The presumption in favor of the holder of a cheque for the discharge of a debt or other liability under Section 139 of the Negotiable Instruments Act.

1. Through the instant petition filed under Section 561-A of the Code of Criminal Procedure, petitioners seek quashing of complaint titled Pardeep Kumar vs. Balkar Singh and Anr. and also the order dated 28.04.2018, passed by the learned Additional Sessions Judge, Kathua.

2. The case of the petitioner is that respondent-Pardeep Kumar entered into an agreement with the petitioner No. 2 through petitioner No. 1 for providing land comprising of Kh. No. 215, 152, 222, 223, 151 measuring 200 kanals situated at Village Jagatpur, Tehsil and District Kathua and the petitioners had paid a sum of Rs. 1,38,00,000/-. It is stated that on 10.03.2015, two signed blank cheques of petitioners one that of Citizens Co-operative Bank Ltd. Moti Bazar, Jammu and the other of J&K Bank Amphalla, Jammu were stolen/misplaced from his vehicle along with cheque book and the other official record kept in his brief case. The petitioner No. 1 approached the Police Post Ware House for filing a report but he was advised to get a public notice published in at least two newspapers in order to register the case. On 12.03.2015, petitioner inserted a public notice in two newspapers of Jammu.

3. Learned counsel for the petitioners states that on 18.03.2015, the petitioners also informed their bankers i.e. Citizens Co-operative Bank Ltd., Moti Bazar, Jammu and J&K Bank Ambphalla, Jammu about the loss of the cheque books including the signed blank cheques so that no payment is made in case of their presentation. Thereafter, on 15.07.2015, the petitioner No. 1 also lodged a formal complaint with police Post Ware House, Jammu regarding the loss of signed cheque, cheque books and other documents. It is further stated that police has failed to initiate any action on the complaint of the petitioners but the respondent presented the misplaced cheque of J&K Bank for encashment while filling the figures to the tune of Rs. 3,72,20,000/- and another misplaced cheque for an amount of Rs. 1,81,70,000/- of Citizens Co-operative Bank Ltd. Moti Bazar Jammu, but said cheques were returned unrealized as per the instructions of the petitioners.

4. Learned counsel for the petitioners further states that on 26.03.2016, respondent filed a complaint under Section 138 Negotiable Instrument Act against the petitioners before the Court of learned JMIC Kathua. It is stated that a perusal of the complaint shows that the respondent has referred to one suit filed by him before the Court of learned Sub-Registrar, Jammu wherein he has claimed to have entered into a settlement, with the petitioners and they allegedly having agreed to pay him a sum of Rs. 5,53,90,000/-. It is stated that petitioners filed an application under Order 7 Rule 11 CPC for rejection of the suit of the respondent being barred by law. It is further stated that on 01.02.2016, the suit filed by the respondent was dismissed for default and till date it has not been restored, so the question of any compromise with him does not arise. It is stated that on 25.05.2017 petitioners filed an application before the JMIC Kathua for dropping of proceedings on various grounds, however, the same came to be dismissed on 24.08.2017. The petitioners preferred a revision before the learned Additional Sessions Judge, Kathua who also declined to interfere in the order passed by learned Magistrate, thereby upholding the same vide judgment dated 28.04.2018.

5. Being aggrieved of the order dated 24.08.2017 passed by learned JMIC Kathua and order dated 28.04.2018 passed by Addl. Sessions Judge, Kathua, petitioners have filed the instant petition challenging the above said orders on the following grounds:-

(i) That continuation of criminal proceedings against the petitioners whose cheques have admittedly been misused by the respondent, definitely amounts to paying premium to a person who should have been hauled up in a criminal case of very serious nature for having presented the stolen cheques by filling huge amount to the tune of Rs. 5,53,90,