B. SELVAM Vs. P. KRISHNAMOORTHY

JUDGEMENT

(1.) This petition has been filed to quash the proceedings in S.T.C.No.684 of 2013, on the file of the Judicial Magistrate No.IV, Trichy, as against the petitioner.

(2.) The learned counsel appearing for the petitioner submitted that the petitioner is the sole accused and on the complaint lodged by the respondent herein, a private complaint has been filed under Sec. 200 Cr.P.C., for the offence punishable under Sec. 138 of Negotiable Instruments Act. The respondent has already filed a complaint as against the wife of the petitioner herein in S.T.C.No.204 of 2008, wherein, the wife of the petitioner has established her case that there is no such transaction resulting in initiation of proceedings and by tampering records, the complaint was given by the respondent and the trial Court has acquitted the wife of the petitioner. Aggrieved by the same, the respondent has filed an appeal before this Court and the same was dismissed with costs and also ordered to proceed against the respondent under Sec. 340 of Cr.P.C. He further submitted that the said complaint filed by the respondent as against the wife of the petitioner herein is in the year 2008. According to the respondent herein, on 14/4/2010, the petitioner has borrowed a sum of Rs.16,00,000.00 for family needs and agreed to pay interest at the rate of 24% per annum and executed a promissory note on the same day. The learned counsel appearing for the petitioner submitted that in order to repay the amount with interest, the petitioner has issued a cheque on 3/3/2013, but when said cheque was presented for encashment, the same was returned on 14/3/2013 with an endorsement "Account Closed". Thereafter, on 1/4/2013 the respondent has issued statutory notice to the petitioner, for which, the petitioner has issued a reply notice to the respondent on 15/4/2013. He further submitted that absolutely there is no legally enforceable debt by the petitioner herein. Hence, he prayed to quash the proceedings.

(3.) The learned counsel appearing for the respondent submitted that on 14/4/2010, the petitioner has borrowed a sum of Rs.16,00,000.00 from the respondent and admitted to repay the said amount with interest at the rate of 24% per annum. In order to repay the said amount with interest, the petitioner has issued a cheque for a sum of Rs.27,00,000.00 and the said cheque was presented for collection on 3/3/2013 and the same was returned on 14/3/2013, with an endorsement "Account Closed". Immediately, the respondent has sent a legal notice through his counsel on 1/4/2013 and lodged a complaint. He further submitted that the grounds raised by the petitioner, cannot be considered under Sec. 138 of Negotiable Instruments Act and hence, he prayed for dismissal of this quash petition.