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2008 Supreme(Bom) 862

IN THE HIGH COURT OF JUDICATURE AT BOMBAY
N.A. BRITTO, J.
Mr. Chico Ursula D'Souza - Appellants
Versus
M/s. Goa Plast Pvt. Ltd. - Respondents
Criminal Revision Appln. Nos.4 of 2007, 4/2008, 5/2008, 6/2008,7/2008, 8/2008 & 9/2008
Decided On : 25th June, 2008

Advocates Appeared:
Mr. A.F. DINIZ, Advocate for the Petitioner.
Mr. SUDESH USGAONKAR, Advocate for the Respondent.

Headnote:Negotiable Instruments Act, 1881 - Sections 138, 139 and 142-Shortage of fund-Conviction and sentence-Revision against.-Both the Courts were not justified in coming to the conclusion that the accused had not discharged the presumption available to the complainant in terms of Sections 138 and 139 of the Act. The accused had discharged his onus and had rebutted the presumptions. The complainant had failed to prove that there was either any shortage of funds or any shortage was at all attributable to the accused and more so when the complainant itself had clearly stated that there were three persons to whom the said shortage could have been attributed.

       Considering the above, these revisions are bound to succeed. The judgments of both the Courts below are hereby set aside and the accused acquitted under Section 138 of the Negotiable Instruments Act, 1881 in all the cases.

       Negotiable Instruments Act, 1881 - Sections 138 and 139 - Revision - Maintainability of - Facts that cheques issued by accused/revisionists dishonoured - Complaint filed against him - Trial Court found him guilty and convicted and sentenced under Section 138 of the Act - Thereafter, ultimately when these revisions filed against impugned orders - Held, that both Courts below not justified in coming to conclusion that accused/revisionist had not discharged presumption available to complainant in terms of Sections 138 and 139 of the Act - Where accused rebutted presumptions against him and complainant failed to prove either any shortage of funds or any shortage attribute to accused - Impugned order of conviction and sentence set aside, accused acquitted and hence revision petition held to be maintainable.

JUDGMENT:- These revisions are filed by the accused who has been convicted and sentenced under Section 138 of the Negotiable Instruments Act, 1881 ('Act', for short) and whose convictions and sentences have been upheld by the learned Session Judges.

2. Since the facts involved are almost common, by consent of Counsel they are being disposed of by this common judgment. The cases from which these revisions arise, pertain to the cheques of different dates given by the accused, with letter dated 20/07/1992. The accused was the Managing Director of the Complainant which is a registered company. The details of the said cheques are as follows:

Cheque No. Date Amount Cnmmal Revision No. Case No.

Before JMFC

0160171 10/01/1993 40,000/- Decided by S.C. 1 49/2003

2004 (2) SCC 235

0160112 10/04/1993 40,000/- Crir No.9/2008 150/1993

0160173 10/08/1993 40,000/- Crir No.7/2008 372/1993

0160174 10/12/1993 40,000/- Crir NO.8/2008 10/1994

0160175 10/04/1994 40,000/- Crir No.5/2008 37/1994

0160176 10/08/1994 40,000/- Crir No.4/2008 5/1995

0160177 10/12/1994 40,000/- Crir No.4/2007 66/1995

0160178 10/04/1995 40,000/- Crir No.4/2007 66/1995

0160179 10/08/1995 40,000/- Crir No.6/2008 32/1996

0160180 10/12/1995 40,000/- Crir No.6/2008 32/1996

The case regarding the first cheque no.0160171, dated 10/01/1993 finally ended in conviction against the accused by the judgment of the Hon'ble Supreme Court dated 20/11/2003 reported in 2004(2) see 235. These cases had also landed before the Hon'ble Supreme Court at one stage and the Hon'ble Supreme Court was pleased to remand the cases by another judgment dated 7/03/2003 reported in 2003(3) see 232.

3. The case of the Complainant which is a registered company and whose factory apparently came to be closed down, is that the said cheques were issued because the accused owed the Complainant a certain amount and in order to pay the said amount, the accused had drawn the said post dated cheques. The cheques were presented for payment into the account of the Complainant, and as far as Criminal Revision NoA/2007 is concerned, the said cheque was returned on 12/05/1997 with remark 'present again'. The Complainant thereafter sent the notice to the accused demanding the payment. However, the accused did not reply to the notice. Thereafter, the complaints came to be filed on different dates and in support of the case of the Complainant, one LB. Mulchandi came to be examined pursuant to a power of attorney purportedly given by Mr. Audhut Timblo, the Director of the Complainant. The case of the accused, when examined under Section 313 of the Code of Criminal Procedure, 1973, was that he had issued the cheques under a mistaken belief that the amount was due. It was further his case that on finding a note (letter from Mr. Timblo) he had realised that he had not owed any money to the Complainant and therefore he informed Mr. Audhut Timblo in writing that there was no liability due. The accused examined himself in support of his defence.

4. The learned trial Court in convicting the accused also referred to the first case (2004(2) SCC 235) and guided by it, proceeded to convict and sentence the accused. The learned first appellate Court noted, and, in my view rightly, that under Criminal law each case has to be decided on its own merits, but did not accept the contention on behalf of the accused that the trial Court had convicted the accused based on the said first judgment of the Hon'ble Supreme Court and that the learned Magistrate had only noted certain observations made by the Hon'ble Supreme Court in the said earlier case.

5. At the hearing of these revisions, Counsel appearing on behalf of both parties have also referred to the said judgment, in the first case in 2004(2) see 235.

6. To challenge the convictions, three points have been raised by Shri. Diniz, the learned Counsel on behalf of the accused. The first is that the complaint was filed by a person who was no







































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