Point of Law: Section 142 (2) of Negotiable Instruments Act read cognizance of offences.

ORDER :

1. The petitioner is the complainant in CMP No. 1053 of 2023 filed before the Judicial Magistrate of the First Class, Chottanikkara. That complaint was filed alleging an offence punishable under Section 138 of the Negotiable Instruments Act, 1881. As per the order dated 07.10.2023, the learned Magistrate returned the complaint to the petitioner for being presented before the proper court. The said order reads thus:

“Heard. The learned counsel for complainant submitted that the cheque was presented through State Bank of India, Tripunithura Branch, since the complainant maintains the account at Ambalamedu Branch, this court is having jurisdiction to try the case. It is further submitted that as per explanation to Section 142 Negotiable Instruments Act, the branch in which the cheque was delivered for collection shall be deemed to be the branch in which complainant maintains the account. I have perused the records. It is seen that the cheque was presented for collection through State Bank of India, Tripunithura Branch which is not within the jurisdiction of this court. In view of Section 142(2) (a) of Negotiable Instruments Act, the complaint is returned for presentation before proper court.”

2. The petitioner is aggrieved inasmuch as a conjoint reading of sub-section (2) of Section 142 and its explanation allows only one meaning that the cheque if presented in a branch of the same Bank other than the one where the complainant maintains his account, the branch where he maintains account is deemed to be the branch where the cheque was presented for encashment. But, the learned Magistrate overlooked that provision while ordering return of the complaint.

3. Heard the learned counsel appearing for the petitioner and the learned Public Prosecutor. Service of notice on the 1st respondent, who is the accused, is dispensed with, since the Magistrate did not issue a summons to him.

4. Section 142 (2) of the Negotiable Instruments Act and its explanation read thus:

“142. Cognizance of offences:

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(2) The offence under section 138 shall be inquired into and tried only by a court within whose local jurisdiction:

(a) if the cheque is delivered for collection through an account, the branch of the bank where the payee or holder in due course, as the case may be, maintains the account, is situated.

(b) if the cheque is presented for payment by the payee or holder in due course, otherwise through an account, the branch of the drawee bank where the drawer maintains the account, is situated.

Explanation: For the purposes of clause (a), where a cheque is delivered for collection at any branch of the bank of the payee or holder in due course, then, the cheque shall be deemed to have been delivered to the branch of the bank in which the payee or holder in due course, as the case may be, maintains the account.”

5. Clause (a) of sub-section (2) of Section 142 of the Negotiable Instruments Act envisages that where the payee or the holder in due course, delivers the cheque for collection through the branch of the Bank where he maintains an account the court in whose local jurisdiction that branch situated shall try the offence. It is possible for payee or the holder in due course to deliver the cheque for collection even at a different branch of the same Bank. The explanation covers such a situation. If the cheque is delivered for collection at a branch other than where payee or the holder in due course, maintains an account, the branch of the Bank where the payee or holder in due course maintains the account shall be treated as the branch of the Bank for the purpose of Section 142(2)(a).

6. In the instant case, indisputably, the petitioner maintains his account at Ambalamedu Branch of the State Bank of India. He has no account at Tripunithura Branch. Even though the petitioner delivered the cheque for collection at Tripunithura Branch of the same Bank, by virtue of the deeming provisions contained in the explanation to Section 142(2) of the