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Bangalore District Court

Ms. Sangeetha .B vs Mr. Edwin Bhaskar .M on 16 March, 2017

IN THE COURT OF THE XXII ADDL.CHIEF METROPOLITON
          MAGISTRATE, BANGALORE CITY.

            Dated this the 16th day of March , 2017,

   PRESENT: SRI. NAGARAJEGOWDA.D, B.Com., LL.B.,
              XXII Addl.C.M.M., Bangalore City.


                 JUDGMENT U/S 355 OF Cr.P.C.


                      C.C.No.9209/2016

Complainant            : : Ms. Sangeetha .B,
                           D/o. Late Shanthraj,
                           Aged about 30 years,
                           Occupation : Staff Nurse,
                           R/at No.49, 3rd Floor,
                           7th Main Road, 3rd Block,
                           Thyagarajanagar,
                           Bangalore-560028.

                          (By K.N. Theertha Kumar, Adv.)

                                 V/s.

Accused                : Mr. Edwin Bhaskar .M,
                         S/o M. Dheenakar,
                         Aged about 46 years,
                         Occupation : Business,
                         R/at No.17-5-303,
                         Near S & IG Mission Church,
                         Hasanabad, Hindupur Town,
                         Anthpur District-515201,
                         Andra Pradesh State.

                         (By Sri.Peetla. Prasad, Adv.)
Date of Institution    : 04-04-2016.

Offence complained of : U/s 138 of N.I.Act.
                                  2                    C.C.No.9209/2016


  Plea of the accused     : Accused is pleads not guilty
  Final Order             : Accused is Acquitted.
  Date of Order           : 16.03.2017.




     The complainant filed the private complaint u/s 200 of

Cr.P.C alleging that, the accused person has committed an offence

punishable u/S 138 of the N.I.Act.


                            REASONS


     The brief facts of the complainant case is as follows:-


   2. The accused is a acquaintance of the complainant and he

approached the financial assistance for the purpose of domestic

commitments complainant had paid sum of Rs.6,00,000/- during

the 3rd week of December 2014mobalizing funds from her savings

and taking personal loan sum of Rs.3,50,000/- from the Vijaya

Bank, Jayanagara Branch on 14.11.2014 and the accused had

agreed to repay the said amount with in six months and also

agreed to pay interest at the rate of 12% per annum separately and

to discharge the said legally enforceable debt or liability, the

accused had issued a cheque bearing No.000362 dated 03.11.2015

sum of Rs.6,00,000/- drawn on Axis Bank, Hindupur Branch,
                                    3                 C.C.No.9209/2016


Hindupur in favour of complainant.       The complainant presented

the said cheque on 03.11.2015 and 16.12.2015 to her bank Vijaya

Bank, Jayanagara Branch, Bangalore as the accused had issued

the said cheque without maintaining sufficient funds in his

account.    Hence the said cheque returned unpaid with an

endorsement "Funds Insufficient" on 27.01.2016.      This fact has

been intimated to the accused but the accused did not repay the

amount covered under the cheque.         Hence the complainant got

issued legal notice to the accused on 10.02.2016 RPAD the said

notice is returned with the shara 'not claimed' and thus the

accused has committed an offence punishable under Section 138

of Negotiable Instruments Act and orderered for payment of

compensation out of the fine amount under Section 357 of Cr.P.C.

in the interest of justice and equity.


      3. The accused appeared and contest of this case by denying

the entire case of the complainant at the time of recording plea of

accusation. In support of the case of complaint examined himself

as PW.1 by way of affidavit got marked Ex.P1 to Ex.P8 and at the

time of cross examination of DW.1 got marked Ex.P9 to Ex.P11 and

this PW.1 has been fully cross examined by the accused counsel

and thus the complainant closed her side evidence.
                                    4                  C.C.No.9209/2016


     4.   There afterwards the accused examined under Section

313 Cr.P.C. statement in which he totally denied the entire case of

the complainant in support of the denial lead his side evidence filed

by way of affidavit as DW.1 and got marked Ex.D1 to Ex.D6. DW.1

has been fully cross examining by the complainant counsel and

thus the accused closed his side evidence.


