Sri. Komal Kumar Jain S/O Shantilal Jain v. Benaka Sponge Iron Pvt. Ltd.
Case brief
What is this about?
Keywords: Section 138 NI Act acquittal upheld; appeal by complainant under Section 378(4) Cr.P.C.; cheque amount exceeding legally enforceable debt/dues not an offence; Dashrathbhai Trikambhai Patel v. Hitesh Mahendrabhai Patel (2023) 1 SCC 578 relied upon; Ex.P-16 dues Rs.30,99,556/- vs cheque Ex.P-1 Rs.50,00,000/-; no Section 56 part-payment endorsement; appellant's Section 139 presumption contention; cheque No.633192 dated 31.01.2012 IDBI Bank dishonoured ('funds insufficient', then 'payment stopped by drawer'); C.C. No.2402/2012 Hosapete; Karnataka High Court Dharwad Bench; Justice Shivashankar Amarannavar; appeal dismissed.
What did the court decide?
As the cheque (Ex.P-1) was issued for Rs.50,00,000/- while the amount due per Ex.P-16 was only Rs.30,99,556/-, with no endorsement of part payment under Section 56 NI Act, the cheque amount was not the amount due and the offence under Section 138 NI Act is not attracted — consistent with the Hon'ble Apex Court's holding in Dashrathbhai Trikambhai Patel v. Hitesh Mahendrabhai Patel ((2023) 1 SCC 578) that a cheque issued for a higher amount than the amount due does not attract the Section 138 offence.