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2005 Supreme(P&H) 640

PUNJAB & HARYANA HIGH COURT
S.N.Aggarwal, J.
Dayawanti
Versus
Shubh Lata
Decided On : MAY 25, 2005

Proper service of notice under Sec.138 of the Negotiable Instruments Act and the petitioner's intentional avoidance of accepting the registered cover indicated knowledge of the notice.

Headnote:

Negotiable Instruments Act - Notice Requirement - The court upheld the conviction of the petitioner under section 138 of the Negotiable Instruments Act, ruling that the notice was properly served despite the petitioner's denial. The court also reduced the petitioner's sentence due to her old age.

Fact of the Case:

The petitioner issued a cheque to discharge her debt, but it was returned due to insufficient funds. The respondent filed a complaint under Sec.138 of the Negotiable Instruments Act, leading to the petitioner's conviction and sentence.

Finding of the Court:

The court upheld the petitioner's conviction, ruling that the notice was properly served and that the petitioner intentionally avoided accepting the registered cover. However, the court reduced the petitioner's sentence due to her old age and the prolonged legal proceedings.

Issues: The main issue was the service of the notice under Sec.138 of the Negotiable Instruments Act and the petitioner's denial of receiving it.

Ratio Decidendi: The court found that the notice was properly served based on the evidence, and the petitioner's intentional avoidance of accepting the registered cover indicated knowledge of the notice.

Final Decision: The court upheld the petitioner's conviction but reduced her sentence to the period already undergone due to her old age, leading to the petition being allowed.

Judgment

S.N.AGARWAL, J.

1. The petitioner was aggrieved against the judgment passed by the Court of learned Sessions Judge, Chandigarh dated 25.5.2000 by which her appeal against her conviction and sentence under Sec.138 of the Negotiable Instruments Act was dismissed.

2. The facts of the case are that respondent Shubh Lata had filed a complaint against the present petitioner by taking the plea that she had advanced a sum of Rs.80,000/- to the petitioner. For discharging her liabilities, the petitioner had issued a cheque No. NMS/d 158406 dated 15.1.1993 drawn on New Bank of India, Burail. The said cheque was presented by the complainant (respondent herein) to her bankers i. e. Pujab state Cooperative Bank, Sector 22-C, Chandigarh for encashment but the same was returned with the remarks "insufficient funds". Then the complainant (respondent) served registered notice dated 27.5.1993 through her counsel on the petitioner calling upon her to make the payment of Rs.80,000/-within 15 days of the notice but the petitioner failed to do so making herself amenable to the criminal proceedings under Sec.138 of the Negotiable instruments Act. Hence a complaint was filed. After the preliminary evidence was produced by the respondent, the petitioner was summoned by the learned trial Court vide order dated 11.9.1993. After she appeared in the Court, the respondent produced her oral and documentary evidence.

3. In her statement recorded under Sec.313 Cr. P. C. , the petitioner denied all these allegations and took the plea that she was innocent. However, she did not lead any evidence in defence.

4. On the basis of this evidence, the learned trial Court vide judgment dated 19.10.1995 convicted the petitioner for having committed an offence punishable under Sec.138 of the Negotiable Instruments Act. She was sentenced to simple imprisonment for a period of six months besides fine amount of Rs.2,000/-. In default of payment of fine, she was to further undergo simple imprisonment for a period of one month. The fine amount was deposited by the petitioner.

5. However, the petitioner filed an appeal against the said judgment, which was dismissed by the Court of learned Additional Sessions Judge, chandigarh vide judgment dated 25.5.2000. Hence the present revision petition.

6. Submits that the legal requirement of Sec.138 of the Negotiable instruments Act was not fulfilled as no notice was served on the petitioner by the respondent.

7. This submission has however, no force. Admittedly, a registered envelope was sent to the petitioner which has been proved as Exhibit C-6. It was received back with the remarks "not found. Informed". It clearly means that the notice was sent to the petitioner but she did not receive the registered cover intentionally. It is not her case that she did not reside at the given address. Moreover, the endorsement made by the postal employee clearly reveals that the addressee was informed which at the most means that the family members of the petitioner were informed. Relying upon the judgment of the Honble Madras High Court, reported as S. Parsanna V/s. Vijay Laxmi, 1992 Banking ISJ 437, the learned trial Court had come to the conclusion that the notice was clearly in the knowledge of the petitioner but she had deliberately not taken delivery of the said registered cover. The endorsement made on the registered cover was sent by the respondent to the petitioner but it was received back with the endorsement reproduced above. It only means that the petitioner had intentionally avoided to accept the registered cover. Therefore, there is no legal defect in the service of the notice.

8. I have gone through the statements of the witnesses. The present case is clearly provided against the petitioner, therefore, her conviction under section 138 of the Negotiable Instruments Act is upheld.

9. Learned counsel for the petitioner submits that the petitioner has become an old person. The alleged offence was committed by her in the year 199

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