Rajpal Yadav Refuses Settlement In Cheque Bounce Case; Opts For A Legal Battle

Actor Rajpal Yadav continues to face a cheque bounce case linked to an alleged Rs 9 crore liability, but the Delhi High Court has extended interim bail until April 1. The court has chosen not to cancel the suspension of the sentence, and Rajpal is now preparing to contest the case instead of moving towards a financial settlement.

During the latest hearing, Rajpal’s lawyer SK Sharma said the actor has decided to argue the matter in court. Sharma stated in a video shared by ANI, "The court asked Rajpal ji that since he had earlier said at various times that he was willing to pay the money, whether he now intends to settle the matter or not. Rajpal ji responded that he no longer wishes to settle and wants to argue the case. Following this, an application was submitted. The court has now given the next date of hearing as April 1."

Background of Rajpal Yadav cheque bounce case and financial dispute

The dispute began in 2010, when Rajpal borrowed Rs 5 crore from Murali Projects Pvt Ltd for the film Ata Pata Laapata, released in 2012. The project performed poorly at the box office, and losses led to a drawn-out conflict over unpaid dues. A magistrate court convicted Rajpal under the Negotiable Instruments Act in 2018 for cheque dishonour and ordered a six-month jail term, which a sessions court upheld in 2019.

Over the years, the amount in dispute reportedly rose to nearly Rs 9 crore. Rajpal has already made payments to the complainant company, according to submissions before the High Court. These payments, and the history of custody undergone, became central when the court evaluated whether the suspended sentence should remain on hold while the appeal continues.

Court observations, interim bail terms and Rajpal Yadav cheque bounce case

Rajpal had earlier obtained interim bail and left Tihar Jail on February 16. The High Court initially protected the actor until March 18, subject to a Rs 1 lakh bail bond and one surety. Rajpal was also ordered to deposit Rs 1.5 crore, and the complainant’s counsel confirmed this amount reached the company’s account against the bounced cheque, which helped secure his release.

During Wednesday’s proceedings, a bench led by Justice Swarana Kanta Sharma highlighted Rajpal’s cooperation. The court noted that Rajpal had already spent time in jail and was appearing whenever called. Justice Sharma said, "I don't find any reason. He's not running away. He's here. He's coming to court, and he has also been in jail. He's already on bail; I'm not sending him to jail. He's made some substantial payments. So I'll not send him to jail, right now."

After the hearing, Rajpal spoke about the case and reiterated trust in the legal process. Rajpal said, "The next hearing is on April 1. I have complete faith in the judicial system of India. We will try to dig out the truth." The actor now appears focused on a legal contest, rather than any negotiated settlement with the complainant company.

With interim protection now stretched to April 1, the focus shifts to detailed arguments before the Delhi High Court. The case will centre on Rajpal’s appeal against conviction, the payments already made, and the remaining claimed liability near Rs 9 crore, while the actor remains out of jail under existing bail conditions.