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MADRAS HIGH COURT
M. Karpagavinayagam, J.
P.V.R.S. Manikumar - Petitioner
versus
Krishna Reddy - Respondent
Criminal O.P. No. 21900 of 1998 and
Crl. M.P. Nos. 10577 of 1998 and 339 of 1999
Decided on 11-2-1999
Counsel for the parties:
For the Petitioner: Mr. V. Sambamurthy, Advocate.
For the Respondent: Mr. C. Raghunatha Reddy, Advocate.
For the Respondent No. 1: Mr. N.R. Elango Govt. Advocate, Amicus Curiae.

IMPORTANT POINTS
1. As long as the demand of cheque amount is made in the statutory notice under Section 138 of Negotiable Instruments Act, notice is not invalid merely because the interest amount has been added.
2. Mentioning of 15 days time in statutory notice for payment of dishonoured cheque is not necessary.

Headnote:(i) Negotiable Instruments Act, 1881 - Section 138 - Dishonour of cheque - Statutory notice making demand not only of amount of cheque but also for interest amount - Legality - Notice could not be held to be invalid merely because interest amount was added. (Para 8)

       (ii) Negotiable Instruments Act, 1881 - Section 138 - Dishonour of cheque - Statutory notice Mentioning of 15 days time for payment is not necessary in the notice - Notice requiring accused to make payment of dishonoured cheque within fifteen days of date of notice suffered no illegality. (Paras 9 to 11)

       (iii) Negotiable Instruments Act, 1881 - Section 138 - Dishonour of cheque - Petition to quash complaint on ground that basic ingredient that cheque was issued towards discharge of existing liability was missing in complaint - It was specifically pleaded that first cheque was towards discharge of principal and second cheque was towards dues of interest - Complaint was not liable to be quashed. (Para 13)

       Result: Petition dismissed.

       

ORDER

M. Karpagavinayagam, J. - This is a peculiar case wherein both the petitioner I accused and the Counsel for the accused of suppression of facts as well as misleading of the Metropolitan Magistrate Court the Sessions Court and this Court.

2. The factual matrix, which are quite interesting and equally disturbing, are given below:-

(a) P.V.R.S. Manikumar, the petitioner herein, is the accused in C.C. No. 3316/0f 1998 on the file of the VIIth Metropolitan Magistrate, George Town. Chennai on a private complaint filed by Krishna Reddy the respondent herein for the offence under Section 138 of the Negotiable Instruments Act.

(b) According to the complainant the accused gave two cheques dated 15-12-1997 and 31-3-1998 for Rs. 6,50,000/- and Rs. 7,25,920/- respectively. The first cheque was towards the principal and -the second cheque was towards interest as reckoned upto 30-3-1998. These cheques were presented on 31-3-1998 and the same were dishonoured on 24-1998. On 6-4-1998, the complainant sent a statutory notice demanding the cheque amount to the petitioner / accused.

(c) After receipt of the said notice on 17-4-1998 the petitioner sent a reply without making any payment of the cheque amount. Then on 21-4-1998, the complainant sent a rejoinder and even then, no payment was made. Therefore, within the time limit prescribed under the Act, the complainant filed the said private complaint on 4-5-1998.

(d) The Trial commenced on 27-8-1998 on which date the chief examination of the complainant was completed and he was subjected to cross-examination on 13-10-1998, 3-11-1998 and 4-11-1998 by the Counsel for the petitioner / accused.

(e) On 4-11-1998, after completion of the cross-examination of the complainant the Counsel for the petitioner filed a petition in Crl. M.P. No. 9805/98 under Section 245 (2), Cr. P.C. for discharge. Though already trial had commenced and the examination of P.W. 1 was over, the trial Court entertained the said petition for discharge and permitted the complainant to file a counter. The Counsel for the parties were heard by the trial Court. Ultimately, the said application was dismissed on 18-11-1998.

(f) Thereafter, P.Ws. 2 and 3, the officials of the bank, were examined on 25-11-1998 and the prosecution side was closed. Thereafter, the case was posted on 10-12-1998 for questioning the accused under Section 313, Cr. P.C.

(g) On 24-11-1998, the petitioner/accused filed a Revision before the Sessions Court in Crl. R.C. No. 213/98 challenging the order dated 18-11-1998 dismissing the discharge petition. Though this was admitted by the learned Sessions Judge, no stay was granted and the matter was posted on 17-12-1998.

(h) On coming to know about the pendency of the Revision before the Sessions Court the complainant filed a petition before the Sessions Court on 30-11-1998 to advance the hearing of Crl. R.C. No. 213/98 from 17-12-1998 to an earlier date. In that, notice was ordered returnable by 9-12-1998.

(i) In the meantime, on 8-12-1998, the petitioner/accused filed the present petition for quashing before this Court and obtained an order of stay of the proceedings of the trial Court on the same day.

(j) When the Revision was posted on 9-12-1998 for fixing an earlier hearing date, the Counsel for the petitioner / accused appeared before the Sessions Court and requested the time for filing counter. However, the Sessions Court was not informed about the stay order dated 8-12-1998 granted by the High Court. The Sessions Court by giving time for counter posted the matter on 17-12-1998.

(k)  On 10-12-1998, when the matter came up for questioning before the trial Court, at the request of the Counsel for the petitioner, this matter was adjourned to 22-1-1999. On this date also, the trial Court was not informed about the stay order dated 812-1998, granted by this Court.

(l)  On 17-12-1998, the Revision before the Sessions Court came up for final disposal. However, it was adjourned to 21-12-1998. On that d



















































































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