Judgment:

Leave granted.

(1) Appellants before us are aggrieved by and dissatisfied with the judgment and order dated 7.6.2006 passed by a learned Single Judge of the High Court of Judicature of Andhra Pradesh at Hyderabad whereby and whereunder a petition under Section 482 of the Code of Criminal Procedure Code, 1973 praying for quashing the complaint proceedings under Section 138 and Section 142 of the Negotiable Instrument Act before the IV Additional Munsif Magistrate,Guntur taking cognizance against them under Section 138 of the Negotiable Instruments Act, 1881, was dismissed.

(2) Thefactual matrix involved herein is not in dispute.

(3) Appellants had entered into some business transactions in regard to supply of certain materials with Respondent No.1. Appellant No.2 as a proprietor of appellant No.1 issued a cheque for a sum of Rs. 2 lacs in favour of the complainant-respondent on or about 22.6.2003. Appellants contend that the said cheque was issued by way of security.

(4) The said cheque was presented in the bank on 23.6.2003. It was returned un-paid by the banker of the appellants on the ground of insufficient funds.

(5) Another notice was sent for service on the proprie