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Showing contexts for: timber in Ms Narain Timber Products vs Ms Salach Enterprises on 11 March, 2025Matching Fragments
7. Date of Final Order : 11.03.2025 signed by RISHABH RISHABH TANWAR TANWAR Date:
2025.03.11 CC No. 17502/2016 M/s Narain Timbers vs. M/s Salach Enterprises pg. no. 1/20 15:08:44 +0530 BRIEF FACTS AND REASONS FOR DECISION
1. The present case arises from a complaint filed under section 138 read with section 142 of the Negotiable Instrument Act, 1881 (referred to as N.I. Act) by M/s Narain Timbers through its authorized representative Sh. R. K. Dawar (referred to as 'the Complainant') regarding the dishonor of cheques numbered 079899 and 079902 dated 28.02.2016 and 15.02.2016 respectively, for amounts of Rs.20,00,000/- and Rs.19,76,335/-, both drawn on ICICI Bank, Kirti Nagar branch (referred to as 'the cheques in question') issued by Sarabjeet Singh, the proprietor of M/s Salach Timbers (referred to as 'the accused') in favor of the complainant.
24. Under his examination as a witness under section 315 of the Cr.P.C., the accused testified that the complainant issued timber invoices to him in lieu of interest payment. Even accepting the accused's argument, he cannot now claim that his cheques were misused. The accused knowingly accepted the invoices despite not allegedly purchasing any timber from the RISHABH complainant; therefore, he cannot now assert that no timber was purchased. TANWAR CC No. 17502/2016 M/s Narain Timbers vs. M/s Salach Enterprises pg. no. 12/20 Date: 2025.03.11 He should have insisted on executing a loan agreement or acknowledgment. By accepting the invoices, the accused is bound by all resulting consequences. Furthermore, the accused has failed to present any alleged bills if they were indeed issued to him. Therefore, this defence of the accused appears to be an eyewash and is liable to be rejected.
27. The accused examined his Chartered Accountant, Mr. Sukhdev Madnani, as DW-3, who proved the books of account of the accused as Ex. DW-1/C-2. According to these records, the complainant's name appeared in the list of creditors under the name "M/s Narain Timbers" rather than his individual name. If the accused claimed he had never conducted business with the complainant but instead borrowed loans from him, it would be expected to see the complainant's personal name, not the proprietorship firm's name. Additionally, during cross-examination, the accused admitted that all his Income Tax Returns (I.T.R.) and balance sheets were prepared by Mr. Anil Verma based on information provided by the chartered accountant. He further stated that his accountant supplied information to Mr. Anil Verma. DW-4 acknowledged during cross-examination that the books of accounts were given to him by his client M/s Salach Enterprises through his advocate, RISHABH TANWAR Mr. Anil Verma. This indicates consistency in the testimonies of DW-1 and CC No. 17502/2016 M/s Narain Timbers vs. M/s Salach Enterprises pg. no. 14/20 TANWAR DW-4. It is important to highlight that the liability attributed to the complainant, listed as a sundry creditor in the balance sheet of the accused (Ex. DW-1/C-1) as of 31.03.2014, amounts to Rs. 39,76,332/-. This figure corresponds with the closing balance of the ledger account (Ex. CW-1/1) for March 2014, submitted by the complainant, thereby demonstrating consistency in the complainant's case. Thus, DW-3, although a witness for the accused, contradicted the accused's claims.