1. Petitioner is the proprietor of Man-Jog Investments which is a financial enterprise. Two cheques issued by the petitioner to the respondent were dishonoured by the drawee bank. As the petitioner did not pay the amount covered by the two cheques, even after receiving notice of demand, the respondent filed a complaint alleging commission of offence under S.138 of the Negotiable Instruments Act, 1881 (for short 'the Act'). The Magistrate, who took cognizance of the offence, issued summons to the petitioner. This Criminal Miscellaneous Case is filed by the petitioner praying for quashing the complaint.

2. The two cheques in question were issued on 31-12-1988 (one for Rs.7,272/- and the other for Rs.10,369/-). The cheques were presented for encashment, but the drawee bank dishonoured them on 30-4-1989 with the endorsement "account closed". On 6-5-1989 respondent issued a notice to the petitioner demanding payment of the amount covered by the dishonoured cheques. No amount was paid by the petitioner. Hence the complaint was filed on 29-5-1989. These are the bare facts.

3. The complaint is sought to be quashed on two grounds: (1) Inasmuch as Sec.138 of the act came into force