JUDGMENT :

JOHN MICHAEL CUNHA, J.

When the legally enforceable debt due by the accused is less than the amount of the dishonoured cheque, whether he could be convicted for the offence under Section 138 of the Negotiable Instruments Act, 1881?

The question that arises for consideration in this appeal.

1. The facts giving rise to the above question are as follows:

The appellant filed a complaint before the V Additional I Civil Judge and JMFC, Mysuru, under section 200 read with section 138 of the Negotiable Instruments Act, 1881 (hereinafter referred to as N.I. Act) alleging that the respondent (hereinafter referred to as the “accused”) approached him for financial assistance for his oats feeds (horse feeds) business and borrowed a sum of Rs. 8,00,000/- on 18.10.2007 through cheque bearing No. 488842 of State Bank of India agreeing to repay the same with interest at 18% per annum within 3 or 4 months. The accused did not return the loan amount within the stipulated time, instead again approached the complainant in the first week of June, 2008 seeking further financial assistance to the tune of Rs. 25,00,000/-. As per the assurance given by the accused to repay the same along with the prev