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Senbo Engineering Ltd. & Others vs Ahlcon Ready Mix Concrete Division Of ... on 10 February, 2009
cites
The Negotiable Instruments Act, 1881
Section 139 in The Negotiable Instruments Act, 1881 [Entire Act]
Section 482 in The Code of Criminal Procedure, 1973 [Entire Act]
M/S. Modi Cements Ltd vs Shri Kuchil Kumar Nandi on 2 March, 1998
6. Appearing for the respondent Mr. Rishi Kapoor, learned Advocate
refers to the judgment in Modi Cements Ltd. v. Kuchil Kumar Nandi
(supra) which overruled the earlier judgment in K.K. Sidharthan v.
T.P. Praveena Chandran (1996) 6 SCC 369 and categorically held
that even if a cheque is dishonoured because of a stop payment
instruction Section 138 NI Act would get attracted. It is submitted that
the judgment of the Calcutta High Court in Syed Mahommed Yaqub
was rendered at a time when the law had not been settled by the
Supreme Court.
Everest Advertising Pvt. Ltd vs State, Govt. Of Nct Of Delhi & Ors on 10 April, 2007
11. There is no merit in the contention concerning the minimum
averment in the complaint as regards Petitioner No.2 who is the
Managing Director of Petitioner No.1 The decisions in S.M.S
Pharmaceuticals v. Neeta Bhalla and Everest Advertising Pvt. Ltd. v.
State (NCT of Delhi) answer the point against the petitioners. The
other contention on merits, that no liability existed, cannot obviously
be gone into at this stage and will have to await the conclusion of the
trial. The question that is required to be answered is whether when the
complaint in the instant case is read as a whole a prima facie case can
be said to be made out for proceeding against the petitioners for the
offence under Section 138 NI Act. The answer is unambiguously in the
affirmative. There is, therefore, no ground for this Court to interfere in
CRL.M.C. No. 1753/2008 Page 7 of 8
exercise of its powers under Section 482 CrPC to quash the criminal
complaint against the petitioners.
K.K. Sidharthan vs T.P. Praveena Chandran And Another on 8 October, 1996
Also, the decision in K.K. Sidharthan v.
T.P. Praveena Chandran was expressly overruled. In para 16 of Modi
Cements Ltd it was explained by the Supreme Court as under:
Section 142 in The Negotiable Instruments Act, 1881 [Entire Act]
S.M.S. Pharmaceuticals Ltd vs Neeta Bhalla And Anr on 20 September, 2005
11. There is no merit in the contention concerning the minimum
averment in the complaint as regards Petitioner No.2 who is the
Managing Director of Petitioner No.1 The decisions in S.M.S
Pharmaceuticals v. Neeta Bhalla and Everest Advertising Pvt. Ltd. v.
State (NCT of Delhi) answer the point against the petitioners. The
other contention on merits, that no liability existed, cannot obviously
be gone into at this stage and will have to await the conclusion of the
trial. The question that is required to be answered is whether when the
complaint in the instant case is read as a whole a prima facie case can
be said to be made out for proceeding against the petitioners for the
offence under Section 138 NI Act. The answer is unambiguously in the
affirmative. There is, therefore, no ground for this Court to interfere in
CRL.M.C. No. 1753/2008 Page 7 of 8
exercise of its powers under Section 482 CrPC to quash the criminal
complaint against the petitioners.
Syed Mahommed Yaqub vs Imperial Bank Of India on 26 June, 1940
10. With the law having been so unambiguously stated in several
decisions of the Supreme Court, this Court is unable to accept the
submission that a cheque which is dishonoured for the reason of a stop
payment instruction is not a cheque within the meaning of Section 138
NI Act or that the offence thereunder is not attracted in such instance.
The decision of the Calcutta High Court in Syed Mahommed Yaqub v.
Imperial Bank of India and the earlier decisions in Cohen v. Hale,
William Joseph Reade v. The Royal Bank, Wianholt v. Spitta are
therefore to no avail in this regard. The submission that any or all of
the above judgments of the Supreme Court are per incuriam or sub
silentio does not impress this court. They in fact provide a complete
answer to the contentions of the learned counsel for the petitioner on
this issue.