The court ruled that a complainant must provide documentary evidence establishing their link to a firm to pursue a dishonoured cheque claim, emphasizing the burden of proof lies on the complainant.

Hon'ble Shri Deepak Kumar Tiwari, J Judgment on Board

29/08/2025

1. The present Acquittal Appeal has been preferred against the judgment dated 4^th September, 2019 passed by the Additional Sessions Judge, Kabirdham in CRA No.101/2018 whereby the Additional Sessions Judge while allowing the Appeal, set aside the judgment of conviction and order of sentence passed by the Judicial Magistrate 1^st Class, Kawardha, in Criminal Case No.324/2018, whereby the respondent/accused has Digitally signed by KRISHNA KRISHNA KUMAR KUMAR BARVE BARVE Date:

2025.08.29 +0530 been convicted under Section 138 of the Negotiable Instrument Act, 1881 and sentenced to undergo RI for 6 months & to pay a fine of Rs.5,000/-, in default of payment of fine to further undergo RI for 3 months.

2. Facts of the case are that the appellant/complainant has filed a complaint case on 26^th March, 2018 stating that he is the permanent dealer of the Sonalika Tractors. On 16.1.2017, the respondent/accused has purchased a Rota Vetar on credit vide bill Ex.-P/7 and promised to pay the cost of the said item/goods within a period of 3 months. On repeated demands, the respondent/accused has given the cheque dated 30.10.2017 (Ex.-P/1) in the name of the firm namely, Tara Motors. When the said cheque was presented for encashment (Ex.-P/2), the same got dishonoured, which was communicated by the Bank vide Ex.-P/3. Thereafter, legal notice (Ex.-P/4) was sent through registered post vide Ex.-P/5, which was received by the respondent/accused vide acknowledgment (Ex.-P/6). Despite receiving the said notice, when the cheque amount was not paid, the complaint case was filed.

3. During trial, the respondent/accused abjured his guilt and claimed to be tried.

4. In order to prove his case, the complainant has examined himself and exhibited 8 documents viz. Cheque (Ex.-P/1), deposit slip (Ex.-P/2), return memo (Ex.-P/3), legal notice (Ex.-P/4), postal receipt (Ex.-P/5), postal acknowledgment (Ex.-P/6), Bill (Ex.-P/7) and copy of the ledger (Ex.-P/8). In the statement recorded under Section 313 of the CrPC, the respondent/accused has pleaded false implication and examined one defence witness i.e. the then Manager of the complainant Shamsher Singh (DW-1). The trial Court after evaluating the evidence convicted and sentenced the respondent/accused against which the respondent/ accused has preferred an Appeal, which was allowed by the impugned judgment.

5. Learned counsel appearing on behalf of the appellant would submit that the appellate Court has not appreciated the evidence in proper perspective, though the trial Court has assigned cogent reasons for recording conviction, and the finding is well merited, however, without assigning cogent reasons, the appellate Court has reversed the said finding. Learned counsel for the appellant prays to allow the Appeal and convict the respondent/accused.

6. None appears for the respondent though served.

7. I have heard learned counsel for the appellant and perused the impugned judgment of acquittal as also other material available on record with utmost circumspection.

8. Admittedly, the cheque (Ex.-P/1) was drawn in the name of the firm Tara Motors and the complaint has also been filed by Pravin Kesharwani (CW-1), as Proprietor/Partner of the said concern. In support of the complaint, no documentary evidence has been filed. Learned counsel for the appellant has also not disputed the aforesaid fact.

9. In the matter of Milind Shripad Chandurkar Vs. Kalim M. Khan [ (2011) 4 SCC 275 ], it has been observed that if the complainant has no documentary evidence to prove nexus or connection between the alleged proprietor of the firm and the firm, he has no locus standi to file the complaint under the NI Act and mere statement on affidavit in this regard is not sufficient to meet the requirement of law. Para 26 & 27 of the aforesaid judgment are reproduced here