1. The complainant in a prosecution for the offence punishable under S.138 of the Negotiable Instruments Act, 1881 (for short 'the NI Act') is the appellant since he is aggrieved by the judgment dated 05/08/2011 in STC No. 12515 of 2008 of the Court of Judicial First Class Magistrate - III, Kannur, by which the learned Magistrate acquitted the accused under S.255(1) of the CrPC.

2. The case of the complainant is that, the accused borrowed a total sum of Rs.5 lakhs from the complainant during the month of August 2006 and issued a post dated cheque dated 09/10/2006 towards the discharge of the said liability and when the said cheque presented for encashment, the same was returned dishonoured for the reason, 'funds insufficient' in the account maintained by the accused and the accused has not repaid the dishonoured cheque amount, inspite of the statutory notice served on the accused and thus according to the complainant, the accused has committed offence punishable under S.138 of the NI Act.

3. With the above allegation, by filing a complaint, the complainant approached the Court of Judicial First Class Magistrate - I, Kannur, wherein cognizance was taken and instituted STC No. 269