BIRENDRA SHUKLA Vs. STATE OF U.P.

JUDGEMENT

(1.) The applicants have approached this Court by way of filing these applications under Sec. 482 Crimial P.C. for quashing of the summoning order dated 25.11.2014, passed by Special Chief Judicial Magistrate, Lucknow as well as the entire proceedings of Complaint Case, under Sec. 138 of Negotiable Instruments Act, relating to Police Station Ghazipur, District Lucknow.

(2.) The facts in brief are that the opposite party No. 2 who is a resident of New Delhi, filed Complaint under Sec. 138 of the Negotiable Instruments Act against the applicants in the court of Chief Metropolitan Magistrate Saket Court, New Delhi, as the disputed cheques were deposited for collection at Nehru Place, New Delhi within the jurisdiction of Police Station Kalkaji New Delhi, which is within the territorial jurisdiction of Chief Metropolitan Magistrate, Saket Court, New Delhi. The case was assigned to Metropolitan Magistrate and vide order dated 18.1.2014 the applicants were summoned. After filing of the complaint by the opposite party no.2, the Honb'le Supreme Court in a case decided on 4.9.2014, held that a reading of Sec. 138 of the Negotiable Instruments Act and Sec. 177 Crimial P.C. makes it clear that the complaint can be filed within the jurisdiction of that court in whose jurisdiction the cheque was returned because the return of cheque alone constitutes the commission of offence. It was further held by the Honourable Supreme Court that the trial of the offence must be restricted to that place where the Drawee Bank is located.

(3.) In accordance with the law laid down by the Honourable Supreme Court referred to above, the learned Metropolitan Magistrate directed the return of complaint along with the original documents for want of territorial jurisdiction with the direction that the complaint can be presented before the court having jurisdiction. Since the Punjab National Bank was located at Indira Nagar, Police Station Ghzipur, District Lucknow, the opposite party No. 2 accordingly took back his complaints and refiled the same in the court of Special Chief Judicial Magistrate(Customs), Lucknow. After complaints were filed at Lucknow. The Negotiable Instruments (Amendment) Ordinance 2015 dated 15.6.2015 was promulgated to amend Negotiable Instruments Act by which the jurisdiction was defined. Sec. 142 of the Act was amended and in sub-section (2) it was provided that the offence under Sec. 138 N.I. Act shall be inquired into and tried only by a court within whose local jurisdiction (a) if the cheque is delivered for collection through an account, the Branch of the Bank where the payee or holder in due course as the case may be maintains the account, is situated or if the cheque is presented for payment by payee or holder in due course otherwise through an account, the branch of the Drawee Bank where the drawer maintained the account is situated.