A. RAJA Vs. A. VENKATESAN

JUDGEMENT

(1.) This Criminal Original Petition has been filed seeking to call for the entire records related to C.C. No.106 of 2019 on the file of Judicial Magistrate of Pochampalli and to quash the same as illegal.

(2.) The learned Counsel for the Petitioner submitted that the Respondent gave a Complaint against the Petitioner under Sec. 138 r/w. Sec. 142 of Negotiable Instruments Act alleging that the Petitioner borrowed Rs.10,00,000.00 for his urgent need from the Respondent on 21/4/2019 and for the Security purpose, he issued two Cheques, each for a sum of Rs.5.00 lakhs in favour of the Respondent and when the same was presented before the Indian Bank, Kannandahalli Branch on 21/5/2019, the same were returned with an endorsement 'Funds Insufficient', hence the Petitioner has committed offence under Sec. 138 of Negotiable Instruments Act. The Complaint was taken on the file of learned Judicial Magistrate, Pochampalli and the Petitioner is arrayed as an Accused in STC No.106 of 2019 on the file of Judicial Magistrate, Pochampalli.

(3.) The learned Counsel further submitted that the Business transactions between the Petitioner and Respondent happened at Chennai only. The Petitioner never borrowed any amount from the Respondent. During the course of Business transactions with the Respondent, the Petitioner issued Post-dated Cheques and the same were misused by the Respondent. There is no debt or liability between the Petitioner and the Respondent. In fact, by misusing the Cheques given by Petitioner, the Respondent's brother has also filed STC No.595 of 2019 before Judicial Magistrate No.1, Thirupatthur, Vellore District. To make out the offence under Sec. 138 of Negotiable Instruments Act, it is mandatory to prove either debt or liability and in this case, there no debt or liability. Further, the Cheques given for Security purpose, were misused as though it was issued for discharging legally enforceable debt. Since there is no liablility or legal debt, the Complaint given by the Respondent under Sec. 138 of Negotiable Instruments Act is not maintainable. Thus the Petitioner prays for quashing of Criminal proceedings initiated against the Petitioner based on the Complaint given by the Respondent. 3. Though Notice has been served on the Respondent and his name being printed in the Cause List, there is no representation for him either in person or through Counsel, when the matter is called today.