K VENUGOPALAN Vs. MOOSA K B

JUDGEMENT

(1.) Does the use of the word guarantee in Ext. P7 complaint convey that the cheque was not issued for the due discharge of a legally enforceable debt/liability This is the question which is raised for the consideration of this Court in this appeal.

(2.) The complainant - the Regional Officer, Sports and Youth Affairs, Central Government of India, alleged that the respondent/accused - a close friend of his, had borrowed an amount of Rs. 20,000/- from him and had issued Ext. P1 cheque for Rs.22,000/- dated 19.2.1991 for the due discharge of the said liability (including interest). The cheque, when presented for encashment, was dishonoured on the ground of insufficiency of funds. Thereafter, the complainant came to court after scrupulously observing the statutory time table.

(3.) Cognizance was taken. The accused entered appearance and denied the offence. Thereupon, the prosecution examined PWs.1 to 5 and proved Exts. P1 to P12. PW 1 is the complainant. PW 2 was the Mayor of Calicut who tried to mediate the disputes between the parties and effect a settlement. PWs.3 to 5 are Managers/employees of the Banks. The accused admitted that he had signed Ext. P1 cheque and had handed the same over to the accused. But according to him, this was not issued for the due discharge of any legally enforceable debt/liability. The crux of his contention is that there were some underhand dealing between him and the complainant. The complainant had undertaken to give him orders for supply of certain furniture for the Youth Hostel. Payment for the said work was to be given to the accused by cheques/drafts. The accused was to encash cheques and drafts - but was expected to return certain percentage as commission (kick back) to the complainant. Before the work was granted and the work commenced, the complainant wanted two blank signed cheques and blank signed stamp papers to be handed over by him to the complainant as security. Ext. P1 is one such cheque. That was misused by the complainant. Accused examined himself as DW1. He proved Ext.D1 reply notice.