AI Structured Summary
Not yet generated for this judgment
Judgment
Anand Byrareddy, J. - The present appeal is filed against the acquittal of the accused for an offence punishable under Section 138 of the Negotiable Instruments Act, 1881.
It was the case of the appellant-complainant that it is a company dealing in coffee and that it had paid certain advance to a coffee grower towards supply of coffee and since there was default on the part of the supplier who was the respondent herein and since he had sought to refund the advance made by way of a cheque in the personal name of the Managing Director of the Company, a statutory notice under Section 138 of the NI Act was issued and a complaint followed on the respondent having defaulted in making payment against the demand. It is thereafter that the court below has found that the liability was towards the company, whereas the cheque was found to have been issued by the respondent in the personal name of the Managing Director. The defence taken by the respondent that he was not liable to the company at all and the cheque issued was in the name of the Managing Director in his personal capacity, which has been upheld. There is no fault to be found with this reason.
If the case of the complainant was that the liability was towards the company which was an entity, it could at best be sustained if the cheque had been issued in the name of the Managing Director, albeit as representing the company concerned. The cheque did not indicate any such status and therefore, the cheque was apparently issued in the personal name of the Managing Director, which could not be attributed as payment to the company.
Therefore, there is substance in the judgment of the court below. The same is in accordance with law. The appeal is therefore, rejected.
The application I.A.1/2016 for condonation of delay and I.A.2/2016 for special leave, do not survive for consideration and are disposed of.