Dismissed

M/s Vandana Global Ltd. v. J.square Steels Pvt.ltd. And Ors.

Chhattisgarh HC10 Jan 2024CRR/756/2013

Case brief

AI extract

What is this about?

Chhattisgarh High Court dismissed multiple Criminal Revisions filed under Section 138 of the Negotiable Instruments Act. The Court upheld the Revisional Court's decision to dismiss complaints for lack of territorial jurisdiction, relying on the Supreme Court precedent that jurisdiction lies where the cheque is dishonoured.

What did the court decide?

All Criminal Revisions are dismissed; the Applicant is at liberty to file a fresh complaint in accordance with law.

M/s Vandana Global Ltd. Vs J.square Steels Pvt.ltd… — Cheque Dishonour | Chhattisgarh HC (2024)

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NAFR

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HIGH COURT OF CHHATTISGARH, BILASPUR

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CRIMINAL REVISION NO. 761 OF 2013

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M/s Vandana Global Ltd., Registered Office Vandana Bhawan, M.G. Road, Raipur. Through: Power of Attorney Holder Ramesh Upadhyay, S/o Madan Upadhyay, aged about 45 Years, O/o Vandana Bhawan, M.G. Road, Raipur (C.G.)

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... Applicant(s)

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Versus

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J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Rajendra Namdeo Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Vishram Namdeo Rao Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Balu Baliram Suryavanshi, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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State of C.G., through: District Magistrate, Raipur (C.G.)

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... Non-applicant(s)

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With

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CRIMINAL REVISION NO. 756 OF 2013

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M/s Vandana Global Ltd., Registered Office Vandana Bhawan, M.G. Road, Raipur. Through: Power of Attorney Holder Ramesh Upadhyay, S/o Madan Upadhyay, aged about 45 Years, O/o Vandana Bhawan, M.G. Road, Raipur (C.G.)

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... Applicant(s)

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Versus

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J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Rajendra Namdeo Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Vishram Namdeo Rao Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Balu Baliram Suryavanshi, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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State of C.G., through: District Magistrate, Raipur (C.G.)

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... Non-applicant(s)

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With

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CRIMINAL REVISION NO. 757 OF 2013

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M/s Vandana Global Ltd., Registered Office Vandana Bhawan, M.G. Road, Raipur. Through: Power of Attorney Holder Ramesh Upadhyay, S/o Madan Upadhyay, aged about 45 Years, O/o Vandana Bhawan, M.G. Road, Raipur (C.G.)

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... Applicant(s)

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Versus

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J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Rajendra Namdeo Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Vishram Namdeo Rao Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Balu Baliram Suryavanshi, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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State of C.G., through: District Magistrate, Raipur (C.G.)

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... Non-applicant(s)

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With

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CRIMINAL REVISION NO. 758 OF 2013

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M/s Vandana Global Ltd., Registered Office Vandana Bhawan, M.G. Road, Raipur. Through: Power of Attorney Holder Ramesh Upadhyay, S/o Madan Upadhyay, aged about 45 Years, O/o Vandana Bhawan, M.G. Road, Raipur (C.G.)

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... Applicant(s)

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Versus

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J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Rajendra Namdeo Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Vishram Namdeo Rao Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Balu Baliram Suryavanshi, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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State of C.G., through: District Magistrate, Raipur (C.G.) ... Non-applicant(s)

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With

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CRIMINAL REVISION NO. 759 OF 2013

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M/s Vandana Global Ltd., Registered Office Vandana Bhawan, M.G. Road, Raipur. Through: Power of Attorney Holder Ramesh Upadhyay, S/o Madan Upadhyay, aged about 45 Years, O/o Vandana Bhawan, M.G. Road, Raipur (C.G.)

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... Applicant(s)

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Versus

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J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Rajendra Namdeo Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Vishram Namdeo Rao Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Balu Baliram Suryavanshi, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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State of C.G., through: District Magistrate, Raipur (C.G.)

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... Non-applicant(s)

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With

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CRIMINAL REVISION NO. 760 OF 2013

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M/s Vandana Global Ltd., Registered Office Vandana Bhawan, M.G. Road, Raipur. Through: Power of Attorney Holder Ramesh Upadhyay, S/o Madan Upadhyay, aged about 45 Years, O/o Vandana Bhawan, M.G. Road, Raipur (C.G.)

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... Applicant(s)

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Versus

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J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Rajendra Namdeo Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Vishram Namdeo Rao Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Balu Baliram Suryavanshi, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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State of C.G., through: District Magistrate, Raipur (C.G.)

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... Non-applicant(s)

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With

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CRIMINAL REVISION NO. 762 OF 2013

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M/s Vandana Global Ltd., Registered Office Vandana Bhawan, M.G. Road, Raipur. Through: Power of Attorney Holder Ramesh Upadhyay, S/o Madan Upadhyay, aged about 45 Years, O/o Vandana Bhawan, M.G. Road, Raipur (C.G.)

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... Applicant(s)

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Versus

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J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Rajendra Namdeo Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Vishram Namdeo Rao Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Balu Baliram Suryavanshi, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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State of C.G., through: District Magistrate, Raipur (C.G.)

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... Non-applicant(s)

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With

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CRIMINAL REVISION NO. 763 OF 2013

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M/s Vandana Global Ltd., Registered Office Vandana Bhawan, M.G. Road, Raipur. Through: Power of Attorney Holder Ramesh Upadhyay, S/o Madan Upadhyay, aged about 45 Years, O/o Vandana Bhawan, M.G. Road, Raipur (C.G.)

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... Applicant(s)

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Versus

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J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Rajendra Namdeo Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Vishram Namdeo Rao Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Balu Baliram Suryavanshi, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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State of C.G., through: District Magistrate, Raipur (C.G.)

