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This complaint is instituted by the complainant against the accused under Section 200 of Cr.P.C. for the offence punishable under Section 138 of Negotiable Instruments Act- 1881 R/w Section 25 of the Payment and Settlement Systems Act, 2007.

SCCH-10

2. The Case of the complainant as per complaint averments is as follows:

The complainant is a company incorporated under the companies Act, 1956 and a Banking Company. In the course of their financial services, they introduced Loan facility for the benefits of its valued customers. The accused had approached the complainant company to sanction loan for her urgent financial needs. Accordingly, the complainant sanctioned the loan of Rs.1,09,000/- under said Digital Personal Loan facility vide Loan Account No.56323 and the accused had opted for repayment mode vide Electronic Clearing Service by signing ECS / NACH declaration. Further, under the contract a sum of Rs.1,33,973/- was due and towards payment of debt accused had issued ECS/ NACH. Transaction bearing UMRN No.SDIN7021904230063270 presented for encashment to Axis Bank Ltd, Cox Town Branch, Bengaluru, same was dishonoured with the remarks "A/c Blocked or Frozen" on 09.10.2023. Then, the complainant got issued a legal notice to SCCH-10 the accused dated 27.10.2023, calling upon her to pay the amount. Despite receipt of notice, the accused has not paid the amount. Thus, the accused has committed the offence punishable U/Sec.138 of Negotiable Instruments Act R/w Section 25(1) of the Payment and Settlement Systems Act, 2007. Hence, this complaint.

1) Whether the complainant proved that the accused has opted for loan repayment mode by way of ECS/NACH and a sum of Rs.1,33,973/-

was due and payable by the accused and when ECS/ NACH was presented to the bank, same was dishonoured for 'A/c Blocked or Frozen' and despite receipt of demand notice, the accused has not paid the amount and thereby she has committed an offence punishable under Section 25(1) of the Payment and Settlement Systems Act, 2007 ?

SCCH-10

2) What Order?

8. On the basis of the materials available on record, my finding to the above points are as follows:

POINT NO.1: In the Affirmative.

POINT NO.2: As per the final order, for the following:

REASONS

9. POINT NO.1:

According to the complainant, the accused approached the complainant company for financial assistance for her urgent financial needs and the complainant company sanctioned the loan of Rs.1,09,000/- and the accused has opted for repayment mode vide ECS/NACH and under contract a sum of Rs.1,33,973/- was due and payable by the accused and and when the ECS/NACH was presented, same was dishonoured for the reason 'A/c Blocked or Frozen' and the complainant got issued a legal notice to the accused calling SCCH-10 upon her to pay the said amount and despite service of notice, the accused has not paid the amount.

11. Now, let me scrutinize the documents relied by the complainant in order to examine the compliance of statutory requirements as envisaged under Section 138 of N.I. Act R/w Section 25, 26 and 28 of Payment and Settlement Systems Act 2007. Ex.P.1 is the Authorization letter, Ex.P.2 is the NACH SCCH-10 report, Ex.P.3 is the Legal notice, Ex.P.4 is the Postal receipt and Ex.P.5 is the Postal acknowledgment.

12. On careful perusal of Ex.P.2 NACH043 report it reveals that, NACH transaction for a sum of Rs.1,33,973/- was failed for the reason 'A/c Blocked or Frozen' in the account of the accused. Ex.P.3 is the Demand notice wherein it discloses that, after dishonour of ECS/NACH, the complainant caused a legal notice to the accused calling upon her to pay an amount of Rs.1,33,973/-. Said notice was duly served on the accused as per Ex.P.3.