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2020 Supreme(Ker) 32

IN THE HIGH COURT OF KERALA AT ERNAKULAM
SUNIL THOMAS, J.
Sreelakshmi Kuries and Loans Pvt. Ltd. Koppam, Palakkad Represented By Its Manager Sri.M.Haridasan - Appellant
Versus
Vijeesh V.M. S/o Viswanathan Nair and Ors - Respondent
CRL.A.No.1375 of 2007
Decided On : 15-01-2020

Advocates Appeared:
For the Appellant : Sri.Rajesh Sivaramankutty, Jaeona James Adv.
For the Respondent: Sri.Jacob Abraham, Sri.D.Chandrasenan

IMPORTANT POINT
The cheque remained unpaid since 2005, imposition of fine of Rs.55,000/-in default of which he shall undergo SI for two months, will serve the interest of justice- If the fine amount is deposited, the entire amount shall be paid to the complainant as compensation- Considering the fact that the appeal is of the year 2007 and that the judgment of the court below is reversed at the appellate stage, the accused can be given reasonable time to discharge the liability .

Headnote:

Negotiable Instruments Act- section 138-The complainant had succeeded in proving the existence of a legally sustainable debt and that the cheque remained unpaid even after the issuance of the statutory notice-The accused had committed offence punishable under section 138 of the NI Act and is liable to be convicted

Statement of facts:

The complainant in ST No. 1274/2005 of the Judicial First Class Magistrate-1 Palakkad, aggrieved by the acquittal of the accused under section 255(1) of Cr.P.C. for offence punishable under section 138 of the Negotiable Instruments Act, has preferred this appeal.

Finding of the court:

The accused is convicted for offence punishable under section 138 of the NI Act and sentenced to pay a fine of Rs.55,000/-(Rupees fifty five thousand only) and in default to undergo SI for two months. If the fine is remitted, it shall be released to the complainant as compensation. Execution of sentence will stand deferred for a period of three months from today to enable the accused to discharge the liability. If the fine amount is not remitted, the court below shall initiate appropriate proceedings for recovery of the amount after the expiry of three months.

Result : Allowed

JUDGMENT :

1. The complainant in ST No. 1274/2005 of the Judicial First Class Magistrate-1 Palakkad, aggrieved by the acquittal of the accused under section 255(1) of Cr.P.C. for offence punishable under section 138 of the Negotiable Instruments Act, has preferred this appeal.

2. The case of the complainant was that, they were conducting a kuri, from the Kozhikode Branch, in which the accused had subscribed a chitty for Rs.1,00,000/-. He bid the chitty for Rs.50,000/-and received the amount on execution of necessary documents. He thereafter failed to remit the future installments. Towards the discharge of the existing liability, the accused executed and delivered to the complainant a cheque for a sum of Rs.47,500/-drawn on his account. The cheque was presented for collection but was returned dishonoured. Statutory notice was issued, which was neither replied nor the amount paid. Hence, the complaint was laid alleging commission of offence punishable under section 138 of the NI Act.

3. Before the court below, the accused appeared and pleaded innocence. On the side of the complainant, his power of attorney holder was examined as PW1 . Exts.P1 to P8 were marked. There was no defence evidence . The court below, on an evaluation of the available materials concluded that the complainant had failed to comply with the statutory formalities as envisaged under the NI Act and acquitted the accused. This is under challenge .

4. Heard the learned counsel for the complainant and the learned counsel for the accused.

5. The case of the complainant is sought to be established through the oral testimony of PW1. Ext.P2 is the cheque dated 2/2/2005. The cheque was returned dishonoured as evidenced by Ext.P3 memo dated 8/2/2005, issued by the drawee Bank. Ext.P4 dated 2/2/2005 is the memo issued by the payee bank. Ext.P5 is the statutory notice dated 7/3/2005. Ext.P6 is the postal receipt dated 9/2/2005 evidencing the dispatch of the original of Ext.P5. Ext.P7 is the acknowledgment card which bears the signature of the accused. The complaint was laid on 23/4/2005.

6. In the complaint, it was specifically pleaded that the accused received lawyer notice on 10/3/2005. However, the court below, referring to Ext.P7 acknowledgment card, held that it did not prove the date of service of lawyer notice and the complaint failed to prove the actual date of service of the lawyer notice. It was held that though complainant had stated in the complaint that it was served on the accused on 10/3/2005, in the chief affidavit of PW1 it was not averred. The court below on the basis of the above, held that the serving of notice on accused was a fact in issue which has to be proved by the complainant like any other fact in issue and there is no presumption as to the serving of lawyer notice. The contention of the counsel for the complainant that the impression of postal seal with date inscribed on Ext.P7 may be considered as the date of service of notice was negatived on the reasoning that the date of actual service may be different from the date inscribed on the acknowledgment card.

7. The accused has no case that statutory notice was not served on him. He has also no case that notice was not sent in correct address or that the signature seen in Ext.P7 was not his signature. The crucial question that arises is whether the statute requires the complainant to establish the actual date of service of notice on the accused. Though Ext.P7 acknowledgment card bears the signature of the accused, he has not written the date of receipt. Only his signature is affixed on the acknowledgment card. The stamp of the Kozhikode post office is seen affixed bearing the date as 10/3/2005. In the complaint it was specifically pleaded that the notice was served on 10/3/2005. The acknowledgment card bearing the above date was produced along with the complaint. The averment that it was served on 10/3/2005 was not challenged in the cross examination of PW1. In the light of the above and in the light

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