Rajpal Yadav, the man who with his iconic comic timing has made millions laugh, is currently facing a grim reality. On February 5, 2026, the Bollywood Comedy Star handed himself over at Delhi’s Tihar Jail to serve a six-month sentence in a cheque bounce case that has been dragging on for a long time.
Even though he is a legend on screen, this legal battle has been a struggle for him for more than a decade and finally, the time has come. Here is how a film loan turned into a prison sentence.
Rajpal Yadav Arrested Over ₹9 Crore Cheque Bounce Case: How it Started
The trouble began in 2010, when Rajpal Yadav took a loan of 5 crore from a Delhi based company, Murali Projects Pvt Ltd to make his first film as a director – Ata Pata Laapata.
However it turned out that the film was not a hit at the box office and Rajpal Yadav was left with heavy financial problems. When he was trying to repay the loan, seven cheques issued by him and his wife Radha Yadav were returned unpaid. This led to a criminal case being filed against them under Section 138 of the Negotiable Instruments Act.
Legal Timeline
This wasn’t an overnight arrest; it was a slow-moving legal storm:
- 2018: A Magistrate’s Court found Rajpal and his wife guilty and sentenced the actor to six months of simple imprisonment.
- 2019–2024: There were numerous appeals and revision petitions filed in the higher courts. The Delhi High Court granted a temporary stay of the sentence to him so that he could arrange for the repayment of the debt.
- 2025: Yadav was able to make partial payments (for instance 75 lakh), but the total liability including interest and penaltieshad reportedly reached 9 crore.
- February 2026: The Delhi High Court eventually lost patience when the actor failed to meet the deadlines for the payment of the remaining dues several times.
The Court Refused to Give more Time
In his final plea before surrendering, Rajpal’s attorneys pleaded for a week’s time to raise the money. But Justice Swarana Kanta Sharma turned down the plea saying nobody can always make excuses.
The court commented on the following matters:
- Repeated Broken Promises: The actor was said to have violated the court undertakings almost 20 times before.
- Equality Before Law: The judge stressed that the law cannot “invent special circumstances” just because one is a famous actor or a part of the film industry.
- Lack of Seriousness: The court pointed out that the actor had not demonstrated a true intention of getting rid of the debt despite having several chances.
Rajpal Yadav’s Share Emotional Message
Before his surrender, Rajpal Yadav who was visibly emotional talked openly about his plight. He was quite overwhelmed and talked to the media mentioning:
“Sir, kya karoon? Mere paas paise nahin hain… yahan hum sab akele hain.” (Sir, what can I do? I don’t have the money… we are all alone here.)
Alongside conveying a sense of being left out by the industry, another actor Sonu Sood confirmed his support to him publicly and appealed producers and colleagues to help the “talented actor” by giving him signing amounts for the next projects work instead of charity.
What Punishment the LAW Allows in Cheque Bounce Case
Under Indian law, specifically Section 138 of the Negotiable Instruments Act, 1881, a cheque bounce is a criminal offence. If a person is found guilty of dishonouring a cheque due to insufficient funds or exceeding the bank’s arrangement, the law allows the following punishments:
- Imprisonment: A term that may extend up to two years.
- Monetary Fine: A fine that can be as high as twice the amount of the bounced cheque.
- Both: The court has the discretion to award both jail time and the monetary fine simultaneously.
Further, Section 143A empowers the court to direct the cheque drawer to deposit an interim compensation of 20% of the cheque by way of interim compensation to the complainant during the trial. Besides these legal consequences, banks also impose administrative charges on dishonoured cheques. Although the offence is bailable and can be settled (compounded) at any stage, repeat offences can seriously damage credit scores and cause account restrictions.
What’s Happens Next
Rajpal Yadav is currently serving a six- month jail term at Tihar Jail. It is true that he has a right to file more legal applications, but the judges have said that no further hearings will be granted unless he remains in custody as ordered.
