The petitioner in the above Criminal Revision is the accused in C.C.No.261 of 2004 on the file of the learned Judicial Magistrate No.1, Tiruvallur and the respondent herein is the complainant therein.

2. The petitioner faced trial for an offence under section 138 of the Negotiable Instruments Act (hereinafter referred to as Act) and he was found guilty and sentenced to undergo imprisonment till the rising of the Court and to pay a fine of Rs.5000/-in default to undergo S.I. for one month and further directed to pay a sum of Rs.3,29,000/-, being the cheque amount, as compensation to the complainant/respondent herein.

3. The case of the complainant/respondent herein is that the accused/petitioner herein was due Rs.3,29,000/- to the complainant in business transaction; when the respondent demanded the payment, the petitioner issued the cheque bearing No.743152, dated 3. 2004 drawn on Indian Overseas Bank, Nazarathpettai, Poonamallee for a sum of Rs.3,29,000/-; the cheque was presented for encashment on 13. 2004; the same was returned unpaid with the endorsement "excess arrangement" on 13. 2004; the respondent sent a legal notice, dated 23. 2004 to the petitioner; though n