R.C. Chavan, J.—This appeal questions appellate judgment of the learned Additional Sessions Judge, Mapusa whereby the learned Additional Sessions Judge set aside judgment of conviction of the respondent for offence punishable under Section 138 of the Negotiable Instruments Act and sentence of paying compensation quantified at Rs.4,00,000 or in default to suffer imprisonment for one year imposed upon the respondent by the learned JMFC, ‘E’ Court, Mapusa Goa on the conclusion of trial of Criminal Case No.O/IA/N/759/P/06E before the learned Magistrate.

2. The facts which are material for deciding this appeal are as under:

The appellant claimed to be a friend of respondent. The respondent approached the appellant in last week of March, 2006 stating that the respondent wanted to renovate his premises and, therefore, needed a sum of Rs.3 lacs which he would repay in about 7 to 8 months: The appellant claimed to have advanced a sum of Rs.2,40,000 against which the respondent issued 10 cheques dated 31.3.2006 to 30.9.2006 for amounts ranging from Rs.20,000 to Rs.35,000. The first cheque for Rs.20,000 dated 31.3.2006 was realised. The second cheque was dishonoured on the ground t