P. K. SELVARA Vs. UMADEVI SUNDARAM

JUDGEMENT

(1.) For the sake of convenience, the petitioner and the respondent will be referred to as accused and complainant respectively.

(2.) It is a case of the complainant that the accused had approached her on 15.01.2006 and borrowed a sum of Rs.2,85,000/- from her as hand loan for emergency purpose and agreed to repay the same with interest at the rate of 18% per annum. In order to discharge his liability, the accused had executed a Promissory Note, but the accused neither paid any amount towards interest nor paid the principal. When the complainant approached the accused and made a demand to repay the said amount with interest, the accused issued a cheque bearing No.663515 dated 14.09.2007 for a sum of Rs.3,70,500/- (Ex.P2), drawn on Karur Vysya Bank, Main Branch in favour of the complainant and he assured her that the cheque would be honoured on presentation. The complainant believing his words, presented the cheque through her banker viz. Indian Overseas Bank, Namakkal on 24.09.2007, but the said cheque was returned by the banker of the accused with an endorsement "Account Closed" vide bank return memo dated 25.09.2007 (Ex.P3) and the same was intimated to the complainant through her banker on 26.09.2007 (Ex.P4). Therefore, the complainant issued a statutory demand notice dated 05.01.2007 by registered post (Ex.P5) but the accused even after getting the intimation from the postal department, refused to receive the legal notice sent by the complainant and the said notice (Ex.P6) was returned to her as unclaimed on 05.10.2007. The accused despite receiving the intimation from the postal department, refused to receive the same and the accused knowing well that his bank account has been closed had issued a cheque to the complainant with an intention to cheat her. The complainant has also filed a suit and the plaint dated 19.01.2009 has been marked as Ex.P1. Ex.P7 to Ex.P17 are the Income tax statements and Tax Return Forms to prove that the complainant has the capacity to lend the said hand loan to the accused. Therefore, the complainant initiated prosecution and the same was taken on file in S.T.C.No.348 of 2009 by the learned Judicial Magistrate Noil, Namakkal, for the offence under Section 138 of the Negotiable Instruments Act, 1881 (for brevity the NI Act) against the accused.

(3.) On appearance, the accused was questioned under Section 251 Cr.P.C. and he denied the accusation.