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(KARNATAKA HIGH COURT)
K. SREEDHAR RAO, J.
V.S. Shivadas - Appellant
Versus
Ramanath Shetty & Anr. - Respondent
Cri. A. No.1315 of 2000
Decided on 20th April, 2006.
Premature Complaint - Negotiable Instruments Act - The Supreme Court held that presentation of a premature complaint under Section 138 of the Negotiable Instruments Act should not lead to dismissal or acquittal. The complaint should be kept pending until the ripening of cause of action or returned with advice for proper presentation after completion of the necessary statutory waiting period.
Fact of the Case:
The complainant prosecuted the accused for dishonour of a cheque issued towards repayment of legal liabilities. The trial court dismissed the complaint on the ground of premature presentation.
Finding of the Court:
The Supreme Court set aside the dismissal of the complaint, citing that premature presentation should not lead to dismissal or acquittal, and remitted the matter to the trial court for fresh disposal.
Issues: Premature presentation of complaint under Section 138 of the Negotiable Instruments Act.
Ratio Decidendi: Presentation of a premature complaint should not lead to dismissal or acquittal. The complaint should be kept pending until the ripening of cause of action or returned with advice for proper presentation after completion of the necessary statutory waiting period.
Final Decision: The dismissal of the complaint was set aside, and the matter was remitted to the trial court for fresh disposal.
2. It is the case of the complainant that towards repayment of legal liabilities arising out of the business transaction, the cheque Ex.P.1 for Rs.30,000/- is issued. Upon presentation the cheque is dishonoured. Ex. P.2 is the endorsement regarding the dishonour issued by the bank dated 17-8-1998. The legal notice is issued on 24-8-1998. The said notice is received on 2-9-1998 by the accused and has given reply as per Ex. P.8. The complaint is presented on 14-9-1998.
3. The trial Court after recording evidence, dismissed the complaint and acquitted the accused on the ground that it is a case of premature presentation of the complaint. The complaint is presented before the completion of the statutory waiting period and that there is no cause of action as on the date of complaint u/ S.138 of the N.I. Act.
4. The Supreme Court in Narsingh Das Tapadia Vs. Goverdhan Das Partani, (2000)7 SCC 183 : [2001 ALL MR (Cri) 561 (S.C.)] has held that presentation of premature complaint should not entail in dismissal or in acquittal. It is held that the complaint should be kept pending until the ripening of cause of action or the complaint should be returned with an advice to the complainant for proper presentation after completion of the necessary statutory waiting period. In view of the decision of the Supreme Court, the dismissal of the complaint is bad in law. The same is set aside. The matter is remitted to the trial Court for fresh disposal in accordance with law.
Order accordingly.
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