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2016 DIGILAW 638 (UTT)

Nawab Ahmed v. Permendar @ Pravendar Kumar

2016-09-27

RAJIV SHARMA

body2016
JUDGMENT : Rajiv Sharma, J. By means of this petition, the petitioner has challenged the summoning order dated 22.8.2008 which was passed on the basis of criminal complaint case no.478 of 2008, Permendar Kumar v. Nawab Ahmed, lodged by the respondent. 2. Respondent presented the Cheque before the Bank. The same, as per the memo of bank, was returned with the observation that the signatures are incomplete. 3. Mr. Parikshit Saini, Advocate for the petitioner, has relied on the judgment of Hon’ble Apex Court in the case of ‘Vinod Tanna & another Vs. Zaher Siddiqui & others’ (2002) 7 SCC 541 . 4. Mr. Vivek Shukla, Advocate for the respondent, has relied on the judgment of the Hon’ble Apex Court in the case of ‘M/s Laxmi Dyechem Vs. State of Gujarat & others’ 2013 (1) NCC 376, wherein the similar issue has been considered and determined by Their Lordships as under:- “15. The above line of decisions leaves no room for holding that the two contingencies envisaged under Section 138 of the Act must be interpreted strictly or literally. We find ourselves in respectful agreement with the decision in NEPC Micon Ltd. (supra) that the expression “amount of money …………. is insufficient” appearing in Section 138 of the Act is a genus and dishonour for reasons such “as account closed”, “payment stopped”, “referred to the drawer” are only species of that genus. Just as dishonour of a cheque on the ground that the account has been closed is a dishonour falling in the first contingency referred to in Section 138, so also dishonour on the ground that the “signatures do not match” or that the “image is not found”, which too implies that the specimen signatures do not match the signatures on the cheque would constitute a dishonour within the meaning of Section 138 of the Act. This Court has in the decisions referred to above taken note of situations and contingencies arising out of deliberate acts of omission or commission on the part of the drawers of the cheques which would inevitably result in the dishonour of the cheque issued by them. For instance this Court has held that if after issue of the cheque the drawer closes the account it must be presumed that the amount in the account was nil hence insufficient to meet the demand of the cheque. For instance this Court has held that if after issue of the cheque the drawer closes the account it must be presumed that the amount in the account was nil hence insufficient to meet the demand of the cheque. A similar result can be brought about by the drawer changing his specimen signature given to the bank or in the case of a company by the company changing the mandate of those authorised to sign the cheques on its behalf. Such changes or alteration in the mandate may be dishonest or fraudulent and that would inevitably result in dishonour of all cheques signed by the previously authorised signatories. There is in our view no qualitative difference between a situation where the dishonour takes place on account of the substitution by a new set of authorised signatories resulting in the dishonour of the cheques already issued and another situation in which the drawer of the cheque changes his own signatures or closes the account or issues instructions to the bank not to make the payment. So long as the change is brought about with a view to preventing the cheque being honoured the dishonour would become an offence under Section 138 subject to other conditions prescribed being satisfied. There may indeed be situations where a mismatch between the signatories on the cheque drawn by the drawer and the specimen available with the bank may result in dishonour of the cheque even when the drawer never intended to invite such a dishonour. We are also conscious of the fact that an authorised signatory may in the ordinary course of business be replaced by a new signatory ending the earlier mandate to the bank. Dishonour on account of such changes that may occur in the course of ordinary business of a company, partnership or an individual may not constitute an offence by itself because such a dishonour in order to qualify for prosecution under Section 138 shall have to be preceded by a statutory notice where the drawer is called upon and has the opportunity to arrange the payment of the amount covered by the cheque. It is only when the drawer despite receipt of such a notice and despite the opportunity to make the payment within the time stipulated under the statute does not pay the amount that the dishonour would be considered a dishonour constituting an offence, hence punishable. It is only when the drawer despite receipt of such a notice and despite the opportunity to make the payment within the time stipulated under the statute does not pay the amount that the dishonour would be considered a dishonour constituting an offence, hence punishable. Even in such cases, the question whether or not there was a lawfully recoverable debt or liability for discharge whereof the cheque was issued would be a matter that the trial Court will examine having regard to the evidence adduced before it and keeping in view the statutory presumption that unless rebutted the cheque is presumed to have been issued for a valid consideration.” 5. The question whether the signatures are incomplete or complete, can only be determined by the Trial Court after appraisal of the evidence led by the parties. 6. Accordingly, in view of the discussion made hereinabove as well as in view of the definite law laid down by the Hon’ble Apex Court in the case of M/s Laxmi Dyechem (Supra), there is no merit in this petition and it is, accordingly, dismissed. 7. Since the matter is pending since 2008, the trial Court is directed to decide the same expeditiously, preferably within a period of three months from today. 8. C482 petition is disposed of in the above terms.