having voluntarily assisted in disposing of, stolen property knowing or having reason to believe the same to be stolen, in compensating any bona fide purchaser of such property for the loss of the same if such property is restored to the possession of the person entitled thereto.
(2) If the fine is imposed in a case which is subject to appeal, no such payment shall be made before the period allowed for presenting the appeal has elapsed, or if an appeal be presented, before the decision of the appeal.
(3) When a Court imposes a sentence, of which fine does not form a part, the Court may, when passing judgment, order the accused person to pay, by way of compensation, such amount as may be specified in the order to the person who has suffered any loss or injury by reason of the act for which the accused person has been so sentenced.
(4) An order under this section may also be made by an Appellate Court or by the High Court or Court of Session when exercising its powers of revision.
(5) At the time of awarding compensation in any subsequent civil suit relating to the same matter, the Court shall take into account any sum paid or recovered as compensation under this section.
Important Sub-Sections Explained
Section 357(1)
This sub-section allows a court, when imposing a fine or a sentence partly involving a fine, to direct that the recovered fine be used for compensating victims, covering prosecution expenses, or paying damages in cases of death or stolen property.
Section 357(7)
This crucial provision enables the court to order the accused to pay compensation to the victim even if the sentence does not include a fine, ensuring that victims can receive restitution for their loss or injury directly from the offender.
Landmark Judgements
Hari Singh v. Sukhbir Singh (1988):
The Supreme Court underscored that the power to award compensation under Section 357 is not merely ancillary but an additional, crucial power. It mandated that courts must apply their minds to the issue of compensation and record specific reasons if no compensation is awarded to the victim.
Ankush Shivaji Gaikwad v. State of Maharashtra (2013):
This landmark judgment made it mandatory for all criminal courts to consider awarding compensation to victims in every case, regardless of whether the offence is punishable by fine. If the court decides against awarding compensation, it must record specific reasons for such a decision, thereby significantly strengthening victim rights and rehabilitation.