H L AGGARWAL Vs. RAKESH AGGARWAL

JUDGEMENT

(1.) THIS is an appeal filed by the original complainant, who had instituted the prosecution against the accused under Section 138 of the Negotiable Instruments Act, 1881. It was averred by the complainant that he is a businessman and he has been knowing the accused since a long time. The accused was in need of money for his own purpose. Therefore, he had approached the complainant with a request to lend him a sum of Rs. 10,000. The complainant agreed to pay the said amount and in fact it was paid to the accused and the accused is alleged to have issued a cheque for Rs. 10,000 on September 20, 1990, in favour of the complainant.

(2.) IT is the further case of the complainant that the said cheque was negotiated by him by making endorsement on the cheque to third party named Rajesh and Brothers. When the said cheque was presented by Rajesh and Brothers on the due date, it was dishonoured. According to the submissions made by learned counsel for the appellant -accused. Rajesh and Brothers were acting as the agents of the complainant. In fact, the said cheque was not negotiated by the complainant in favour of Rajesh and Brothers for consideration but they were merely acting as agents. When the said cheque was dishonoured, Rajesh and Brothers returned the cheque to the complainant, and, therefore, the complainant issued 15 days notice to the accused and filed the prosecution.

(3.) THE learned Magistrate on evidence acquitted the accused. Against the order of acquittal, the present appeal has been filed by the compliant. Learned counsel appearing for the appellant -complainant submitted at the Bar that the order of acquittal recorded by the learned Magistrate in C.C. No. 162 of 1991 is bad in law. Learned counsel further submitted that the cheque was not endorsed in favour of Rajesh and Brothers for consideration. They were merely acting as the agents of the complainant. When Rajesh and Brothers could not get the amount due under the cheque, the said cheque was returned to the complainant, and thereafter, the complainant issued a notice to the accused and the prosecution has been filed.