IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 17^TH DAY OF APRIL, 2025 BEFORE THE HON'BLE MR JUSTICE RAMACHANDRA D. HUDDAR CRIMINAL APPEAL NO. 622 OF 2023 (A)

BETWEEN:

SRI. H.R. PILLAPPA AGED ABOUT 54 YEARS CHIEF EXECUTIVE OF ADISHAKTHI THOTAGAARARA PATTHINA SAHAKARA SANGHA NO.273/3, 17^TH CROSS, 8^TH MAIN THANAPPA GARDEN SAMPANGIRAMA NAGAR BANGALORE-27 …APPELLANT (BY SRI. VASANTH KUMAR N, ADVOCATE)

AND:

SRI. C. MUNINARAYANAPPA S/O CHIKKANARAYANAPPA AGED ABOUT 46 YEARS Digitally signed by SHAKAMBARI RESIDING AT NO.BHIMAPURA VILLAGE Location: High NANDUGUDI HOBLI, HOSKOTE TALUK Court of Karnataka BANGALORE RURAL DISTRICT …RESPONDENT (BY SRI. SHARATH S. GOWDA, ADVOCATE)

THIS CRIMINAL APPEAL IS FILED U/S 378 (4) OF CR.P.C PRAYING TO SET ASIDE THE JUDGMENT AND ORDER OF ACQUITTAL DATED 01.09.2022 PASSED BY THE XXVI ADDITIONAL CHIEF METROPOLITAN MAGISTRATE BENGALURU IN C.C. NO.25634/2018 BY ALLOWING THIS CRIMINAL APPEAL AND CONVICT AND SENTENCE THE RESPONDENT/ACCUSED FOR THE OFFENCE WITH WHICH HE WAS CHARGED.

THIS CRIMINAL APPEAL HAVING BEEN RESERVED FOR JUDGMENT, COMING ON FOR PRONOUNCEMENT THIS DAY, THE COURT, DELIVERED/PRONOUNCED THE FOLLOWING:

CORAM: HON'BLE MR JUSTICE RAMACHANDRA D. HUDDAR

CAV JUDGMENT

(PER: HON'BLE MR JUSTICE RAMACHANDRA D. HUDDAR) This appeal is directed against the judgment of acquittal dated 01.09.2022 passed in CC No.25634/2018 by the XXVI ACMM, Bengaluru.

Facts of the Case:

2. The complainant-appellant, being the CEO in Adishakthi Thotagarara Pattina Sahakara Sangha registered Society with due authorization, filed complaint against the accused alleging offence under Section 138 of Negotiable Instruments Act, 1881 (in short `the NI Act'). It is the case of the complainant that, accused and his family members approached the complainant Society asking for a loan of Rs.16,00,000/- by mortgaging their property. Based upon that request, complainant-Society sanctioned a loan of Rs.6,00,000/- and credited to the account of the accused vide loan Account No.338 by way of a cheque bearing No.867933 drawn on Apex Co- operative Bank Ltd., Chamarajpet Branch, Bengaluru on 13.06.2015. At the time of availing loan, accused assured to pay the installments towards loan regularly but, it is alleged, that accused became chronic defaulter. The complainant-Society requested the accused to repay the loan amount and finally accused issued a cheque for Rs.2,00,000/- on 22.04.2018 drawn on Canara Bank, Tavarakere Branch, Hosakote. When the said cheque was presented for encashment, it was returned as "funds insufficient' by endorsement dated 05.06.2018. It is the case of the complainant that, thereafter, the complainant- Society issued a statutory notice on 22.06.2018 which was duly served on the accused. Despite service of notice, accused did not pay the cheque amount, therefore, the complainant-Society filed a private complaint before the trial Court.

3. On filing the complaint, the trial Court took cognizance of offence after recording sworn statement, as prima facie case was made out, issued process against the accused and accordingly the criminal case stated supra came to be registered against the accused for the offence under Section 138 of NI Act. The accused pleaded not guilty before the trial Court and claimed to be tried.

4. The complainant-H.R.Pillappa being the CEO of the complainant-Society was examined as PW.1 to prove the case against the accused and produced eight documents which were marked as EX.P1 to P8. The accused was questioned under Section 313 of Cr.PC. He denied his complicity in the crime and did not lead any defence evidence.

5. On hearing the arguments of both the side, the learned trial Court framed in all three points for consideration and answered point nos. 1 and 2 in the affirmative and point no.3 in the negative and ultimately, dismissed the complaint and acquitted the accused of the offence under Section 138 of NI Act. Being aggrieved by the findings on point nos. 1 and 2, the accused has not prefer