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2025 Supreme(Online)(Ker) 52170

IN THE HIGH COURT OF KERALA AT ERNAKULAM
C.S.DIAS, J
CAPITAL INVESTMENTS – Appellant
Versus
THANUJA – Respondent
CRL.MC NO. 2057 OF 2021 | CRRP NO.89 OF 2017 | CRMP NO.2940 OF 2017



Advocates:
For the Appellants/Petitioners: SRI.LINDONS C.DAVIS, SMT.E.U.DHANYA, SRI.RAJITH DAVIS
For the Respondents: SRI.K.V.ANIL, SMT.M.J.RAJASREE, SRI.ANIRUDH KADAVIL, PP.SRI.M.P.PRASANTH

The court highlighted the necessity of a liberal interpretation of procedural rules to ensure substantial justice in cases of delay in filing complaints.

Headnote:The court analyzed the interpretation of Section 138 of the Negotiable Instruments Act, 1881, focusing on the complainant's ability to file a complaint despite a delay caused by the respondent's assurances of settlement. The Court found the dismissal of the condonation application erroneous since it emphasized the merit of cases over technicalities. The key issue was whether the 18-day delay in filing the complaint warranted condonation, with the court underscoring that a liberal interpretation of Section 142(b) ensures substantial justice. The court ruled to allow the appeal, set aside previous orders, and conditionally reinstated the complaint.

Table of Content
1. complaint filed alleging offence under n.i. act (Para 1 , 2)
2. petitioner’s argument regarding delay in filing (Para 3 , 4)
3. finding on necessity of evidence for condonation (Para 6 , 7)
4. court's emphasis on substantial justice over technicality (Para 8 , 9)
5. final decision on setting aside previous orders (Para 10)

ORDER

Dated this the 19th day of November, 2025 The petitioner is the complainant in CMP No.2939/2017 on the file of the Court of the Chief Judicial Magistrate, Thrissur (‘Trial Court’, in short), which has been filed against the 1st respondent alleging the commission of the offence punishable under Section 138 of the Negotiable Instruments Act, 1881 (‘N.I.Act’, in short).

2. The petitioner had filed Annexure A1 complaint along with Annexure A2 application to condone the delay of 18 days in filing the complaint. However, by the impugned Annexure A3 order, the Trial Court dismissed the application on the ground that the petitioner did not let in any oral evidence to prove the delay. Aggrieved by Annexure A3 order, the petitioner preferred Crl.R.P.No.89/2017 before the IVth Additional Sessions Court, Thrissur (‘Revisional Court’, in short). However, by Annexure A5 order the Revisional Court also dismissed the revision petition confirming Annexure A3 order on the finding that there are no sufficient grounds to condone the delay. Annexures A3 and A5 orders are palpably wrong and erroneous. This Court inSathya Narayanan K.S. v. Preethi and another ( 2015 (5) KHC 679 ) has categorically held that Section 142 (b) of the N.I.Act should be liberally construed so as to give substantial justice to the party. Likewise inAbdurehiman v. Sethu Madhavan ( 2006 KHC 1113 ), this Court has held that there is no necessity to adduce oral evidence in order to condone the delay in filing an application under (b) of the N.I.Act. Hence Annexures A3 and A5 orders may be quashed.

3. I have heard the learned Counsel for the petitioner, the learned Counsel for the 1st respondent and the learned Public Prosecutor.

4. It is not in dispute that the petitioner had filed Annexure A1 complaint with a delay of 18 days. Along with the complaint, the petitioner filed Annexure A2 petition to condone the delay of 18 days.

5. The proviso to clause (b) of Sub-Section (1)

of Section 142 of the N.I.Act empowers the Court to take cognizance of offence under the Act, after the prescribed period, if the complainant satisfies the Court that he was precluded from filing the complaint within the prescribed time period, due to sufficient cause.

6. It is the petitioner’s case in Annexure A2 petition that they did not file the complaint within the prescribed time period because the 1st respondent had approached them and assured to settle the matter. It was on the said belief that the petitioner did not file the complaint within the stipulated time period. Nevertheless, as the 1st respondent failed to settle the matter, the petitioner was constrained to file the complaint along with Annexure A2 petition to condone the delay of 18 days.

7. The Trial Court, on the finding that the petitioner did not adduce oral evidence, dismissed the said application, which order was confirmed by the Revisional Court.

8. It is settled law that a litigation is to be decided on its merits rather than on technicalities.

9. Moreover in Sathya Narayanan’s case (supra) this Court has held that Section 142 (b) is to be liberally construed so as to ensure that the parties get substantial justice. Also in Abdurehiman’s case (supra), this Court has held that it is not necessary to adduce any oral evidence to prove a delay petition.

10. Taking into consideration the fact that the delay is only 18 days and that a substantial amount of Rs.1,97,000/- is involved in the cheques in question, I am of the firm view that a lenient view is to be taken in the matter, but subject to the condition that the petitioner mitigates the hardship and inconvenience caused to the 1st respondent by

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