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2006(1) Bankmann 255
MADRAS HIGH COURT
S.R. Singharavelu, J.
Y. Vijayalakshmi
alias Rambha — Petitioner
versus
Manickam Narayanan — Respondent
Cri. Original Petition Nos. 1225, 1226 & 1688 of 2005
and Crl. Misc. P. Nos. 538 to 540 of 2005
All decided on 8-6-2005

Advocates:
Counsel for the Parties:
For the Petitioner:Mr. V. Raghavachari, Advocate.
For the Respondent: Mr. B. Sriramulu & Sr. Counsel, for Mr. Sai Bharath.

IMPORTANT POINT:
Complaint under Section 138 of Negotiable Instruments Act, can be filed by the Power of Attorney provided the complaint shall be signed by the payee himself.

Headnote:Negotiable Instruments Act, 1881—Sections 138 and 142—Power of Attorney Act, 1882—Section 2—Dishonour of cheque—Complaint under Section 138 Negotiable Instruments Act filed by a Power of Attorney—Maintainability—Petitioner accused is alleged to have availed Rs. 91,00,000/- as loan from complainant agreeing to repay the same with interest—She issued three post dated cheques in repayment of the same and had also executed three promissory notes—When the three cheques were presented for collection, they were returned and dishonoured with the endorsement ‘payment stopped by the drawer’—Complaint under Section 138 Negotiable Instruments Act filed by a Power of Attorney of complainant—Whether maintainable—(Yes)—Guidelines issued by the Court.

       Held: Complaint can be presented by GPA on behalf of the payee, provided,

       (i) the complaint shall be signed by the payee himself;

       (ii) there shall be also an affidavit of the complainant in proof of his execution on GPA; added to the production of the said Power of Attorney document;

       (iii) sworn statement of GPA can be recorded on the date of presentation of the complaint;

       (iv)sworn statement of payee (complainant) shall have to taken in a future date on his appearance in Court; the Magistrate shall thoroughly examine the statements of GPA holder as well as the original complaint and document produced before him and exercise his discretion vested under Sections 202 and 203 of Cr.P.C.

       The above guidelines are not exhaustive and in other circumstances the Magistrate shall exercise his discretion judiciously and in conformity of other provisions of law applicable. (Para 55)

       Result: Petitions disposed of accordingly.

Judgment

S. R. Singharavelu, J.— Criminal Original Petition Nos. 1225 and 1226 of 2005 are filed to call for the records in C.C. Nos. 7527 and 7764 of 2004 respectively on the file of XVIII Metropolitan Magistrate, Saidapet and quash the same, Criminal Original Petition No. 1668 of 2005 is filed to set aside the Order passed in Crl. M.P. No. 284 of 2005 in C.C. Nos. 7527 and 7764 of 2004 on the file of XVIII Metropolitan Magistrate, Saidapet and quash the same.

2. Petitioner is the accused in C.C. Nos. 7527 and 7764 of 2004 pending on the file of XVIII Metropolitan Magistrate, Saidapet. She is alleged to have availed Rs. 91,00,000 as loan from the respondent/complainant agreeing to repay the same with interest. During the above transaction, on 25.9.2003, when the accused borrowed a sum of Rs. 75,000 on 25.9.2003, she issued three post dated cheques in repayment of the same and had also executed three promissory notes. When the, three cheques were presented for collection, they were returned and dishonoured with the endorsement “Payment Stopped by the drawer”. The complainant therefore issued a notice and after receiving the same, she did not make any payment. Subsequently, the petitioner 7 accused had also filed a civil suit in C.S. No. 787 of 2004 on the file of this Court. The petitioner is alleged to have committed an offence punishable under Section 138 of Negotiable Instruments Act, on the basis of two private complaints initiated by respondent.

3. The point for consideration is as to whether a complaint under Section 138 of Negotiable Instruments Act (hereinafter referred to as ‘the Act’) be filed by a Power of Attorney?

4. By going through the complaint, by reading of Section 142 of the Act and as Senior Counsel Mr. A. Natarajan submitted that by construing a strict interpretation of the above provision of law, no Court shall entertain any complaint for an offence under Section 138 of the Act except to be filed by payee or drawer of the cheque; and in that case as the complainant was the power of attorney of the payee, it was decided on 17.12.2004 in Crl O.P. No. 3975 of 2004 before the Madurai Bench that the complaint filed by the Power of Attorney is not maintainable in the eye of law. That was reported in Ravi Kumar v. R. Ramalingam rep. by Power of Attorney1.

5. Senior Counsel Mr. Sriramulu appearing for the respondent has drawn my attention to several case laws in this aspect including interpretation of statutes and non obstante clause contained therein and contended that the law as interpreted in (2005) 1 Crimes 423 (Mad.) (cited supra) is incorrect. view and that the same shall have to be reconsidered in dealing with this case.

6. My attention while deciding the case at Madurai above cited, was, by then not drawn to these case laws. Before ever a different view is taken upon the Order passed already, I have also gone through several aspects of the case laws cited by the learned Senior Counsel on both sides.

7. Section 2 of Power of Attorney Act, 1882, runs thus:

2. Execution under Power of Attorney— The donee of a Power of Attorney may, if he thinks fit, execute or do any instrument or thing in and with his own name and signature, and his own seal, where sealing is required, by the authority of the donor of the power, and every instrument and thing so executed and done, shall be as effectual in law as if it had been executed or done by the donee of the power in the name, and with the signature and seal, of the donor thereof.

This Section applies to Power of Attorney created by instruments executed either before or after this Act comes into force.

Mr. V. Raghavachari, learned Counsel for petitioner submitted by citing following case laws:

8. In M. Krishnammal v. T. Balasubramania Pillai2, it was held that Vakalath though a kind of power of attorney; is confined to pleader. Power of. Attorney Agent cannot carry on business as Attorney or Solicitor. The principle involved is that act of pleader is something perso



















































































































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