IN THE HIGH COURT OF KERALA AT ERNAKULAM
V.G. ARUN, J.
M/S DE-FAB – Petitioner
Versus
S. BALACHANDRAN – Respondent
Crl. M.C. No. 456 of 2023
Decided On : 07-03-2023
Indian Penal Code, 1860 - Section 420 - Criminal Procedure Code, 1973 - Section 218(1), 219 and 220 - Negotiable Instruments Act, 1881 - Section 138 - Dishonour of cheque due to insufficient funds - Cheating and dishonestly inducing delivery of property - disputes between the partners resulted in respondent filing a complaint under Section 420 of IPC against the second petitioner and her husband. This prompted the second petitioner and her husband to approach this Court seeking anticipatory bail - Whether Section 220 of Code would apply to complaints under Section 138 of the N.I. Act since the procedure to prescribe is that of summons trials - The legal position emanating from above precedents is that it is not obligatory for the court to hold joint trial, Section 220 being an enabling provision.
Findings of the Court:
Even if Section 220 does apply, it is only an enabling provision - Single registered notice was issued and filed an omnibus complaint under Section 138 in respect of six cheques. It was under such circumstances that this Court held offences in respect of the six cheques to be part of the same transaction, in view of sequence, events, nature of allegation, proximity of commission, unity of action etc.
Result: Crl. M.C. is dismissed.
ORDER :
1. The first petitioner, partnership firm and the second petitioner, its Managing Partner, are the accused in S.T. No. 1864 of 2020 filed by the respondent alleging commission of offence punishable under Section 138 of the Negotiable Instruments Act. The short facts leading to the filing of the complaint are as under:
2. Of the 32 cheques issued by the second petitioner, the first six cheques for Rs. 5 lakhs each were honoured. With respect to the 7th cheque, only Rs. 1,00,000/- was paid by the petitioner. The balance cheques got dishonoured, the initial three, for reason of insufficiency of funds and the other cheques, due to the stop payment direction issued by the drawer. Since only Rs. 31 lakhs out of the Rs. 2 Crores was paid, the cheque issued by the second petitioner's husband was presented by entering the balance amount of Rs. 1,69,00,000/-. As that cheque was also dishonoured, the respondent filed complaints under Section 138 of the N.I. Act, after issuing separate statutory notices for each dishonoured cheques. S.T. No. 1864 of 2020 is one among the cases arising from the complaints filed by the respondent.
3. In S.T. No. 1864 of 2020, the accused filed a petition under Section 219 of Cr.P.C. seeking joint trial of seven other cases instituted by the respondent. The prayer for joint trial was stoutly opposed by the respondent, contending that there is no provision for joint trial of 8 cases. Further, the dates on the cheques, their dates of presentation, dishonour and issuance of notices being different, there cannot be any joint trial. The learned Magistrate, after detailed analysis of Section 218(1), 219 and 220 Cr.P.C. as also the precedents, dismissed the prayer for joint trial. Aggrieved, this Crl. M.C. is filed.
4. Learned Counsel for the petitioners assertively contended that the refusal to conduct joint trial is contrary to the statutory provisions as also the decisions in V.K. Muhammed vs. State of Kerala and Another, 2004 (3) KLT 330 and Shibi @ Jibi Shony vs. Chalakkudy Town Financiers, Thrissur and Another, 2017 KHC 682. In elaboration of the contention, attention was drawn to Section 218 Cr.P.C. which mandates separate charge for every distinct offence of which person is accused and separate trial for every such charge. Reference is made to the proviso to Section 218(1), which provides opportunity for the accused to apply for joint trial of any number of charges framed against him and confers the Magistrate with the discretion to permit joint trial if the accused will not be prejudiced by such procedure. Reliance is placed on Section 220(1) to argue that, if more offences than one are committed by same person, in one series of acts which are so connected together as to form the same transaction, he can be charged with and tried at one trial for every such offence. It is submitted that the cheque
Chhutanni vs. State of U.P. AIR 1956 SC 407
Mohinder Singh vs. State of Punjab
Essar Teleholdings Ltd. vs. Central Bureau of Investigation
Shibi @ Jibi Shony v. Chalakkudy Town Financiers, Thrissur and Another
The legal position emanating from above precedents is that it is not obligatory for court to hold joint trial, Section 220 being an enabling provision.
The court's discretion allows the joint trial of multiple complaints under certain conditions to promote judicial efficiency.
Negotiable Instrument- Dishonour of Cheque - Different cheques, may be issued for discharging the liability, arising out of one and same transaction, are separate entities and dishonour of each and e....
Joint trials are permitted under specific conditions; distinct causes of action prevent consolidation of cases.
A single complaint for dishonour of multiple cheques is maintainable under Section 138 of the NI Act if they arise from a single transaction, and account blockage does not exempt liability.
LAW POINTJoint complaint by two or more persons against an accused is not maintainable in dishonour of cheques.
The absence of provisions for joint complaints under the Code of Criminal Procedure and the NI Act, and the implications of separate causes of action for each complainant influenced the court's decis....
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