     5.   I have heard the argument of complainant counsel on

merit.    In support of his contention the learned counsel for

complainant relying on the decision reported in


                 1. 2004(4) KCCR 1816

                 2. AIR 2002 SC 3014

                 3. 2006(2) DCR 514

                 4. (2015) 1 SCC 99

                 5. 2013 STPL(DC) 20 KCR Hon'ble High Court of

                   Karnataka

                 6. 2007 STPL (CD) 1060 KCR Hon'ble High Court

                    of Karnataka

                 7. 2013 STPL(DC) 1892 KCR Hon'ble High Court

                    of Karnataka

                 8. 2013 STPL (DC) 679 Supreme Court of India

                 9. 2014 STPL (DC) 889 DEL

                 10. 2009 (4) AKAR (NOC) 71 (ORI)
                                  5                    C.C.No.9209/2016


and thus he prays for convict the accused in accordance with law.


     6. In support of the case of the accused the learned counsel

for the accused submitted written argument by narrating the facts

and circumstances of the case and he too also relied on the

decision reported in


                 1. 2015 (1) ACC 99

                 2. AR 2009 NOC 2327 Bombay

                 3. 2014 (2) SCC 236

                 4. AIR 2008 SC 1325

                 5. DCR 2008 (1) 151

                 6. ILR 2009 Karnataka 172

                 7. ILR 2009 (Karnataka) 4629

                 8. ILR 2007 (Karnataka) 2709

                 9. 2009 (1) Crimes 196 (Bombay)

                 10. 2008 (4) Crimes 196 (Bombay)

                 11. 2009 (2) Crimes 559 (MED)

                 12. ILR 2009 (Karnataka) 1633 (SC)

                 13. AIR 2009 SC 1598

                 14. 2010 (1) KCCR 94

Accordingly the learned counsel for the accused prays for acquittal

of the accused in accordance with law.
                                   6                      C.C.No.9209/2016


     7. In order to prove the case of complainant she examined as

PW.1 filed by way of affidavit in which she reiterated complaint

contention and got marked Ex.P1 cheque alleged to be issued by

the accused and identified his signature of the accused as Ex.P1a.

This issuance of cheque has been disputed by the accused and

stated that the alleged cheque was issued to one Hindupur

Muttanna towards loan amount of Rs.1,00,000/- during the year

2013 and issued cheque for the purpose of security. Ex.P2 is the

endorsement issued by the bankers stating that Ex.P1 cheque was

dishonored due to "Funds Insufficient". Ex.P3 and Ex.P4 are the

another   two   endorsements    stating   that   Ex.P1    cheque    was

dishonored due to "Funds Insufficient". Ex.P5 is the copy of legal

notice this notice does not contain signature of complainant except

her counsel. Ex.P6 is the RPAD postal receipt for having sent the

legal notice to the accused. Ex.P7 is the RPAD postal cover sent to

the accused was returned with the postal share 'Intimation

delivered not claimed' etc,. Ex.P7a is the notice in it. Ex.P8 is the

Vijaya Bank Statement of account stands in the name of

complainant in which during the year 2014 as on 29.11.2014 she

had bank balance of Rs.1,33,000/- and add. Ex.P9 is the earlier

cheque issued by the accused an amount of Rs.49,000/- dated
                                   7                   C.C.No.9209/2016


18.03.2015 was dishonored due to "Funds Insufficient".        As per

Ex.P10 endorsement issued by the bankers. At the time of cross

examination of DW.1 got marked Ex.P9 and Ex.P10 and also phone

call message taken between the complainant and accused as per

Ex.P11 during the year 2015. On the basis of these documentary

evidence the complainant has not specifically stated on which

dated she paid huge amount of Rs.6,00,000/- to the accused

except stated during the 3rd week of December 2014 as per case of

complainant the accused issued a cheque during year 2015 and

she was presented the said cheque for collection two times i.e. in

the month of November and December.          Further more that the

contents of Ex.P1 cheque and signature on the cheque are in

different hand writing.    Though the demand notice sent to the

accused to his Hindupura Town Andhra Pradesh but the same is

returned with the postal shara intimation delivered not claimed

etc,.   Further with respect of Ex.P9 earlier cheque issued by the

accused was dishonored due to "Funds Insufficient" but the

complaint has not stated anything about the said cheque in the

complaint.


