IN THE HIGH COURT OF MADHYA PRADESH
Achal Kumar Paliwal, J.
G. D. Narang v. Ramesh Kothari
Criminal Appeal No. 1498 of 2002 (Jabalpur): against the judgment dated 22.1.2002 passed by the Judicial Magistrate First Class, Bhopal in RT No. 968 of 2001; Decided on 9.7.2025
(1) Negotiable Instruments Act, 1881 -- S. 138(b) -- limitation -- appellant/complainant received information from Bank about dishonour of cheque on 13.10.1993 -- demand notice sent on 20.10.1993 -- notice received by respondent/accused on 2.11.1993 -- demand notice was sent within 15 days of receipt of information -- it cannot be said that demand notice was not within limitation -- limitation of 15 days cannot be calculated from date of receipt of demand notice -- trial Court materially erred in calculating limitation from date of receipt of demand notice and wrongly dismissed complaint -- in view of receipt/acknowledgment, non-production of postal receipt pertaining to dispatch of notice is immaterial and does not affect appellant’s case adversely. (2007) 6 SCC 555 followed. [Paras 9 to 13
(2) Negotiable Instruments Act, 1881 -- S. 138 -- discharge of liability -- cheque issued for arrears of rent -- respondent/accused relied on document dated 30.6.1995 wherein it is mentioned that complainant/appellant has set-off arrears of rent against possession -- it cannot be inferred that no rent was due on 30.6.1995 -- cheque was issued on 11.10.1993 -- it cannot be said that on 11.10.1993, no rent was due -- it cannot be said that cheque was not issued for discharge of debt or liability -- respondent/accused convicted -- respondent/accused sentenced with fine of double amount of cheque, i.e., Rs. 28,800/-, with default stipulation -- out of fine amount, sum of Rs. 25,000/- be given to appellant/complainant as compensation. [Paras 14, 15 & 18
¼1½ ijØkE; fy[kr vf/kfu;e] 1881 && /kkjk 138¼[k½ && ifjlhek && vihykFkhZ@ifjoknh dks pSd ds vuknj ds ckjs esa cSad ls bfÙkyk 13-10-1993 dks çkIr gqbZ && ek¡x lwpuki= 20-10-1993 dks Hkstk x;k && çR;FkhZ@vfHk;qä dks lwpuki= 2-11-1993 dks çkIr gqvk ek¡x lwpuki= bfÙkyk dh çkfIr ds 15 fnol ds Hkhrj Hkstk x;k Fkk && ;g ugha dgk tk ldrk fd ek¡x lwpuki= ifjlhek esa ugha Fkk && 15 fnol dh ifjlhek dh lax.kuk ek¡x lwpuki= dh çkfIr ds fnukad ls ugha dh tk ldrh && fopkj.k U;k;ky; us ifjlhek dh lax.kuk ek¡x lwpuki= dh çkfIr ds fnukad ls dj ds rkfRod =qfV dh rFkk ifjokn xyr [kkfjt fd;k jlhn@vfHkLoh—fr dh –f"V ls] lwpuki= ds çs"k.k ls lacaf/kr Mkd jlhn is'k ugha djuk rRoghu gS vkSj mlls vihykFkhZ ds ekeys ij çfrdwy çHkko ugha iM+rkA ¼2007½ 6 ,llhlh 555 vuqlfjrA ¼iSjk 9 ls 13
¼2½ ijØkE; fy[kr vf/kfu;e] 1881 && /kkjk 138 && nkf;Ro dk mUekspu && pSd fdjk;s ds cdk;k ds fy, tkjh fd;k x;k && çR;FkhZ@vfHk;qä us nLrkost fnukad 30-6-1995 dk voyac fy;k ftlesa mfYyf[kr gS fd ifjoknh@vihykFkhZ us dCts ds ,sot esa fdjk;s dk cdk;k ekQ dj fn;k gS && ;g fu"d"kZ ugha fudkyk tk ldrk fd 30-6-1995 dks dksbZ fdjk;k ckdh ugha Fkk && pSd 11-10-1993 dks tkjh fd;k x;k Fkk && ;g ugha dgk tk ldrk fd 11-10-1993 dks dksbZ fdjk;k ckdh ugha Fkk && ;g ugha dgk tk ldrk fd pSd _.k ;k nkf;Ro ds mUekspu ds fy, tkjh ugha fd;k x;k Fkk && çR;FkhZ@vfHk;qä fl)nks"k Bgjk;k x;k && çR;FkhZ@vfHk;qä dks pSd dh jde ds nqxqus tqekZus vFkkZr~ :- 28]800@& ls] O;frØe vuqca/k ds lkFk] naMkfn"V fd;k x;k && tqekZus dh jde esa ls :- 25]000@& dh jkf'k vihykFkhZ@ifjoknh dks çfrdjLo:i nh tk,A ¼iSjk 14] 15 ,oa 18
ORDER
1. This appeal has been filed under section 378(4) of Code of Criminal Procedure against the judgment dated 22.1.2002 passed by JMFC, Bhopal in RT No. 968/2001, whereby respondent/accused has been acquitted of an offence under section 138 of N.I. Act.
