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2005 Supreme(Bom) 115

DALVEER BHANDARI, D.Y.CHANDRACHUD
KSL and Industries Ltd. – Appellant
Versus
Mannalal Khandelwal – Respondent


Judgement Key Points

Key Points: - The judgment mandates expeditious disposal of Section 138 complaints and sets a six-month limit from securing the accused’s presence, with reporting if delay occurs (!) (!) (!) . - It clarifies that under Section 145(1), the complainant may give evidence by affidavit or orally, and if on affidavit, may be read in evidence with cross-examination on request by the accused (!) (!) (!) (!) . - Directions include pragmatic service methods (including email and police aid), concluding examination-in-chief/cross-examination within three months, and day-to-day trial continuation; creation of additional judicial posts and appointment of officers to handle Section 138 cases exclusively (!) (!) (!) (!) (!) (!) . - The Court emphasizes the need to dispose of about four lakh pending complaints and to monitor compliance via quarterly reports (!) (!) . - The object of the amendments is to enhance credibility of cheques as a business instrument and to ensure expeditious disposal of such cases (!) (!) (!) .

What is the mandate for expeditious adjudication of complaints under Section 138 of the Negotiable Instruments Act and the six-month time limit from service of summons or warrants?

What is the expression of Section 145(1) regarding evidence on affidavit and the circumstances under which the complainant may be cross-examined or examined in court?

What steps and measures are recommended to ensure expeditious disposal of Section 138 complaints, including service methods, staffing, and day-to-day trial requirements?


Judgment

DALVEER BHANDARI, CJ.

( 1 ) ALL these petitions emanate from the proceedings under Section 138 of the Negotiable instruments Act, 1881 (for short, "the Act" ). Therefore, we propose to decide these petitions by a common judgment.

( 2 ) THESE petitions raise following two issues, which are required to be determined:-

(I) Whether the complaint under Section 138 of the Act, according to the legislative mandate, requires to be adjudicated expeditiously and in any event, within six months from the date of the service of summons or warrants on the accused? (ii) Whether, in spite of mandate of Section 145 (1) of the Act, the Court is obliged to examine the complainant even in respect of matters which have been stated of affidavit?

( 3 ) NOW, we would deal with basic facts arid issues involved in individual petitions. Criminal Writ Petition No. 1228 of 2004 :

( 4 ) THE petitioner-Company approached this Court against the order of the learned Sessions Judge delivered in criminal Revision Application No. 713 of 2003 on 28th November, 2003 in proceedings emanated from Section 138 of the Act. The learned Metropolitan Magistrate, Mumbai, by his order dated 1st August, 2003, arrived at the

















































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