        8. The accused has denied the entire case of the complainant

in support of his denial lead his side evidence as DW.1 filed on
                                 8                    C.C.No.9209/2016


behalf of affidavit in which he has stated that has not at all

obtained any loan amount from the complainant but at Para-4 of

chief examination one Mr.M.Muttanna obtained loan amount of

Rs.1,00,000/- from the complainant after few days the complaint

was demanded a blank cheque from him for security purpose.

Mr.M.Muttanna was approached this accused and he has issued

Ex.P1 cheque as a security to the complainant. There afterwards

the said Mr.Muttanna few months later he repaid loan amount was

cleared with interest to the complainant. But the complainant did

not return the security cheque by saying one or other false

reasons. The complainant has not issued any legal notice but he

received the summons from the Court the same was issued by the

concerned police and hence he has not committed an offence has

alleged by the complainant accordingly he prays for acquittal from

this case. In order to show he deposited Rs.15,000/-, Rs.5,000/-

and Rs.10,000/- to the Vijaya Bank account of the complainant

during the year 2014 he produced the said deposit slip and also in

order to show he is working at Indigo Security Services, further

produced his Axis Bank statement of account as per Ex.D1 to

Ex.D6 and thus prays for acquittal from this case.    In the cross

examination of DW.1 he admitted that he visited to the death
                                  9                   C.C.No.9209/2016


function of complainant father but he denied that had good

relation with the complainant and he made several money

transaction, but he admitted that Ex.P1 cheque and the signature

found on the Ex.P1a is belongs to this accused, but he denied that

in order to repay the loan amount borrowed from the complainant

of Rs.6,00,000/- he is issued the said cheque. Further he denied

that apart from the said loan amount he also obtained some other

loan amount from the complainant for that he had issued Ex.P9

cheque and the same was dishonored but he denied that had a

mobile phone number through his mobile number sent a message

to the complainant, but he had admitted that after showing the

contents of the message same has been admitted by him but has

denied that the accused issued Ex.P1 cheque to one Mr.Muttanna

and the said Mr.Muttanna given this Ex.P1 cheque to this

complainant filed false case and also he denied that after issuance

of demand notice to this accused was returned with the postal

shara not claimed, but he admitted that the summons issued in

the case duly served to this accused and also admitted that the

addresses stated in the Ex.P7 postal letter is belongs to this

accused.   Further he admitted that he had not taken any steps

against the complainant or Mr.Muttanna for misusing of Ex.P1
                                  10                  C.C.No.9209/2016


cheque except the denial of the contention of the accused

complainant has not produced any corroborative evidence to

support her case.


     9.   In support of the case of the complainant the learned

counsel for complainant vaminently argued before this Court that

the complainant had fulfilled all the ingredients of the offences

punishable under Section 138 of Negotiable Instruments Act and

hence punish the accused in accordance with law. In support of

the case of complaint the complaint relying on the decision

reported in 2004(3) KCCR 1816 (Mohan V/s Mohan Naidu) in

which the Hon'ble High Court of Karnataka held that once the

issue of cheque and the signature of it is admitted, Court has to

presume that the cheque has been issued for discharging the debt

or liability. Further relying on the decision reported in AIR 2002

Supreme Court 3014 (C.D.S. Ltd V/s Beemna Shabeer and

another) in which the Hon'ble Supreme Court of India held that

cheque issued by guarantor cannot be said to have not been issued

for purpose of discharging any debt or liability. Further relying on

the decision reported in 2006 (2) DCR 514 (R.Sivaraman V/s The

State of Kerala and Others) in which Hon'ble Kerala High Court

held that cheque had been issued for a debt or liability-But burden
                                  11                   C.C.No.9209/2016


of proving that cheque had not been issued discharge of a debt or

liability is on accused unless rebutted same. Further relied on the

decision reported in (2015) 1 SCC 99 (K. Subramani V/s K.

Mamodara Naidu) in which the Hon'ble Supreme Court of India

held that Dishonor of cheque-Legally recoverable debt nor proved

as complainant could not prove source of income from which

alleged loan was made to the accused etc,. Further relying on the

decision reported in 2013 STPL (DC)20 KAR (Sri.Prakash @

Gnanaprakash V/s T.S. Susheela) in which Hon'ble High Court of

Karnataka held that plea of non services of valid notice but notice

sent by registered post on correct address hence Section 114 of

Indian Evidence Act and Section 27 of General Clause Act available

to prosecution. Further relying on the decision recorded in 2007

STPL (DC) 1060 Karnataka (Jayamma V/s Lingamma) in which the

Hon'ble High Court of Karnataka held that presumption of services

of notice should be presumed to have been served if it is sent to the

correct address. Further relied on the decision recorded in 2013

STPL (DC) 1892 KAR (M.D. Ramakrishnaiah V/s V.Javaregowda) in

which Hon'ble High Court of Karnataka held that the signature of

the cheque is admitted except disputing hand writing on the

cheque but it appears that there is no need for Court to seek
                                   12                       C.C.No.9209/2016


