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2005 Supreme(SC) 1455

B.N.AGARWAL, A.K.MATHUR
JINDAL STEEL AND POWER LTD. – Appellant
Versus
ASHOKA ALLOY STEEL LTD. – Respondent


ORDER

1. Heard learned counsel for the parties.

2. By the impugned order, the High Court has quashed the prosecution under Section 138 of the Negotiable Instruments Act, 1881 (for short "the Act") and Section 420 of the Penal Code, on the sole ground that the complaint was filed two days after the expiry of limitation. In the present case, notice was sent under Section 138 of the Act on 4-1-1997, which was served on the accused on 10-1-1997, giving him 15 days' time for making payment, which expired on 25-1-1997. Cause of action to file the complaint accrued on 26-1-1997, which day has to be excluded in computing the period of limitation, as required under Section 12(1) of the Limitation Act, 1963.

Therefore, the limitation would be counted from 27-1-1997 and the complaint was filed on 26-2-1997, within a period of one month from that date, as such, the same was filed well within time. We find that the point is concluded by a judgment of this Court in Saketh India Ltd. v. India Securities Ltd.' in which case taking into consideration the provisions of Section 12(1) of the Limitation Act, it was laid down that the day on which cause of 'action had accrued has to be excluded for reckon

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