2. Complainant’s case in brief is that complainant is owner and landlord of duplex house No. HX-1 HIG E-7 extension, Sahpura, Bhopal. Accused is his tenant in aforesaid building. Accused issued a cheque to complainant for payment of rent but the same got dis-honored on account of insufficient fund. Thereafter, complainant filed a complaint under section 138 of N.I. Act. against the accused.
3. Learned senior counsel for the appellant submits that appellant is landlord and respondent/accused is his tenant. Ex. P/1’s cheque was issued for payment of arrears of rent. There is no dispute with respect to the handwriting, signature etc. of Ex. P/1’s cheque. Appellant received Ex. P/2’s information on 13.10.1993 and Ex. P/3’s information on 14.10.1993, Ex. P/4’s demand notice was issued to respondent/accused on 20.10.1993. As per section 138 (b) of N.I. Act, notice is required to be issued within 15 days from date of receipt of information pertaining to dishonour of cheque. Thus, Ex. P/4’s demand notice was issued within limitation prescribed in the law. It is correct that aforesaid notice was received by respondent/accused on 2.11.1993 (Ex. P/5). Learned trial Court has wrongly calculated period mentioned in section 138(b) of N.I. Act. trial Court has calculated limitation from the date of receipt of notice which is against provision of law as mentioned in section 138(b) of N.I. Act and principle laid down by Hon’ble apex Court in C.C. Alavi Haji v. Palapetty Muhammed and another, (2007) 6 SCC 555. Hence, learned trial Court has wrongly acquitted respondent/accused. Therefore, appeal filed by the appellant is allowed and respondent/accused be convicted for offence under section 138 of N.I. Act.
4. Learned counsel for the respondent, after referring to Ex. D/1, submits that as per aforesaid document on 30.6.1995, no arrears of rent was due for payment. Further, as per para 11 of the impugned judgment, within 15 days demand notice has not been received by the respondent. Therefore, appellant’s complaint is time barred. Learned trial Court has rightly dismissed appellant’s complaint. No interference is required to the same. Hence, appeal filed by the appellant be dismissed.
5. Heard. Perused record of the case.
Analysis and findings :-
6. From impugned judgment as well as complaint filed by the appellant/complainant and testimonies of complainant G.D.Narang (PW-1), Dr.Ajay Narang (PW-2), Ashok Dubey (PW-3) and respondent/accused’s examination under section 313 of Cr.P.C. and documents (Ex.P/1 to P/9), it stands clearly established and there is no dispute with respect to that appellant is land lord and owner of house No.H-X-1, HIG duplex situated E-7, Shahpura, Bhopal and in aforesaid house respondent/accused was residing as tenant, Ex.P/1’s cheque was issued by respondent/accused for payment of rent and it got dishonored on account of insufficient fund.
7. Sole issue before this Court is as to whether Ex.P/4’s demand notice was issued within limitation as prescribed under proviso (b) of section 138 of NI Act, which reads as under :
“Provided that nothing contained in this section shall apply unless ……...
(b) the payee or the holder in due course of the cheque, as the case may be, makes a demand for the payment of the said amount of money by giving a notice in writing, to the drawer of the cheque, within fifteen days of the receipt of information by him from the bank regarding the return of the cheque as unpaid; and”
8. Aforesaid provision has been dealt with and discussed by Hon’ble apex Court in the case of C.C.Alavi Hajzi (supra), which is as under :
“7. The issue with regard to interpretation of the expression giving of notice used in Clause (b) of the proviso is no more res inte
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