SupremeToday Landscape Ad
Back
Next
Judicial Analysis Court Copy Headnote Facts Arguments Court observation
Listen Article Pause Article
judgment-img

2007 Supreme(Del) 2479

High Court Of Delhi
SHIV NARAYAN DHINGRA
KRISHNA GUPTA - Appellant
Versus
SITA RAM SINGHAL - Respondents
Crl. A. 643 Of 2007
Decided On : 10/25/2007

Headnote:Negotiable Instruments Act, 1881 Sections 138 & 141 - Dishonored of cheque - Challenged the impugned order of Ld. ASJ - Ld. ASJ allowed a revision petition of respondent and set aside a notice U/S 251 Cr. P. C. to respondent on a complaint U/S 138 of N.I. Act - The cheques were signed by the accused in the capacity of secretary of the society - Notice was sent to residential address of the accused - Court was of view, a notice served U/S 138 of N. I. Act can not become invalid if the notice was issued in the individual name and address of secretary or Director in respect of dishonour of the cheques - There is no legal requirement that a notice has to be served upon a director or a secretary only at the address of the company - Hence, Court set-aside the impugned order of Ld. ASJ and directed to trial court to proceed with the complaint on merit - Appeal allowed. [Paras 7 & 8]

( 1 ) LEAVE to appeal is allowed for the reasons given therein. This appeal has been preferred against the order of learned additional Sessions Judge dated 29th September, 2006 whereby he allowed a revision filed by the respondent and set aside a notice issued under Section 251 cr. P. C. to the respondent on a complaint under Section 138 of Negotiable instrument Act filed by the appellant.

( 2 ) BRIEF facts relevant for the purpose of deciding this appeal are that the appellant filed a complaint under Section 138 against Shri Sita Ram singhal, Secretary Sanjay Gandhi Memorial Coop. , Housing Building Society limited, R/o Sanjay Gram, Delhi Road, Gurgaon, 122001, Haryana.

( 3 ) IT was alleged in the complaint that the complainant made full payment for purchase of a plot to accused in the year 1994 but accused failed to deliver the possession of the plot to complainant. Thereafter, a settlement was arrived in respect of the plot and accused agreed to pay a sum of Rs. 4,10,000/-to the complainant. In terms of this agreement cheques bearing no. 528743 dated 18. 10. 04 and 528744 dated 18. 11. 04 were issued for sums of Rs. 40,000/- and 1,00,000/- respectively as part of payment. These cheques got dishonoured and were returned to the complainant with endorsement ?funds Insufficient?. The complainant served a legal notice through her advocate on accused within a period of 15 days but no payment was made by the accused. Hence the complaint was filed.

( 4 ) AFTER recording and appreciating pre-summoning evidence the learned MM served a notice under Section 251 Cr. P. C. on the accused/respondent against which a Revision was preferred by the respondent which was allowed by the impugned order.

( 5 ) THE learned ASJ observed that the complainant, in order to succeed, has to show that it was the company that was responsible to pay and has further to show that it was accused, who was in-charge and responsible for business of company (Housing Society ). In the present case the complainant has not mentioned that it was the company who was responsible to pay the cheque amount but has mentioned the name of accused Sita Ram Singhal, Secretary of the company as the person responsible. Moreover complainant has impleaded accused in his personal capacity and it is only for the purpose of identification that he has been mentioned as Secretary. It would not amount to saying that he has been impleaded as the Secretary of the Society. The ASJ also observed that accused has been shown to be a resident of a particular place which was not the address of the Society but was his residential address and notice was sent to accused in his personal capacity and it was not mentioned in the notice that accused was being served in the capacity of the Secretary of the Society. It was not stated in the complaint or in the notice that housing society was liable to make the payment of the aforesaid amount to the respondent and it was Society who issued the cheques. The cheques were signed by the accused in the capacity of Secretary of the Society and not in his individual capacity, so he could not be made accused in his individual capacity.

( 6 ) A Court while considering the complaints and cases before it cannot ignore the practical aspects of the dealing between the parties. It is not to be forgotten that accused was Secretary of a Housing Society and it was he who signed the cheques and issued the cheques. The entire complaint shows that it was accused who had dealing with the complainant. It is evident that complainant had been face to face with the accused and complainant knew only accused as the person who was dealing about allotment of plots of society and ultimately when plot was not alloted it was he who agreed for refund of the amount and issued the cheques in question. In case of Housing Societies, it is normally the Secretary of the Housing Society who acts on behalf of the society and deals with members or applicants. Where cheqeus are issued by Secr










Click Here to Read the rest of this document
1
2
3
4
5
6
7
8
9
10
11
SupremeToday Portrait Ad
supreme today icon
whatsapp-icon Back to top