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[Cites 6, Cited by 0]

Bangalore District Court

Against The Accused For The Offence vs To Meet Out His Domestic Commitments Has on 4 September, 2018

                             1                  CC.11811/2011 (J)




IN THE COURT OF THE XV ADDL CHIEF METROPOLITAN
         MAGISTRATE AT BANGALORE CITY.

        Dated this the 04th day of September-2018
              Present: Subhash.B.Hosakalle.
                       B.Com.,LL.B (Spl)
                       XV Addl.C.M.M., Bangalore.
          Judgment U/s.355 of the Cr.P.C. 1973.

1.Sl.No.of the case              CC.No.11811/2011



2.Name of the Complainant:       Sri.D.Nagaraja,
                                 S/o.Late Doddaiah,
                                 Aged about 43 years,
                                 No.1266, 9th Main,
                                 12th Cross, West of Chord Road
                                 Mahalakshmipuram,
                                 Bengaluru - 560 086.

3.Name of the accused:           Sri.Chikke Gowda D.T.,
                                 Aged about 41 years,
                                 No.64, Beereshwara Nilaya,
                                 4th Cross, 6th Block Annex,
                                 Church Street,
                                 Rama Temple Road,
                                 Koramangala,
                                 Bengaluru - 560 095.

                                 And also residing at:

                                 Sri.Chikke Gowda D.T.
                                 S/o.Late Thamanna Gowda,
                                 Dodda Beerana Kere village,
                                 Mayasandra (Hobli),
                                 Turuvekere (Taluk)
                                 Tumkur (District).
                                  2                       CC.11811/2011 (J)




4.The offence complained of U/s.138      of                     Negotiable
:                           Instruments Act.

5.Plea of the accused:               Pleaded not guilty.

6.Final Order:                       Acting   U/s.255(1)           Cr.P.C.,
                                     Accused is Acquitted.
7.Date of final Order                04th day of September-2018.
                            ***
    This complaint is filed U/Sec.200 of Cr.P.C., by the

complainant      against   the       accused       for    the    offence

punishable U/Sec.138 of the Negotiable Instruments Act,

1881.

    The facts in brief is as under.

     2.   That the complainant and the accused are

relatives and well acquainted with each other. Thus, the

accused to meet out his domestic commitments has

approached       the   complainant       for   a     hand       loan   of

Rs.1,95,000/-. During the second week of April-2010 the

complainant has arranged funds from his savings and

given to the accused.      It was agreed to repay the loan

amount within six months with interest @ 18% per annum.

The accused towards the discharge of legally enforceable

debt or liability has issued a cheque bearing No.016029,
                              3                 CC.11811/2011 (J)




dated 29.10.2010, drawn on Kalidas Co-oprative Bank

Limited, Karnataka Pradesh Kurubara Sangha Building,

2nd Main, Gandhinagar, Bengaluru-09 for a sum of

Rs.1,95,000/- in favour of the complainant.

     3.    The complainant presented the said cheque for

encashment purpose through his Banker by name State

Bank of India, Helicopter Division branch, Bengaluru, on

21.01.2011.   It was dishonored with an endorsement of

"Funds Insufficient" on 22.01.2011.        Accordingly on

10.02.2011 the complainant has issued a legal notice to

the accused at his both address calling upon him to repay

the cheque amount of Rs.1,95,000/-.       According to the

complainant the notice sent by RPAD to Bengaluru address

returned with an endorsement of 'not claimed' and whereas

the notice sent by RPAD to village address of the accused

was duly served on him on 27.02.2011.         It is contended

that the accused replied to the notice nor paid the cheque

amount. Accordingly he committed an offence punishable

U/s.138 of the N.I.Act. It is prayed to punish the accused.
                                4                CC.11811/2011 (J)




    4.     After     the   institution   of   the   complaint

predecessor of this Court has registered it in PCR

No.6466/2011 and took cognizance of the offence. The

sworn statement of the complainant was recorded and on

the basis of the sworn statement and other materials on

the hand the criminal case has been registered against the

accused and issued summons to the accused. In response

to the summons the accused put his appearance through

his learned counsel and got enlarged on bail. The

prosecution papers were supplied to the accused and his

plea was recorded. The accused denied the plea and

claimed for trial.
,




     5.    During trial the complainant was examined as

PW.1 and got marked Ex.P.1 to P.8. As a defence evidence

accused was examined as DW-1 and on his behalf DW-2

and DW-3 were examined and got marked Ex.C.1 and C.2.


