DINESH MEHTA
Shyam Sunder Soni – Appellant
Versus
State Of Rajasthan – Respondent
How to interpret Section 18 of the NI Act when there is a discrepancy between the amount in figures and in words on a cheque? What is the effect of a minor discrepancy between the amount written in words and figures on the validity of the legal notice under Section 138 NI Act? What are the circumstances under which cognizance and proceedings under Section 138 NI Act can proceed despite a difference between the cheque amount and the notice amount?
JUDGMENT
Dinesh Mehta, J. - By way of the instant petition under section 482 of the Code of Criminal Procedure, 1973, (hereinafter referred to as "the Code") the petitioner has prayed that the proceedings in case No. 578/2022, pending before the Special Judge, Negotiable Instruments Act Cases No. 3, Bikaner (hereinafter referred to as "the trial Court") be quashed.
2. The premise on which the present petition has been filed is rather unique and intriguing. The facts as goes are that the petitioner, being the authorized signatory of M/s. S.S. & Sons, issued a cheque dated 08.06.2014 bearing No. 631583 drawn on State Bank of Bikaner and Jaipur, Bikaner to the complainant (respondent No. 2 herein).
3. It is to be noted that the cheque in question was drawn for Rs. 7,55,125/- (Rupees Seven Lacs Fifty Five Thousand One Hundred and Twenty-Five) so far as figures/numbers are concerned, but in words such amount, due to inadvertence or otherwise, was inscribed as "Rupees Seven Lacs Fifty Thousand One Hundred Twenty Five Only".
4. When the cheque was presented by the complainant in the Bank for encashment, the Bank (State Bank of Bikaner and Jaipur) returned the same with the memo dated 17.06.20
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