The complainant must prove the issuance of the cheque as against a legally enforceable debt under Section 138 of the Negotiable Instruments Act.

1. The petitioners are the accused in STC No.1978 of 2007 on the file of the learned Judicial Magistrate No. III, Trichy. The first accused is a Company, the 2nd accused is its Managing Partner and the third accused is a partner of the said Company. The respondent filed the said case by way of private complaint alleging that the petitioners committed offences punishable under Section 138 of the Negotiable Instruments Act. The trial Court by judgment dated 29.02.2012, found the accused guilty under Section 138 of the Negotiable Instruments Act and sentenced the first accused to pay a fine of Rs.1,000/-, in default, to attach the properties of A1 and sentenced the accused 2 and 3 to undergo rigorous imprisonment for six months and to pay a fine of Rs.1,000/-, in default, to undergo simple imprisonment for one month. Challenging the said conviction and sentence, the appellants filed appeal in CA No.24 of 2012. By judgment dated 26.06.2013, the III Additional District and Sessions Judge, Trichy, dismissed the appeal thereby confirming the conviction and sentence imposed by the trial Court. As against the same, the petitioners are before this Court with this revision.

2. The case of the respondent is as follows:

The first accused is a construction company. The accused 2 and 3 are the managing partner and partner respectively of the first accused Company. The 2nd accused is well known to the complainant. On 01.08.2004, on behalf of the first accused company, the 2nd accused borrowed a sum of Rs.1,50,000/- and duly executed a promissory note thereby agreeing to repay the said amount with interest on demand, at the rate of 24% per annum. The third accused attested the signature of the 2nd accused in the said promissory note. But subsequently, despite the demand made as promised, the accused did not repay the amount due under the promissory note. However, in discharge of the said legally enforceable debt, on 10.04.2007, the accused 2 and 3 issued a cheque drawn on Bank of India, Trichy branch for Rs.2,45,000/-. The cheque was drawn as against the account maintained in the name of the first accused company and the same was issued by the accused 2 and 3 on behalf of the first accused Company. When the said cheque was presented for collection, it was dis-honoured by the bank as an endorsement “account closed”. Thereafter, a legal notice required under Section 138 of the Negotiable Instruments Act was issued by the respondent to the petitioners on 01.05.2007 under Ex.P4. Having received the same, the accused sent a reply on 06.06.2007 denying the borrowal, their liability to pay, the issuance of cheque etc. Thereafter the respondent filed the said private complaint.

3. In order to prove his case, on the side of the complainant, the complainant was examined as P.W.1 and as many as six documents were exhibited. Ex.P1 is the promissory note and Ex.P2 is the cheque in question. Ex.P3 is the bank advice memo and Ex.P4 is the legal notice issued and Ex.P6 is the reply notice. When the above incriminating materials were put to the accused, they denied the same as false. On their side, the third accused was examined as D.W.1, wherein, he has stated that he had business transaction with one Mr. Rajaraman from whom he borrowed a sum of Rs.3 lakhs and as a security, he had handed over the cheque in question, which was then blank, but signed by the accused 2 and 3 and also a blank promissory note, but signed by the 2nd accused and the third accused. He has further stated that as early as on 11.05.2005 under Ex.D1, he issued a notice to Mr. Rajaraman to return the cheque in question, the blank promissory note and the documents handed over to him at the time of borrowal, since the amount had been settled. Having received the said notice, Mr. Rajaraman did not send any reply. Thereafter the accused 2 and 3 issued a legal notice on 18.09.2006 to Mr. Rajaraman in respect of the above. The said notice was sent by means of courier. Having received th