    6.     I have heard both learned counsels appearing for

both parties, perused the entire materials and the following

points would arise for my consideration.
                                 5                   CC.11811/2011 (J)




         1. Whether the complainant proves that
           the accused towards the discharge of
           legally enforceable debt has issued
           the    cheque       for    a     sum      of
           Rs.1,95,000/-             and     on     its
           presentation for encashment purpose
           it    was    dishonored         with     an
           endorsement of "Funds Insufficient"
           and    thereby      the    accused       has
           committed    an     offence     punishable
           U/Sec.138 of N.I. Act, 1881 ?

         2. What order?
    7.     My    answers       on    the    above     points     for

consideration are as under.

Point No.1 : In the Negative

Point No.2 As per final order for the following:-

                           REASONS

    8.     Point No.1:- It is necessary to state that on

09.02.2015 this case had been disposed of by convicting

the accused with a fine amount of Rs.2,05,000/-. The

accused who aggrieved by the said Judgment has preferred

Criminal Appeal No.364/2015 and wherein he questioned

the Judgment dated 09.02.2015. As per records the said
                                6                 CC.11811/2011 (J)




Criminal Appeal was allowed and the Judgment had been

set-aside and matter had remanded to this Court with a

direction to consider the application moved by the accused

U/s.45 of the Indian Evidence Act. It is further directed to

refer the Ex.P.1 the cheque for handwriting expert.

   9.       As per materials the complainant who has

aggrieved   by   the   order   passed   in   Criminal    Appeal

No.364/2015 had preferred Criminal Revision Petition

No.170/2016 before the Hon'ble High Court of Karnataka

Bengaluru. The said petition was came to be rejected by

the order dated 18th January-2017.           The Hon'ble High

Court of Karnataka, Bengaluru in its order para No.8 made

observation that, parties are directed to appear before the

Magistrate Court and the Magistrate is directed to consider

and to dispose of the matter afresh after obtaining the

report from the handwriting expert about the allegation

made by the Respondent/Accused regarding the alterations

of figures 1 & 9 in Ex.P.1 cheque.
                                 7                 CC.11811/2011 (J)




    10.     As per the direction of the Hon'ble High Court of

Karnataka, on 28.10.2017 as per the application filed by

the accused referred the alleged cheque marked at Ex.P.1

to the handwriting expert to obtain the opinion as per

observation made by the Hon'ble High Court as stated

herein above. Accordingly on 05.06.2018 report has been

received.    The complainant has filed objection to the

reports submitted by the handwriting expert.              As the

complainant has disputed the handwriting expert report.

The witness summons was issued to the handwriting

expert    and   called   upon   him   to   give   an   evidence.

Accordingly the said expert by name Phaneendra.B.N. was

examined as DW-3 and got marked the Ex.C.1 and C.2.

Thereafter the Court has heard the argument of both

parties and taken up this matter for disposal.


    11.     The complainant was examined as PW-1. He

filed his affidavit on oath as examination in chief. I have

gone through his examination-in-chief and wherein he has

been deposed as per the averments made in the complaint.
                              8                CC.11811/2011 (J)




The complainant in support of his oral evidence and claim

made in the complaint has got marked the Ex.P.1 to P.8.


   12.     I have perused the Ex.P.1 to P.8. The Ex.P.1 is a

cheque dated 29.10.2010 for alleged sum of Rs.1,95,000/-

and Ex.P.1(a) is the signature of the accused, Ex.P.2 is the

cheque return Memo dated 22.01.2011, Ex.P.3 is the Bank

Memo, Ex.P.4 is the office copy of legal notice dated

10.02.2011, Ex.P.5 and P.6 are the postal receipts for

having sent the legal notice to the accused through

registered post, Ex.P.7 acknowledgement card for due

service of legal notice on the accused and Ex.P.8 is the

postal envelope through which the notice was sent to the

accused.

   13.     On perusal of the exhibits produced by the

complainant which reveals that within a statutory period

as provided under the Act, the complainant has presented

the cheque for encashment purpose and after dishonor of

cheque the complainant has caused legal notice to the

accused within 30 days through registered post. Regarding
                                       9                     CC.11811/2011 (J)




service of legal notice the accused himself admitted in his

cross-examination that by stating that:                    £À£ÀUÉ ¦gÁåzÀÄzsÁgÀ£À

ªÀQîjAzÀ £ÉÆÃn¸ï §A¢gÀÄvÀÛzÉ. ¸ÀzÀj £ÉÆÃn¸À£ÀÄß £Á£ÀÄ ¹éÃPÁgÀ ªÀiÁrgÀÄvÉÛãÉ.

