BANSAL PAPER MART Vs. STATE

JUDGEMENT

(1.) IMPUGNING the order of the trial court dated 31. 08. 2005 and consequent notice under Section 251 Code of Criminal Procedure (hereinafter referred to as "cr. P. C".) dated 10. 04. 2007, present petition has been filed by the petitioners seeking quashing of Criminal Complaint; case No. 1327/1 of 2005 filed by respondent No. 2 against the petitioners.

(2.) PETITIONERS and the complainant (respondent No. 2 herein) had business dealings with each other for sale and purchase of papers and stationery products. Respondent No. 2 had maintained a running account of the petitioner in its books of accounts. Petitioners issued cheque No. 003690 dated 1. 6. 2005 for a sum of Rs. 1,49,474/- drawn on Lord Krishna Bank against bill No. 3103 raised by the respondent. This cheque, on presentation to the Bank, was dishonoured with the remarks "insufficient funds" vide Memo dated 5. 7. 2005. A legal notice dated 22. 07. 2005 was served upon the petitioners by the respondent. This notice was duly replied by the petitioners through their Advocate on 5. 8. 2005. Since petitioners failed to make payment of the dishonoured cheque despite serving the aforesaid notice, a complaint under section 138 of the Negotiable Instruments act (hereinafter referred to as "the Act") was filed by the respondent. On the basis of pre-summoning evidence, trial court took cognizance of the offence and summoned the petitioners vide his order dated 30. 08. 2005. On appearance of the petitioners in the Court, the Court served notice under Section 251 Cr. P. C. upon the petitioner on 10. 04. 2007.

(3.) PETITIONERS have challenged the maintainability of the complaint as well as the order of the trial court dated 31. 08. 2005 and the notice dated 10. 04. 2007 on the grounds that petitioners had already made payment of the impugned cheque even before the receipt of legal demand notice and no cause of action survived in favour of the respondent for filing the complaint under Section 138 of the Act.