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... Non-applicant(s)

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With

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CRIMINAL REVISION NO. 764 OF 2013

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M/s Vandana Global Ltd., Registered Office Vandana Bhawan, M.G. Road, Raipur. Through: Power of Attorney Holder Ramesh Upadhyay, S/o Madan Upadhyay, aged about 45 Years, O/o Vandana Bhawan, M.G. Road, Raipur (C.G.)

... Applicant(s)

Versus

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J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Rajendra Namdeo Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Vishram Namdeo Rao Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Balu Baliram Suryavanshi, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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State of C.G., through: District Magistrate, Raipur (C.G.)

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... Non-applicant(s)

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With

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CRIMINAL REVISION NO. 765 OF 2013

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M/s Vandana Global Ltd., Registered Office Vandana Bhawan, M.G. Road, Raipur. Through: Power of Attorney Holder Ramesh Upadhyay, S/o Madan Upadhyay, aged about 45 Years, O/o Vandana Bhawan, M.G. Road, Raipur (C.G.)

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... Applicant(s)

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Versus

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J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Rajendra Namdeo Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Vishram Namdeo Rao Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Balu Baliram Suryavanshi, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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State of C.G., through: District Magistrate, Raipur (C.G.)

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... Non-applicant(s)

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And

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CRIMINAL REVISION NO. 766 OF 2013

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M/s Vandana Global Ltd., Registered Office Vandana Bhawan, M.G. Road, Raipur. Through: Power of Attorney Holder Ramesh Upadhyay, S/o Madan Upadhyay, aged about 45 Years, O/o Vandana Bhawan, M.G. Road, Raipur (C.G.)

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... Applicant(s)

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Versus

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J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Rajendra Namdeo Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Vishram Namdeo Rao Akambe, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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Balu Baliram Suryavanshi, Director, J. Square Steels Pvt. Ltd., Office: 401, Godawari, Sir Pochkhanwala Road, Varli, Mumbai 400030.

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State of C.G., through: District Magistrate, Raipur (C.G.)

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... Non-applicant(s)

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:For Applicant Mr. Akash Pandey, Advocate. For Non-applicants :- None.

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Hon'ble Shri Justice Sanjay K. Agrawal

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Order on Board [11.01.2024]

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The present batch of Criminal Revisions are directed against the impugned order by which the Revisional Court has allowed the revision petitions filed by Nonapplicants No.1 to 4 herein setting aside the order of the trial Magistrate and dismissing the complaint of the Applicant herein filed under Section 138 of the

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Negotiable Instruments Act, 1881 (for short, ‘N.I. Act’) for want of territorial jurisdiction.

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Learned Counsel appearing for the Applicant would fairly submit that in view of the decision of the Supreme Court rendered in the matter of Dashrath

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1 Rupsingh Rathod v. State of Maharashtra & Anr. for dishonor of cheque issued by Abhyuday Cooperative Bank Ltd., Worli Branch, Mumbai, the concerned Court at Mumbai would have the jurisdiction to entertain the complaint under Section 138 of the N.I. Act.

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I have heard learned Counsel for the Applicant, considered his submissions made herein-above and also gone through the records with utmost circumspection.

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The dispute with regard to jurisdiction of the Court to entertain the complaint for dishonor of the cheques has been settled by their Lordships of the Supreme Court in Dashrath Rupsingh Rathod (supra) by holding thus:-

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“ 21. The interpretation of Section 138 of the NI Act which commends itself to us is that the offence contemplated therein stands

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1 (2014) 9 SCC 129

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committed on the dishonour of the cheque, and accordingly the JMFC at the place where this occurs is ordinarily where the Complaint must be filed, entertained and tried. The cognizance of the crime by the JMFC at that place however, can be taken only when the concomitants or constituents contemplated by the Section concatenate with each other. We clarify that the place of the issuance or delivery of the statutory notice or where the Complainant chooses to present the cheque for encashment by his bank are not relevant for purposes of territorial jurisdiction of the Complaints even though non-compliance thereof will inexorably lead to the dismissal of the complaint. It cannot be contested that considerable confusion prevails on the interpretation of Section 138 in particular and Chapter XVII in general of the NI Act . The vindication of this view is duly manifested by the decisions and conclusion arrived at by the High Courts even in the few cases that we shall decide by this Judgment. We clarify that the Complainant is statutorily bound to comply with Section 177 etc. of the CrPC and therefore the place or situs where the Section 138 Complaint is to be filed is not of his choosing. The territorial jurisdiction is restricted to the Court within whose local jurisdiction the offence was committed, which in the present context is where the cheque is dishonoured by the bank on which it is drawn. ”

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A careful perusal of the aforesaid principle of law laid down by the Supreme Court would show that the territorial jurisdiction is restricted to the Court within whose local jurisdiction the offence was committed, meaning thereby where the cheque is dishonoured by the bank on which it is drawn.

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In view of the aforesaid legal position, the Revisional Court is absolutely justified in granting the appeal and dismissing the complaint filed under Section 138 of the N.I. Act.

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I do not find any merit in these Criminal Revisions and the same are accordingly dismissed. However, the Applicant would be at liberty to file a fresh complaint in accordance with law.

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With aforesaid liberty, all the Criminal Revisions stand dismissed.

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Sd/(Sanjay K. Agrawal) Judge

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sharad

M/s Vandana Global Ltd. v. J.square Steels Pvt.ltd. And Ors.

Case brief

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M/s Vandana Global Ltd. v. J.square Steels Pvt.ltd. And Ors.

Case brief

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M/s Vandana Global Ltd. Vs J.square Steels Pvt.ltd. And Ors.

M/s Vandana Global Ltd. Vs J.square Steels Pvt.ltd. And Ors.