Charanjit Singh Yadav v. OmPrakash) U
Case Details
Neutral Citation No. - 2024:AHC:127673 HIGH COURT OF JUDICATURE AT ALLAHABAD ***** (Sl.No.48) Court No. - 79 Case :- APPLICATION U/S 482 No. - 18037 of 2024 Applicant :- Om Prakash Opposite Party :- State of U.P. and Another Counsel for Applicant :- Padmaker Pandey Counsel for Opposite Party :- G.A. Hon'ble Anish Kumar Gupta,J.
Legal Reasoning
1. Heard Sri Padmaker Pandey, learned counsel for the applicant and Sri Pushpendra Singh Jadaun, learned A.G.A. for the State. 2. The instant application under Section 482 Cr.P.C. has been filed seeking quashing of the order dated 02.03.2024 as well as the entire proceedings of Complaint Case No. 75599 of 2022 (Charanjit Singh Yadav vs. OmPrakash) U/S 138 Negotiable Instruments Act, P.S.-Fazalganj, District-Kanpur Nagar. 3. Learned counsel for the applicant submits that in the instant complaint case filed under Section 138 of Negotiable Instruments Act for dishonor of cheque of Rs. 9,00,000/- .On an application moved by the opposite party no. 2 under Section 143A of the N.I. Act vide order dated 02.03.2024 the trial court has directed the applicant herein to deposit Rs. 90,000/- being the 10% of the cheque amount within 60 days. Learned counsel for the applicant submits that there was a business relationship between the parties and in pursuance thereof, the instant cheque was issued as a security to any default on the part of the applicant herein. However, the learned counsel for the applicant submits that entire amount of liability towards the applicant has already been paid by the applicant and subsequently, the instant cheque has been mis- utilized by the opposite party no.2 and the instant complaint case under Section 138 of N.I. Act has been filed. Therefore, learned counsel for the applicant submits that since the applicant has disputed the liability, the trial court ought not to have passed the direction for deposit of 10% of the amount under Section 143A of the NI Act. 4. Per contra, learned A.G.A. submits that in the instant case, the applicant do not dispute the issuance of cheque in view thereof, presumption of liability comes against the applicant in view of Section 139 of N.I. Act and the trial court has been considerate enough directing only 10% deposit of the cheque amount by the applicant and even the said deposit is subject to the final outcome of the complaint case. If the applicant is successful in trial in establishing that there is no liability on the part of the applicant by rebutting the presumption under Section 139 of N.I. Act, the amount so paid by the applicant shall be directed to be refunded to the applicant in view of Section 143A(4) of N.I. Act. Therefore, the instant application is misconceived and no interference is called for in the instant application. 5. Having heard the rival submissions made by learned counsel for the parties, this court has carefully gone through the record of the case. 6. From the record, it appears that the instant complaint case under Section 138 N.I. Act was filed in the year 2022 for dishonor of cheque of Rs. 9,00,000/-. The legal demand notice was issued and on default of payment of cheque amount, the complaint was filed by the opposite party no.2 on which the cognizance was taken. Subsequently, on apperannce of the applicant herein, the opposite party no. 2 has moved an application under Section 143A of the N.I. Act which was allowed vide order dated 2.3.2024 and the applicant herein was directed to deposit the 10% of the check amount within 60 days against which the instant application has been filed. Section 143A of the Negotiable Instrument Act reads as under:- "143A. Power to direct interim compensation.—(1) Notwithstanding anything contained in the Code of Criminal Procedure, 1973, the Court trying an offence under section 138 may order the drawer of the cheque to pay interim compensation to the complainant— (a) in a summary trial or a summons case, where he pleads not guilty to the accusation made in the complaint; and (b) in any other case, upon framing of charge. (2) The interim compensation under sub-section (1) shall not exceed twenty per cent. of the amount of the cheque (3) The interim compensation shall be paid within sixty days from the date of the order under sub-section (1), or within such further period not exceeding thirty days as may be directed by the Court on sufficient cause being shown by the drawer of the cheque. (4) If the drawer of the cheque is acquitted, the Court shall direct the complainant to repay to the drawer the amount of interim compensation, with interest at the bank rate as published by the Reserve Bank of India, prevalent at the beginning of the relevant financial year, within sixty days from the date of the order, or within such further period not exceeding thirty days as may be directed by the Court on sufficient cause being shown by the complainant. (5) The interim compensation payable under this section may be recovered as if it were a fine under section 421 of the Code of Criminal Procedure, 1973 (2 of 1974). (6) The amount of fine imposed under section 138 or the amount of compensation awarded under section 357 of the Code of Criminal Procedure, 1973 (2 of 1974), shall be reduced by the amount paid or recovered as interim compensation under this section." 7. From perusal of aforesaid provisions, the said payment is subject to the final outcome of the complaint case. In the instant case, the applicant has not disputed the issuance of cheque; however, he has disputed the liability. However, in view of the presumption under Section 139 of N.I. Act prima facie a case has been made out against the applicant; thereupon, the trial court has directed the applicant herein to pay 10% of the cheque amount which is ultimately subject to the final outcome of the subject case. If the applicant succeeds in his attempt to establish that there was no liability, the complaint will ultimately be dismissed and the amount so deposited by the applicant shall be refunded to the applicant as per Section 143A (4) of the N.I. Act. In view thereof since a prima facie case has been established, this Court do not find any illegality in the order dated 2.3.2024 passed by the trial court. 8. The instant application lacks merit and is accordingly dismissed. Order Date :- 6.8.2024 Kirti (Anish Kumar Gupta, J.)