JUDGMENT :

1. This appeal is filed challenging the judgment and order of acquittal dated 18.11.2016 passed in C.C.No.41767/2010, on the file of XXI Additional Chief Metropolitan Magistrate, Bangalore, for the offence punishable under Section 138 of the Negotiable Instruments Act, 1881 (‘NI Act’ for short).

2. The parties are referred to as per their original ranking before the Trial Court as complainant and accused to avoid confusion and for convenience of the Court.

3. The factual matrix of the case is that the complainant in the complaint has contended that the accused is doing road contract business. The accused was purchasing bitumen for asphalting the road from the complainant on credit basis. In addition to the supply of bitumen to the accused, the complainant had given handloan of Rs.5,00,000/through cheque bearing No.382015 on 16.6.2008. Hence, the accused had issued three cheques in favour of the complainant, two cheques amounting to a sum of Rs.5,00,000/each and one cheque for Rs.3,00,000/. The complainant had presented the said cheques to his bank on 20.4.2010 and those cheques were dishounoured with an endorsement “exceeds arrangement”. The said fact was brought to the