¸ÀzÀj £ÉÆÃn¸ÀUÉ £Á£ÀÄ GvÀÛgÀ PÉÆnÖgÀĪÀÅ¢®è. This admission by the

accused furnishes best evidence regarding due service of

statutory notice on the accused.                Thus, from the above

events it can be seen that the complainant has fulfilled the

ingredients of Section 138 of the N.I.Act. Further it is clear

that the complainant well within the time has filed this

complaint.


     14.     The      learned      counsel       appearing         for     the

complainant vehemently submitted in his argument that

the evidence of handwriting expert i.e., DW.3 is not reliable

and whatever opinion given by him was in collusion with

the accused and that would not come in the way of

complainant.        He further submitted that no alleged over

writing find place in the cheque on which the complainant

has placed his reliance.            He further submitted that the

accused failed to rebut the statutory presumption as
                             10               CC.11811/2011 (J)




available U/s.118 and 139 of the Act.    The said counsel

prayed to allow the complaint and punish the accused as

per the provision of Section 138 of the N.I.Act. In support

of said point of argument the said learned counsel has

placed his reliance upon the accused reported in 2014

STPL (DC) 1549 - Karnataka High Court (Dharwad Bench)

Sripadh V/s.Ramadas Shet, 2012 STPL (DC) Page No.650 -

Karnataka     High      Court     Smt.Umadevi         Kumar

V/s.Govardhandas, 2013 STPL (DC) Page No.1597 Madras

High Court - N.Jebarathinam V/s.R.Ramar, 2014 STPL

(DC) Page No.1590 Madras High Court - T.N.Velmurguan

V/s.Ajash Cotton Spinning Mills Pvt. Ltd and others, 2014

STPL (DC) Page No.345- Jharkhand High Court - Niyaz

Ahmed V/s.State of Jharkhand and another and 1996

Crl.L.J. Pate No.3099 Gujarath High Court - Satish

Jayanthilal Shah V/s. Pankaj Mashruwala and another.

Further the learned counsel for the complainant files Memo

with list of documents in support of two arguments.
                                   11                 CC.11811/2011 (J)




    15.    The learned counsel appearing for the accused

vehemently       submitted   in        his    argument   that     the

complainant in order to deceive the accused forged the

cheque marked at Ex.P.1. He further submitted that the

complainant for his wrongful gain made material alteration

in the figures pertain to the alleged amount.             That the

provision of Section 87 of N.I.Act aptly applicable. That the

material alteration has not been consented by the accused

counsel.     That the material alteration has not been

authenticated by the drawer of the cheque.                That the

observation made by the handwriting expert is fully

supported by the materials placed on record. The Ex.P.1 is

void in law and it is unenforceable the said learned counsel

submitted the penal provision of Section 138 of the N.I.Act

would not attract against the accused and he is deserved

for acquittal.     In support of his argument he placed

reliance upon the decision reported in ILR 2016 KAR Page

No.3111- B.Krishna Reddy V/s.B.K.Somashekar REddy,

Judgement delivered on 17.02.2012 in Criminal Appeal

No.2218/2006       -   K.M.Nagaraj           V/s.T.C.Govindegowda,
                             12               CC.11811/2011 (J)




Judgment rendered on 19.03.2018 in Criminal Appeal

No.418/2010     -   A.P.Ameethkumar    V.S.A.P.Manjunath,

Judgment dated 23.01.2015 in Crl. Revision Petition

No.435/2014     Sri.P.L.Thamanna V/s.Sri.D.G.Rohith and

Judgment dated 19.03.2018 the said learned counsel for

the accused by placing reliance upon the said decision

submitted that complaint is required to be dismissed and

acquit the accused to meet the ends of Justice and equity.

    16.    Having regard to the point of argument, I have

gone through the pleading and entire materials placed on

record by the parties to the complaint. With due respect I

have gone through the decision placed on record by both

the parties.


