The Dindoshi Sessions Court has suspended the sentence imposed on Kerala MLA and film producer Mani C Kappan in a cheque-related case and granted him bail. The court, however, rejected his plea seeking exemption from depositing 20% of the compensation amount.

Kappan had been convicted by the Judicial Magistrate First Class and was directed to pay compensation of ₹1.70 crore, with interest from the date of the order until realisation. The trial court passed the judgment on September 1.

Kappan subsequently approached the Sessions Court seeking exemption from depositing 20% of the compensation. Alternatively, he sought modification or extension of the deposit condition. He also sought suspension of the sentence and bail.

Kappan's counsel argued that the cheques had been issued as security. The defence said the parties had entered into a settlement/MOU and that the repayment arrangement had been extended until April 30, 2016. The disputed cheques, it was argued, were presented before the expiry of the extended repayment period. The defence also disputed the existence of a legally enforceable liability and the calculation of compensation.

The complainant opposed the plea, arguing that no exceptional circumstances had been established. It was also submitted that Kappen is a sitting MLA and film producer and that his assets were worth more than ₹28 crore, as per the data provided on record.

The Sessions Court noted that the complainant and Kappan were known to each other and that there had been a friendly loan transaction between them. The court also noted that the parties had entered into an agreement in 2013 regarding settlement of the transaction, following which the repayment period was extended and cheques were issued. The cheques were subsequently dishonoured, and a notice was issued to Kappan, to which he did not reply, according to the order.

The court held that Kappan had not demonstrated exceptional circumstances warranting exemption from depositing 20% of the compensation. At the same time, it said the complainant had not made out a case for requiring a deposit of more than 20%. Kappen's plea to waive or reduce the deposit was therefore rejected.

The court directed Kappan to deposit 20% of the compensation amount within 60 days from October 6, 2026. It also suspended the sentence imposed by the trial court until the appeal is decided.

The order was passed by Additional Sessions Judge P A Sane of the City Civil & Sessions Court, Borivali Division, Dindoshi, on October 6.