M/S Ester Industries Limited Vs State & Ors. — Cheque Dishonour | Delhi HC (2025)

M/S Ester Industries Limited Vs State & Ors. — Cheque Dishonour | Delhi HC (2025)

What the court decided

AI extract

Outcome

Leave petition treated as an appeal under the proviso to Section 372 CrPC and numbered accordingly; Registry directed to transfer the entire record to the concerned appellate Court of Sessions; order communicated to the learned Principal District & Sessions Judge, Patiala House Courts, Delhi, for compliance and listing before the concerned Appellate Court on 26.08.2025; parties directed to appear there on 26.08.2025; Sessions Court requested to dispose of the matter expeditiously given pendency since 2022.

Issue for consideration

Whether the petitioner, being the complainant/victim in the complaint under Section 138 NI Act, is entitled to appeal against the acquittal judgment without seeking leave to appeal under Section 378(4) CrPC. +1 more

Court's answer

The petitioner, having been the complainant in the complaint preferred under Section 138 of the NI Act, is entitled to maintain an appeal under Section 372 of the CrPC against the acquittal, without needing leave under Section 378(4) CrPC.

Ratio / Principle

In terms of the proviso to Section 372 CrPC, an appeal by a victim against a judgment of acquittal passed by the learned MM must be heard by the Court of Sessions; if the petition continued before this Court the parties would lose a forum of challenge.

Key takeaways

The present matter is disposed of with direction that the petition be treated as an appeal under the proviso to Section 372 CrPC and numbered accordingly.ratio¶13

Detailed headnote1 paragraphs

Delhi High Court (Amit Mahajan, J) disposed of CRL.L.P. 151/2022, a leave-to-appeal petition under Section 378 CrPC filed by M/s Ester Industries Ltd., the complainant in CC No. 52055/2016 (Section 138 NI Act), against the acquittal judgment dated 21.12.2021 passed by the MM, Patiala House Courts. Relying on Celestium Financial v. A. Gnanasekaran, 2025 SCC OnLine SC 1320 - wherein the Apex Court held that a complainant under Section 138 NI Act suffers economic loss and qualifies as a victim within Section 2(wa) CrPC, entitled to the benefit of the proviso of Section 372 CrPC without seeking leave under Section 378(4) CrPC - this Court held the petitioner entitled to maintain an appeal under Section 372 CrPC, observed that a victim's appeal against an MM's acquittal must be heard by the Court of Sessions, and directed that the petition be treated as such an appeal, numbered accordingly, with the record transferred to the appellate Court of Sessions and listing/appearance fixed for 26.08.2025.

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IN THE HIGH COURT OF DELHI AT NEW DELHI

- CRL.L.P. 151/2022 M/S ESTER INDUSTRIES LIMITED .....Petitioner Through: Mr. Kunal Kher, Adv. versus

STATE & ORS. .....Respondents Through: Mr. Yashvir Kumar, Adv. for R-1, 3 & 3.

CORAM: HON'BLE MR. JUSTICE AMIT MAHAJAN O R D E R

% 16.07.2025

The present leave to appeal is filed under Section 378 of the Code of Criminal Procedure, 1973 (‘ CrPC ’) against the judgment dated 21.12.2021, passed by the learned Metropolitan Magistrate (‘ MM’ ), Patiala House Courts, New Delhi, whereby the respondents were acquitted of the offence under Section 138 of the Negotiable Instruments Act, 1881 (‘ NI Act ’) in CC No. 52055/2016.

At the outset, the learned counsel for the petitioner states that in view of the judgment of the Hon’ble Apex Court in the case of Celestium Financial v. A. Gnanasekaran : 2025 SCC OnLine SC 1320 , the petitioner being a victim is entitled to file an appeal against the judgment of acquittal and is not required to seek leave to appeal. He submits that the present petition be transferred to the learned Court of Sessions to be treated as an appeal.

The Hon’ble Apex Court in the recent decision in Celestium Financial v. A. Gnanasekaran ( supra ) has opined that a complainant who prefers a complaint under Section 138 of the NI Act is an aggrieved party who suffers economic loss due to the dishonour of cheque, and such a complainant qualifies as a victim within the meaning of Section 2(wa) of the CrPC.

This is a digitally signed order.

The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 31/07/2025 at 12:25:27

Consequently, it was held that such a complainant is entitled to the benefit of the proviso of Section 372 of the CrPC, enabling them to maintain an appeal against an order of acquittal without seeking leave to appeal under Section 378(4) of the CrPC.

The petitioner was the complainant in the complaint preferred under Section 138 of the NI Act, and is thus entitled to maintain an appeal under Section 372 of the CrPC. 5. In terms of the proviso to Section 372 of the CrPC, an appeal by a victim against the judgment of acquittal passed by the learned MM will have to be heard by the learned Court of Sessions. If the petition is allowed to continue before this Court, the parties will stand to lose a forum of challenge. 6. In view of the above, the present matter is disposed of with direction that the present petition be treated as an appeal under the proviso to Section 372 of the CrPC and numbered accordingly.

The Registry is directed to transfer entire record of the case to the concerned appellate Court of Sessions. 8. The order be communicated to the learned Principal District & Sessions Judge, Patiala House Courts, Delhi, for compliance and listing before the concerned Appellate Court on 26.08.2025.

The parties are directed to appear before the concerned Appellate Court on 26.08.2025.

Considering that the matter has been pending before this Court since the year 2022, the learned Sessions Court is requested to dispose of the matter expeditiously.

AMIT MAHAJAN, J

JULY 16, 2025/ “SK”

This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 31/07/2025 at 12:25:27