    17.    The specific plea of the complainant is that the

accused towards the discharge of legally enforceable debt

of Rs.1,95,000/- has issued a cheque which has been

marked at Ex.P.1. The main defence of the accused is that

the complainant has altered the figure appearing in the

alleged cheque and presented it through his bankers for
                                         13                      CC.11811/2011 (J)




his wrongful gain.           In this connection, the handwriting

expert by name Phaneendra has been examined as DW-3

on behalf of the accused. He has spoken that, ¤±Á£É ¦.1

ZÉPÀÌ£ÀÄß £Á£ÀÄ ¥ÀjÃPÉë ªÀiÁr £ÉÆÃrgÀÄvÉÛãÉ. gÀÆ.1,95,000 /- amount £À°è 9

EzÀ£ÀÄß alteration ªÀiÁrgÀĪÀÅzÀÄ PÀAqÀÄ §gÀÄvÀÛzÉ. This witness in his

cross has stated that,              £À£Àß C©ü¥ÁæAiÀÄzÀ°è gÀÆ.1,95,000/- EzÀgÀ°è 9

CAQUÉ ¸ÀA§AzÀs¥ÀlÖAvÉ '0' EzÀÄ ¨ÉÃgÉ ±Á» ªÀÄvÀÄÛ §gÀºÀzÀ°è EgÀĪÀÅzÁV £À£Àß

C©ü¥ÁæAiÀÄ   JAzÀgÉ   ¸Àj.   The      version        of    DW-3      has   been

corroborated with Ex.C.1 and C.2 which consist report

submitted by the handwriting expert.                       Under the light of

undisputed evidence and report of handwriting expert, I

have perused Ex.P.1 the alleged cheque. On plain perusal

of the alleged figure of Rs.1,95,000/- which appears in the

cheque, it can be said that there is material alteration

pertain to numeric '1' and '9'.


     18.      The complainant has proved by producing

material      evidence       that     there     is        material   alteration

regarding alleged amount of Rs.1,95,000/-. This attracts
                               14                CC.11811/2011 (J)




the provision of Section 87 of the N.I.Act, 1881.       As the

accused has proved with material evidence that there is a

material alteration in the alleged cheque of Ex.P.1 on

which the complainant has placed his reliance. In view of

the undisputed evidence instrument produced by the

complainant is void. Therefore, the decision produced by

the accused is aptly applicable to the case on hand.

Whereas the decisions produced by the complainant would

not come to his rescue.


    19.    In view of the reasons assigned herein above, I

am of the considered opinion that, the accused is

succeeded in rebutting presumption as provided U/s.118

and 139 of the Act.       Therefore, the penal provision of

Section 138 of the N.I.Act would not attract against the

accused. Hence the accused is not guilty for the offence

punishable U/s.138 of the N.I.Act.      Hence, I proceed to

answer the Point No.1 in Negative.

    20.   Point No.2 : In view of the reasons assigned on

Point No.1, I proceed to pass the following:-
                                   15                    CC.11811/2011 (J)




                                ORDER

As per the provisions of Sec.255(1) Cr.P.C. the accused is hereby Acquitted for the offence punishable u/s.138 of NI Act, 1881. The Personal bond and the surety executed by the accused and surety are hereby stands cancelled. The accused is set at liberty forthwith.

(Dictated to the Stenographer, transcript thereof is computerized and printout taken by him, is verified and then pronounced by me in Open Court on this the 04th day of September-2018.) (Subhash.B.Hosakalle) XV Addl. CMM., Bangalore.

ANNEXURE Witnesses examined for the Complainant:-

PW.1 D.Nagaraja Documents marked for the Complainant:-

Ex.P.1 Original cheque. Ex.P.1a Signature of the accused. Ex.P.2 Bank endorsement.
       Ex.P.3              Bank Memo.
       Ex.P.4              Legal Notice.
       Ex.P.5 & P.6        Two Postal receipts.
       Ex.P.7              Postal acknowledgement card.
       Ex.P.8              Postal envelope.
                             16             CC.11811/2011 (J)




Witnesses examined For Defence:-
     DW-1            Chikkegowda.
     DW-2            H.M.Indrakumar
     DW-3            Phaneendra

Documents marked for Defence:- Nil.
'C' series documents:-
     Ex.C.1          Report.
     Ex.C.2          Covering Letter.

(Subhash.B.Hosakalle) XV Addl.CMM., Bangalore. 17 CC.11811/2011 (J) 04.09.2018 (Judgment Pronounced in the Open Court Vide Separate Order sheet ORDER As per the provisions of Sec.255(1) Cr.P.C. the accused is hereby Acquitted for the offence punishable u/s.138 of NI Act, 1881.

The Personal bond and the surety executed by the accused and surety are hereby stands cancelled. The accused is set at liberty forthwith.

(Subhash.B.Hosakalle) XV Addl.CMM., Bangalore.

18 CC.11811/2011 (J)