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IN THE HIGH COURT OF KARNATAKA AT BENGALURU
DATED THIS THE 8TH DAY OF FEBRUARY, 2022
BEFORE
THE HON’BLE MR. JUSTICE RAJENDRA BADAMIKAR
CRIMINAL APPEAL No. 1237/2018
BETWEEN:
MR. PRAKASH SHETTY
S/O SRI. MANJUNATH
AGED ABOUT 41 YEARS
R/AT, NO.36(7), 1ST MAIN ROAD
1ST STAGE, MANJUNATH NAGAR
BENGALURU-560 010
….APPELLANT
(BY SRI. N.R. RAGHAVENDRA, ADVOCATE)
AND:
SRI. VENKATESHA
S/O LATE NEELAPPA
AGED ABOUT 45 YEARS
R/AT. NO.106, PIPELINE ROAD
KURABARAHALLI
BENGALURU-560 086
AND ALSO AT
SRI. VENKATESHA
S/O LATE NEELAPPA
AGED ABOUT 45 YEARS
R/AT. NO.204, 7TH CROSS ROAD
MANJUNATH NAGAR
BENGALURU-560 010
…. RESPONDENT
(BY SRI. G.M. GADILINGAPPA, ADVOCATE)
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THIS APPEAL IS FILED UNDER SECTION 378(4) OF CR.P.C.
PRAYING TO SET ASIDE THE JUDGMENT OF ACQUITTAL DATED
30.04.2018 PASSED BY THE XXII ADDL.C.M.M., BENGALURU IN
C.C.NO.9997/2017-ACQUITTING
THE
RESPONDENT/ACCUSED
FOR THE OFFENCE P/U/S 138 OF N.I.ACT.
THIS APPEAL HAVING BEEN HEARD AND RESERVED FOR
JUDGMENT ON 14.01.2022, COMING ON FOR ‘PRONOUNCEMENT
OF JUDGMENT’ THIS DAY, THE COURT DELIVERED THE
FOLLOWING:
This appeal is filed by the complainant/appellant under
Section 378(4) of Cr.P.C. against the judgment and order of
acquittal passed by the XXII ACMM, Bengaluru (‘trial Court’
for short) in C.C.No.9997/2017 dated 30.04.2018, whereby
the sessions judge has acquitted the accused/respondent
for the offence punishable under Section 138 of Negotiable
Instruments Act, 1881 (‘NI Act’ for short).
2.
For the sake of convenience parties herein are
referred to their original ranks occupied by them before the
trial Court.
3.
The brief factual matrix leading to the case are
as under:
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That the complainant is running his own bakery in the
name and style of Prakash Tea House(Bakery) and accused
is doing real estate business. That in the first week of
October 2015, the complainant has approached the accused
with an intention to purchase the site and accused has
agreed for the same. That in the second week of October,
2015, the accused has shown the complainant the sites
bearing
Nos.36,
37
and
38
in
Dwarakanagar,
Chikkabanavar, Bengaluru City and then the complainant
had paid a sum of Rs.12,50,000/- as an earnest amount.
That the accused has failed to get register the sites in
favour of the complainant inspite of persistent demands
made by the complainant and on 05.12.2015 there was an
agreement entered between the parties. Then accused has
issued
a
cheque
dated
05.12.2015
for
a
sum
of
Rs.12,50,000/- after execution of the agreement and asked
the complainant for presenting the cheque for encashment
on 21.02.2017. The complainant has presented the said
cheque on 21.02.2017 and same was returned with a shara
as ‘insufficient funds’. Then on 01.03.2017 the complainant
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had issued a legal notice to the accused. The accused did
not repay the said amount nor replied to the notice and
hence, the complainant has filed a complaint under Section
200 of Cr.P.C. alleging that accused has committed an
offence under Section 138 of NI Act.
4.
After submission of the complaint, the learned
magistrate has recorded the sworn statement and after
appreciating the material records he has taken cognizance
and issued process against the accused. The accused has
appeared through his counsel and was enlarged on bail. The
plea was recorded and accused pleaded not guilty. Then the
complainant got examined himself as PW.1 and also got
examined one witness on his behalf as Pw.2. Further he
placed reliance on 16 documents marked as Ex.P1 to
Ex.P16.
5.
After completion of evidence of complainant, the
statement of accused under Section 313 of Cr.P.C. is
recorded to enable the accused to explain the incriminating
evidence appearing against him in the case of the
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prosecution. The case of the accused is of total denial.
However, he did not lead any defence evidence.
6.
Having
heard
the
arguments
and
after
appreciating the evidence on record, learned magistrate
came to a conclusion that complainant has failed to prove
that the accused has availed hand loan of Rs.12,50,000/-
from the complainant and in discharge of the same he has
issued a cheque as per Ex.P1. Hence, he has acquitted the
accused of the charge under Section 138 of NI Act.
7.
Being aggrieved by this judgment of acquittal the
complainant has filed this appeal.
8.
Heard the arguments advanced by both the
counsels and perused the records of the trial Court.
9.
Learned counsel for the appellant would contend
that the trial Court has committed an error in acquitting the
accused. He would further contend that there is no
challenge to the signature on the cheque and admittedly
cheque belongs to the accused and the trial Court has
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committed an error in not drawing presumption in favour of
the complainant under Section 139 of NI Act. He would
further contend that the trial Court on presumptions and
assumptions has misconceived the evidence and acquitted
the accused which has resulted in miscarriage of justice.
Hence, he would seek for setting aside the impugned
judgment of acquittal by allowing the appeal and convict
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