Section 273 of BNSS : Section 273: Compensation for accusation without reasonable cause.

Explanation using Example

Example 1:

Ravi, a shopkeeper in Delhi, files a complaint against his competitor, Suresh, accusing him of theft. The police investigate and the case goes to trial before a Magistrate. During the trial, it becomes clear that there is no evidence to support Ravi's accusation, and the Magistrate acquits Suresh. The Magistrate also determines that Ravi had no reasonable grounds for making the accusation. Consequently, the Magistrate orders Ravi to pay compensation of ₹5,000 to Suresh for the false accusation. Ravi is present in court and is asked to show cause why he should not pay the compensation. Ravi fails to provide a satisfactory explanation, so the Magistrate finalizes the order. If Ravi fails to pay the compensation, he may face simple imprisonment for up to 30 days.

Example 2:

Priya, a resident of Mumbai, informs the police that her neighbor, Anil, has been harassing her. The police file a case, and Anil is brought before a Magistrate. After a thorough examination of the evidence, the Magistrate finds that the accusations are baseless and acquits Anil. The Magistrate believes that Priya had no reasonable grounds for her complaint and orders her to pay ₹3,000 as compensation to Anil. Priya is not present in court, so the Magistrate issues a summons for her to appear and show cause why she should not pay the compensation. Priya appears in court later and argues that she genuinely believed Anil was harassing her, but the Magistrate is not convinced and upholds the compensation order. Priya is given a month to pay the compensation, failing which she could face simple imprisonment for up to 30 days.

Example 3:

Sunita, a teacher in Bangalore, accuses her colleague, Rajesh, of embezzling school funds. The case is taken up by a Magistrate, who, after reviewing the evidence, finds Rajesh not guilty and concludes that Sunita's accusation was made without reasonable grounds. The Magistrate orders Sunita to pay ₹2,500 as compensation to Rajesh. Sunita, unhappy with the decision, appeals the order since the compensation exceeds ₹2,000. The compensation is not paid to Rajesh until the appeal is decided. If the appellate court upholds the Magistrate's order, Sunita will have to pay the compensation, or she may face simple imprisonment for up to 30 days if she defaults on the payment.

Example 4:

Amit, a businessman in Kolkata, files a complaint against his former employee, Neha, accusing her of fraud. The case is heard by a Magistrate, who finds Neha not guilty and determines that Amit's accusation was unfounded. The Magistrate orders Amit to pay ₹1,500 as compensation to Neha. Amit does not appeal the order, and after one month, Neha receives the compensation. Amit is also informed that this compensation will be considered if Neha decides to file a civil suit for damages related to the false accusation.