M M LAL Vs. STATE NCT OF DELHI

JUDGEMENT

(1.) By this petition under Section 378(4) Cr. P. C. , petitioner seeks leave to appeal against the judgment dated 31st March, 2010 passed by Trial Court, whereby complaint under Section 138 of the Negotiable Instruments Act, 1881 (for short hereinafter referred to as "the Act") has been dismissed and respondent no. 2 has been acquitted of the charge under Section 138 of the Act.

(2.) Brief facts are that the petitioner filed a complaint under Section 138 of the Act against respondent no. 2, proprietor of M/s. Tina Toni Creations, New Delhi. It is alleged that the respondent no. 2 was proprietor of M/s. Tina Toni Creations. He had issued a cheque bearing No. 822256 dated 1st October, 1994 for Rs 10.5 lacs in favour of petitioner in discharge of his loan liability ofRs 10 lacs, which was taken on interest @ 20% per annum.

(3.) On presentation, cheque was returned dishonored with the remark "funds insufficient", vide a return memo dated 3rd October, 1994. Amount involved in the cheque was not paid within 15 days of service of legal notice dated 6th October, 1994, hence, respondent no. 2 had committed offence punishable under Section 138 of the Act.