R M KARUPPANNAN Vs. S SAKTHI

JUDGEMENT

(1.) This appeal has been filed seeking to set aside the judgment dated 18.2.2008 made in C.A.No.108 of 2007 on the file of the learned Additional Sessions Judge (Fast Track Court No.II) Salem, reversing the judgment dated 03.7.2007 made in C.C.No.715 of 2005 on the file of the learned Judicial Magistrate No.II, Salem.

(2.) For the sake of convenience, the appellant and the respondent will be referred to as per their array in the complaint.

(3.) It is the case of the complainant that the accused borrowed a sum of Rs. 25,000/- from him and in discharge of the said loan, the accused issued the cheque in favour of the complainant. When the complainant presented the said cheque for encashment through his banker, the same has been returned as funds insufficient. Hence, the complainant had issued a legal notice to the accused to pay the cheque amount, but the respondent refused to pay the same. Thereafter, the complainant has filed the complaint under Section 138 of Negotiable Instruments Act (hereinafter referred to as "the NI Act") before the learned Judicial Magistrate No.II, Salem in C.C.No.715 of 2005. On receipt of summons, the accused appeared and when he was questioned about the accusation against him, he denied the same.