Complaint Can Be Amended Post-Cognizance If No Prejudice Is Caused: Supreme Court Clarifies NI Act Position

The Supreme Court clarified that a complaint under the Negotiable Instruments Act can be amended even after cognizance has been taken, provided that no prejudice is caused to the accused.

On 25 July 2025, the Supreme Court Bench comprising Justice B.V. Nagarathna and Justice K.V. Viswanathan, while adjudicating a criminal appeal, held that a criminal court possesses the power to permit amendment of a complaint under Section 138 of the Negotiable Instruments Act even after cognizance has been taken, provided the amendment merely cures a formal defect, does not alter the nature of the complaint, and causes no prejudice to the accused. The Court reaffirmed that procedural irregularities should not hinder the course of justice, especially when the trial is at a preliminary stage.

The Supreme Court adjudicated upon a procedural issue arising during the pendency of a complaint under Section 138 of the Negotiable Instruments Act, 1881, where the complainant sought to amend the complaint to correct a typographical error. The amendment pertained to the description of goods supplied—changing “Desi Ghee (milk products)” to “milk.” The Trial Court had allowed the amendment on the ground that the complainant was yet to be cross-examined and no prejudice would be caused to the accused. However, the High Court set aside the Trial Court’s order, holding that the amendment changed the nature of the complaint and was motivated by an attempt to avoid GST liability, as milk attracts no GST.

The Supreme Court, while allowing the appeal, reaffirmed the principle that procedural defects which are curable and do not cause prejudice to the accused can be rectified even post-cognizance. Relying on its earlier decisions in S.R. Sukumar v. S. Sunaad Raghuram and U.P. Pollution Control Board v. Modi Distillery, the Court held that the power to allow amendment exists if the error is formal and the trial is at a preliminary stage. It was observed that the amendment sought in the present case did not affect the core of the complaint, and the merits of liability and debt would still be determined during trial.

The Court found that the High Court had erred in delving into the implications under the GST Act and had mischaracterised the amendment as altering the nature of the complaint. It concluded that the amendment was merely corrective in nature and did not result in any miscarriage of justice. Accordingly, the Supreme Court set aside the High Court’s order, restored the Trial Court’s decision allowing the amendment, and directed the trial to proceed expeditiously, granting liberty to the parties to recall witnesses if required.

Mr. Chritarth Palli, Advocate, represented the Appellant.

Mr. Aabhas Kshetarpal, Advocate, appeared for the Respondents.

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