2022 Supreme(Telangana) 614
G. RADHA RANI
K. Suri Babu , Surendra Babu – Appellant
Versus
U. Ramesh – Respondent
Advocates:
Advocate Appeared:
For the Petitioner: L Harish
For the Respondent: Sakinala Ravi Kumar
Judgement Key Points
Based on the provided legal document, here are the key points:
- The Criminal Revision Case was filed by the petitioner-accused, K. Suri Babu and Surendra Babu, aggrieved by the judgment dismissing their appeal and modifying the sentence in a case involving the dishonour of a cheque for Rs. 2,50,000/- (!) (!) .
- The core dispute involves a loan of Rs. 2,50,000/- advanced by the complainant to the accused on 08.02.2012, which was to be repaid within six months (!) .
- The accused issued a cheque (No. 597213) dated 28.01.2013 to repay the loan, but it was dishonoured twice: first due to insufficient funds and subsequently because the account was marked as inoperative/dormant (!) .
- A legal notice was sent by the complainant on 19.02.2013, which was refused by the accused, leading to deemed service under Section 27 of the General Clauses Act and Section 114 of the Indian Evidence Act (!) (!) .
- The accused's primary defence was that the actual loan amount was only Rs. 50,000/- and that the complainant lacked the financial capacity to lend the full amount or file the necessary income tax returns (!) (!) .
- The trial court and lower appellate court held that the accused failed to rebut the presumptions under Section 118(a) and Section 139 of the Negotiable Instruments Act, as mere denial of the loan amount or lack of income tax returns is not sufficient evidence (!) (!) .
- The High Court rejected the argument that the omission of the Advocate's signature on the legal notice rendered it invalid, citing various High Court precedents stating that such omission is not fatal if the notice reaches the accused and the facts are established (!) (!) (!) (!) (!) (!) .
- Relying on the Hon'ble Apex Court's decision in Kalamani Tex and another v. P. Balasubramanian, the Court affirmed that once the signature on the cheque is admitted, the burden shifts to the accused to discharge the presumption with a defence meeting the "standard of preponderance of probability," not mere possibility (!) (!) .
- The Court found the accused's defence regarding the loan amount and the complainant's financial status inconsequential and lacking the required standard of probability, especially given the existing business relationship between the parties in the construction field (!) .
- Consequently, the Criminal Revision Case was dismissed, confirming the conviction under Section 138 of the Negotiable Instruments Act (!) .
- As per the principles laid down in Kalamani Tex, the sentence of imprisonment was modified to a fine of Rs. 5,00,000/- (double the cheque amount) to be paid as compensation, with a stipulation of two years' simple imprisonment in case of default (!) (!) .
ORDER :
This Criminal Revision Case is filed by the petitioner-accused aggrieved by the judgment dated 31.07.2019 passed in Criminal Appeal No.794 of 2017 by the Additional Metropolitan Sessions Judge for trial of Jubilee Hills Car Bomb Blast Case cum Additional Family Court cum XXIII Additional Chief Judge cum IX Additional Metropolitan Sessions Judge, Hyderabad in dismissing the appeal by modifying the sentence of simple imprisonment from six months to three months while maintaining payment of compensation of Rs.2,50,000/- (cheque amount) in default, to undergo simple imprisonment for three months as imposed by the XII Special Magistrate, Hyderabad at Erramanzil vide judgment dated 11.07.2017 in CC.No.134 of 2016.
2. The parties are hereinafter referred as arrayed before the trial court.
3. The case of the complainant was that the accused had borrowed a sum of Rs.2,50,000/- from the complainant as hand-loan on 08.02.2012 and promised to repay the loan amount within six months but failed to repay the same within the stipulated time. On demand by the complainant, the accused issued a cheque bearing No.597213 dated 28.01.2013 for Rs.2,50.000/- drawn on State Bank of India, Vanastha
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