SANJAI MAKKAR Vs. SARASWATI INDUSTRIAL SYNDICATE LIMITED

JUDGEMENT

(1.) Criminal Revision No. 1234 of 1998 and four other criminal revisions mentioned above are being disposed of by this common judgment.

(2.) The brief facts, according to complaint, are that M/s. Saraswati Industrial Syndicate is a Company which has its registered office at Yamuna Nagar (Haryana). The Company has a Steel Mill situated at village Nara in district Muzaffar Nagar (U.P.). The accused is also a Private Limited Company known as Essmay Special Steels Private Limited which has its registered office at New Delhi. The accused purchased some steel ingots from the complainant company and a cheque for Rs. 67,872.00 bearing No. 732097 dated 11/02/1994 drawn on Oriental Bank of Commerce, Barola (NOIDA), Ghaziabad was given by the accused to the complainant. The complainant gave this cheque to its Bank (State Bank of Patiala) and the cheque was forwarded by the State Bank of Patiala to Oriental Bank of Commerce, Barola (NOIDA), Ghaziabad but its payment was refused on the ground that there are not sufficient funds in the account of drawer of the cheque. When the cheque was dishonoured the complainant sent a notice by post on 11/07/1994 and the accused was called upon to make the payment within fifteen days. In spite of receipt of notice the payment was not made by the accused and therefore, a complaint under Section 138 of Negotiable Instruments Act was filed by the complainant at Muzaffar Nagar on 23/01/1995.

(3.) The accused raised an objection that the Court at Muzaffar Nagar lacks the territorial jurisdiction to try the case. This objection was upheld by the learned Chief Judicial Magistrate, Muzaffar Nagar who came to the conclusion that the cause of action did not arise within the jurisdiction of Court at Muzaffar Nagar. In this view of the matter the Court set aside the summoning order and dropped the proceedings against the accused by its order dated 29-5-1996.