M/s. Maheshwari Wines vs Panchappa

Huluvadi G. Ramesh, J.—Appeal is by the complainant against the order of acquittal passed by the IV Addl. JMFC, Gulbarga in CC 572/2001 on 9.4.2009. Complaint was filed under S. 138 of the Negotiable Instruments Act r/w S. 420, IPC against one P.M. Mannur. Towards transaction of supply of liquor to the accused by the complainant, accused had issued a cheque dated 29.4.2000 drawn on Union Bank of India, Gulbarga Branch for Rs. 1,70,644/-. On presentation, the cheque was dishonoured. After service of notice, due to non-payment, case came to be registered. Before inquiry, despite issuance of proclamation, accused did not appear but later appeared during 2008 obtaining anticipatory bail. Since the accused pleaded not guilty, inquiry was held. Thereafter, accused was convicted and sentenced to pay double the cheque amount i.e., Rs. 3,41,288/- to the complainant. Against the said order, the accused went in appeal which came to be allowed acquitting him. However, at the time of acquittal, the CAO was directed to lodge a complaint against the accused for the offence under S. 187, 188 and 191, IPC. Being aggrieved, this appeal.

Heard the counsel representing the parties.

It is noticed there is a transaction between the complainant and the accused and it appears, goods were supplied by the complainant to the accused. Towards the same, cheque for Rs. 1,70,644/- was issued by the accused to the respondent. Though several contentions are taken, it is noticed there is a transaction between the complainant and the accused in connection with liquor business and accused had issued a cheque as security towards repayment. On non-payment, the cheque has to be treated as one having been issued towards legally enforceable debt. In that view of the matter, the order of the trial court appears to be just and without proper appreciation the lower appellate court has reversed the finding and absolved liability on the part of the accused. Hence, the appeal of the complainant against the accused is partly allowed. Order passed by the first appellate court is set aside. Accused is directed to pay compensation of Rs. 1,75,000/- + Rs. 5,000/- penalty. The observation made by the lower appellate court to prosecute the accused for perjury is set aside. Amount of Rs. 5,000/- be forfeited to the State as fine and Rs. 1,75,000/- be deposited within eight weeks which shall be released in favour of the complainant. It is submitted, the cheque amount is deposited. The same be released in favour of the complainant.