assistance of hand writing expert. Further relied on the decision

recorded in 2013 STPL (DC) 679 Supreme Court (Vijay V/s Laxman

and Another) in which Hon'ble Supreme Court of India held that

burden of proving the consideration for dishonor of the cheque is

not on the complainant but the burden upon to the accused etc,.

Further relied on the decision recorded in 2014 STPL (DC) 889

DECL (Vijay Power Generators Ltd V/s Annai Engineering Works

and Another) in which Hon'ble Delhi High Court held that cheque

issued towards payment of price of goods, hence it is held that the

cheque has been issued for discharge of liability and lastly relying

on the short note in 2009 (4) AKAR (NOC) 717 (ORI) (Gyanaranjan

Patnayak V/s State of Orissa and Another).              The Court held -

Dishonor of cheque -Complainant alleged to have given fully as

advance    hand   loan   the   accused   failed    to    repay.    Hence

presumption can be drawn in favour of complainant. Hence on the

basis of aforesaid rulings the learned counsel for complainant

prays for convict the accused in accordance with law.


     10.   As per the defence taken by the accused the learned

counsel for the accused cross examining the PW.1 in the cross

examination she has stated that she               is getting salary of

Rs.30,000/- per month and she usually given any loan amount to
                                   13                     C.C.No.9209/2016


anybody by way of cash. Further she has not disclosed the loan

amount given to the anybody in her IT returns.               She paid

Rs.6,00,000/- do not know the date but in the 3rd week of

December 2014 she given loan amount to the accused and at that

time she has not obtained any documents from him, she could not

able to say how many notes out of Rs.1,000/- and Rs.500/- notes

given   to   the   accused,   hence    she   obtained   an amount     of

Rs.2,50,000/- out of the chit transaction and she withdrawn an

amount of Rs.3,50,000/- from her Vijaya Bank account.            In the

further cross examination the chit transaction run by one Murthy

and she has no obligation to pay the loan amount to the accused

by way of cheque or DD and she do not know how the accused

doing real estate business and she do not know the exact income of

accused. She came to know this accused through his father and

she voluntarily stated that when her father dead the accused

helped to the complainant financially and he paid two to three

times amount. Further she admitted that the accused is not at all

residing in Karnataka State but he residing at Hindupur, Andhra

Pradesh and the accused residing in the address other than the

address stated in the cause title of the complaint and she did not

had any bank account at Vijaya bank other than the SB account.
                                  14                      C.C.No.9209/2016


Her father was dead on 10.12.2012 due to road accident and her

father was hospitalized in the Ramaiah Hospital Rs.3,00,000/-

made a expenses of the said amount has been paid by this

complainant and she do not know how much has been mad

expenditure for construction of her house during year 2014 and

she has not doing any finance business.      Ex.P1 cheque has been

returned by the accused and given to her but she denied that the

said cheque has been given to one Mr.Muttanna during the year

2013 and accused obtained loan amount of Rs.1,00,000/- from

him and she denied that the accused is no capacity to pay

Rs.6,00,000/- and the amount withdrawn from the Vijaya Bank

has been given to the hospital expenses on her father illness. She

has not given any amount to this accused etc,. Except the totally

denial of the case of the accused the complainant has not produced

any corroborative evidence to support on her case.


     11. In support of the case of the accused the learned counsel

for the accused submitted that written argument by narrating the

facts and circumstances of the case stating that the accused had

given rebuttal evidence to the case of complainant hence the

accused may be acquitted in accordance with law. In support of

his contention is relying on the decisions reported in
                                 15                 C.C.No.9209/2016


          1.    2015(1) SCC 99 (K. Subramani V/s K. Damodar
                Naidu

          2.    AIR 2009 NOC2327BOM (Sanjay Mishra V/s MS.
                Krishna Kapoor @ Nikki and another)

          3.    2014(2) SCC 236 (John .K. Abraham V/s Simon.
                C. Abraham and another)

          4.    AIR 2008 SC 1325 (Krishna Janardhan Bhat V/s
                S. Dattatrya G. Hegde)

     In these cases to Hon'ble Supreme Court of India held that

the complainant has to be establish sources of income to her and

then only presumption under Section 139 of N.I.Act can drawn.


