Gujarat High Court
Judgename :D.P.Buch
PRAJAPATI OIL INDUSTRY THRO ITS OWNEER RAMESHBHAI - Appellant
Versus
STATE - Respondent
CRIMINAL REVISION APPLICATION 433 of 2002
Decided On : 11/01/2003
Code of Criminal Procedure, 1973 -Section 401,397,313 -Petitioner above named has preferred this Criminal Revision Application challenging the judgment and conviction order, recorded by the learned Addl. City Sessions Judge, Court No. 16, in Criminal appeal No. 3 of 2002, under which the learned Addl. Sessions Judge dismissed the said appeal of the petitioner and confirmed the judgment and conviction order, recorded by the learned Metropolitan Magistrate, Court No. 10, in Criminal Case No. 1689 of 1998 under which the learned Metropolitan Magistrate convicted the present petitioner for an offence punishable under Section 138 of the Negotiable Instruments Act, 1881 ("the Act" for short) and sentenced him to suffer SI for one year and directing him to pay fine of Rs. 5,000. 00 and in default of payment of fine, the petitioner was directed to undergo further SI for three months. facts of the case of the complainant before the trial Court may be briefly stated as follows :according to the case of the second respondent, the second respondent has been dealing with sale of chemicals. According to the case of the second respondent before the trial Court, the petitioner herein is a company registered under the Companies Act, 1956. That the petitioner used to purchase goods from the second respondent on credit and an account was also kept in the books of account of the second respondent. The second respondent used to issue bills for the goods purchased by and delivered to the present petitioner. That on completing the account, an amount of Rs. 1,12,359. 00 was found to be due to the second respondent by the petitioner. Therefore, the second respondent demanded the said amount. That at that time, the petitioner issued four cheques –Held there is the evidence of witness at Exh. 20. He has been serving as a Branch Manager in Co-operative Bank, Nehru Bridge Branch. He has deposed before the trial Court that the cheques in question were shown to him and they were issued by the present petitioner ; that the maximum balance in the account of the petitioner was Rs. 531. 00 only. An attempt was made to show that the witness was not acquainted with the signature of signatory of the cheques. Thereafter, in further statement, petitioner has stated before the trial Court that the cheques were issued as deposit and not against the delivery of the goods. He has also stated that he has never received the notice in question. ON the strength of the above evidence, the trial Court came to the conclusion that the cheques were issued against the dues by the petitioner and therefore, the petitioner was liable to see that the cheques were honoured. It is further observed by the trial Court that despite the service of notice, the petitioner did not make the arrangement for the payment of cheques. That, therefore, there is a clear case of an offence punishable under Section 138 of the Act. –Ordered Accordingly
( 1 ) THE petitioner above named has preferred this Criminal Revision Application under Section 397 read with Section 401 of the Code of Criminal Procedure, 1973 ("the Code" for short ) challenging the judgment and conviction order September 30, 2002, recorded by the learned Addl. City Sessions Judge, Court No. 16, Ahmedabad in Criminal appeal No. 3 of 2002, under which the learned Addl. Sessions Judge dismissed the said appeal of the petitioner and confirmed the judgment and conviction order dated 27/12/2001, recorded by the learned Metropolitan Magistrate, Court No. 10, Ahmedabad City in Criminal Case No. 1689 of 1998 under which the learned Metropolitan Magistrate convicted the present petitioner for an offence punishable under Section 138 of the Negotiable Instruments Act, 1881 ("the Act" for short) and sentenced him to suffer SI for one year and directing him to pay fine of Rs. 5,000. 00 and in default of payment of fine, the petitioner was directed to undergo further SI for three months.
( 2 ) THE facts of the case of the complainant before the trial Court may be briefly stated as follows :according to the case of the second respondent, the second respondent has been dealing with sale of chemicals at Ahmedabad. According to the case of the second respondent before the trial Court, the petitioner herein is a company registered under the Companies Act, 1956. That the petitioner used to purchase goods from the second respondent on credit and an account was also kept in the books of account of the second respondent. The second respondent used to issue bills for the goods purchased by and delivered to the present petitioner. That on completing the account, an amount of Rs. 1,12,359. 00 was found to be due to the second respondent by the petitioner. Therefore, the second respondent demanded the said amount. That at that time, the petitioner issued four cheques as follows :1. Cheque No. 114816, dated 28-3-98 for Rs. 36,938-002. Cheque No. 114817, dated 7-4-98 for Rs. 36,880. 003. Cheque No. 114820, dated 15-4-98 for Rs. 37,421. 004. Cheque No. 114822, dated 27-4-98 for Rs. 34,500. 00
( 3 ) THAT the proprietor of the petitioner-company signed the cheques and they were handed over to the second respondent ; that the petitioner assured the second respondent that those cheques would be encashed and honoured by the bank concerned.
( 4 ) THAT thereafter, in accordance with the instruction of the petitioner, the second respondent presented the cheques on 27/06/1998 before Navnirman Cooperative Bank at Rakhial Branch. That at that time, the cheques were dishonoured on the ground that the balance was insufficient. That thereafter, the second respondent approached the petitioner and informed the petitioner about dishonour of cheques. That at that time, the petitioner requested the second respondent that the financial condition was not good and therefore, the cheques may be again presented on 30/09/1998 and at that time the cheques would be positively honoured. That, therefore, the contesting respondent again presented the said cheques before the concerned bank on 30/09/1998. That at that time also the cheques were returned on 3/10/1998 with an endorsement that the balance was insufficient.
( 5 ) THAT, therefore, the second respondent issued a notice dated 1 3/10/1998 by R. P. A. D. That the said notice was served upon the petitioner on 26th October, 1998 ; that despite the said position the petitioner neither paid the amount of the cheques nor replied the said notice. That, therefore, the petitioner has committed an offence punishable under Section 138 of the Act and therefore, the petitioner may be dealt with in accordance with the law.
( 6 ) ON receipt of the said complaint on 21st November, 1998 the trial Court recorded verification of the petitioner on oath and thereafter directed that the summons be issued for an offence punishable under Section 138 of the Act against the petitioner.
( 7 ) IN response to the service of
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