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VIVEK VARMA
Rakesh Kumar – Appellant
Versus
State of U. P. – Respondent
JUDGMENT
Vivek Varma, J.
Supplementary affidavit filed by the counsel for the applicant, is taken on record.
2. The present application under Section 482 Cr.P.C. has been filed with the prayer to quash the orders dated 01.11.2022 and 25.05.2022 passed by Civil Judge (Sr. Div.)/Additional Chief Judicial Magistrate, Ghaziabad in Complaint Case No. 3531 of 2022 (Menika Rani v. Rakesh Kumar), under Section 138 of Negotiable Instrument Act, Police Station Kotwali, District Ghaziabad.
3. In brief, the opposite party no.2 filed a complaint under section 138 of the Negotiable Instruments Act, 1881 (hereinafter referred to as 'the Act') against the applicant in the Court of Civil Judge (Sr. Div.)/Addl. Chief Judicial Magistrate, Ghaziabad with the allegation that Cheque No.039007 issued by the applicant drawn on the Bank of India for an amount of Rs. 1,00,000/- in favour of the opposite party no.2 was presented for encashment at Bank of India, Branch Navyug Market, Ghaziabad but it was returned with the remark "account closed" vide memo dated 22.04.2022. On 26.04.2022 a legal notice was sent to the applicant. Despite service of notice, the applicant did not make any payment.
4. The complai
The dishonour of a cheque due to 'Account Closed' falls within the parameters of Section 138 of the N.I. Act, and the presumption under Section 139 applies.
The closure of the account, regardless of the reason, results in the dishonour of the cheque and attracts liability under Sec.138 of the Negotiable Instruments Act.
Dishonor of cheques marked as 'account blocked' is actionable under S.138 of the Negotiable Instruments Act, 1881.
A cheque returned with the endorsement 'account closed' constitutes dishonour under Section 138 of the N.I. Act, and the statutory presumption of liability under Section 139 applies unless rebutted b....
The validity of a cheque return memo is not contingent upon having an official mark so long as it adequately indicates dishonour, affirming the presumption under Section 146 of the Negotiable Instrum....
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