     Further relied on the decisions reported in


          5.    DCR 2008 (1) Page No.151 (K. Prakashan V/s P.K.
                Surendran)

          6.    ILR 2009 (Karnataka) 172 (A. Vishwanath Pai V/s
                Sri. Vivekananda S Bhat)

          7.    ILR 2009 (Karnataka) 4629 (Shiva Murthy V/s
                Amrutharaj)

          8.    ILR 2007 (Karnataka) 2709 (Senguttuvan V/s
                Mahadeva Swamy)

          9.    2009 (1) Crimes 196 (BOM) (Sayeeda Iqbal Vakil
                V/s Javeed Abdul Latif Shaik and Another)

          10.   2008 (4) Crimes 196 (BOM) (Parukelar V/s
                Pramod Meshram)

          11.   2009 (2) Crimes 559 (MAD) Kalavally V/s

                Parthasarathy
                                  16                  C.C.No.9209/2016


           12.   ILR 2009 (Karnataka) 1633 (SC) (Kumar Exports
                 V/s Sharma Carpets)

           13.   2010(1) KCCR 94 (Smt.B. Indiramma V/s Eshwar)



     In all these cases if the complainant failed to given

corroborative evidence and the evidence of accused is to be taken

into consideration stating that presumption under Section 139 of

N.I. Act in favour of the accused, hence the learned counsel for the

accused prays for acquittal of the accused.


     12. On the basis of oral and documentary evidence of both

complainant and accused though the accused has not examined

the Mr.Muttanna in support of the case, but it is the duty of the

complainant to prove her case beyond all reasonable doubt by

stating specific date of which she advanced the loan amount to the

accused. Further the complainant also establish that the accused

is also due towards the interest as stated in her complaint.     As

such the case of complainant creates doubtful, the accused given

rebuttal evidence to the case of complainant.       What ever the

argument addressed by the complainant counsel and ruling relied

by him as stated above are not directly applicable to the case of

complainant. On the other hand written argument coupled with

the defence evidence and the documentary evidence and also list of
                                     17               C.C.No.9209/2016


citations as stated above produced on behalf of accused are

applicable to the case of accused to show that the accused had

given rebuttal evidence to the case of complainant. As such the

accused is entitle for acquittal. Accordingly, I proceed to pass the

following.


                               ORDER

The complaint u/s. 200 Cr.P.C., filed by the complainant is hereby dismissed.

The accused is acquitted from the alleged offences punishable under Section 138 of N.I. Act and the accused set at liberty and his bail bond if any stands cancelled.

(Dictated to the Stenographer, transcribed and computerized by him, corrected and then pronounced by me in the open court on this the 16th day of March, 2017) (NAGARAJEGOWDA.D) XXII ACMM, Bangalore city.

ANNEXURE Witnesses examined for the Complainant:

PW.1 : Ms. Sangeetha .B Witness examined for the accused:

DW.1 : Mr. Edwin Bhaskar .M, List of Documents marked for the Complainant:
Ex.P1                    : Cheque
                               18                   C.C.No.9209/2016


Ex.P1a              : Signature of the accused
Ex.P2               : Bank Endorsement
Ex.P3 and Ex.P4     : Another two endorsements
Ex.P5               : Copy of Legal Notice
Ex.P6               : RPAD Postal receipt
Ex.P7               : RPAD Postal cover
Ex.P7a              : Notice in it
Ex.P8               : Vijaya Bank Statement of Account
Ex.P9               : Earlier cheque
Ex.P10              : Bank endorsement
Ex.P11              : List of Phone Messages
List of Documents marked for the accused:
Ex.D1 : Deposit of Accounts Counter foils. Ex.D2 : Deposit of Accounts Counter foils. Ex.D3 : Deposit of Accounts Counter foils.
Ex.D4              :   ID Card of Accused
Ex.D5              :   Letter of Indigos
Ex.D6              :   Statement of Bank Account of the Accused


                               XXII ACMM, Bangalore.